Docusign : There Is Still Room For More Upside

$Docusign(DOCU)$ produced a better-than-expected financial results for its fiscal fourth quarter ended in January. And Docusign is getting ready to launch a revamped AI-driven approach to managing corporate agreements.

They have provided a positive guidance for the January 2025 fiscal year, DocuSign is projecting revenue of between $2.915 billion and $2.927 billion, above the Street consensus forecast of $2.91 billion. Free cash flow was $248.6 million, up from $113 million in the same period a year earlier.

In this article, I will be sharing how Docusign Technical Analysis stacked up and why I think there is still room for more upside.

Technical Analysis - Simple Moving Average (SMA)

Docusign have been trading very near the 50-day MA period, and the reason could be the unknown state of competition impact, they have also planned for headcount cut.

With a strong earning report and better guidance for 2025 fiscal, with the plan for their platform for enterprise customer, things are starting to shape up for Docusign.

I believe this is a good time to seriously look at Docusign, as the price look favorable for entry.

Technical Analysis - Average Directional Index (ADX)

Docusign ADX is in developing trend and +DI and -DI have been struggling, I would say that is neutral, but after a solid earnings, I would expect to see Docusign move into bullish upside over the next few weeks.

This is because corporates and enterprises are already planning on AI tool to streamline their productivity, Docusign is one of the software being evaluated.

Technical Analysis - Relative Strength Index (RSI)

Docusign RSI might not give us confidence whether traders and investors are into LONG or buying sentiment. That is because of the unknown challenges facing Docusign.

I am expecting Docusign RSI to start trending towards the overbought region when the Buying activity increase, hence, we should be seeing more price upside in the mid-long term.

Summary

Docusign is one of the productivity software stock that we can seriously consider for mid-long term, this is because it is currently trading very near its 50-day MA period, and at this price, there should be enough room for more upside.

Appreciate if you could share your thoughts in the comment section whether you think Docusign could be a productivity software stock for long term investing?

@TigerStars @Daily_Discussion @Tiger_Earnings @TigerWire appreciate if you could feature this article so that fellow tiger would benefit from my investing and trading thoughts.

Disclaimer: The analysis and result presented does not recommend or suggest any investing in the said stock. This is purely for Analysis.

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