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DocuSign (DocuSign) PS Ratio : 4.34 (As of Apr. 25, 2024)


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What is DocuSign PS Ratio?

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, DocuSign's share price is $57.35. DocuSign's Revenue per Share for the trailing twelve months (TTM) ended in Jan. 2024 was $13.23. Hence, DocuSign's PS Ratio for today is 4.34.

The historical rank and industry rank for DocuSign's PS Ratio or its related term are showing as below:

DOCU' s PS Ratio Range Over the Past 10 Years
Min: 2.97   Med: 7.58   Max: 36.7
Current: 4.33

During the past 9 years, DocuSign's highest PS Ratio was 36.70. The lowest was 2.97. And the median was 7.58.

DOCU's PS Ratio is ranked worse than
70.35% of 2739 companies
in the Software industry
Industry Median: 2.22 vs DOCU: 4.33

DocuSign's Revenue per Sharefor the three months ended in Jan. 2024 was $3.38. Its Revenue per Share for the trailing twelve months (TTM) ended in Jan. 2024 was $13.23.

Warning Sign:

DocuSign Inc revenue growth has slowed down over the past 12 months.

During the past 12 months, the average Revenue per Share Growth Rate of DocuSign was 5.50% per year. During the past 3 years, the average Revenue per Share Growth Rate was 19.10% per year. During the past 5 years, the average Revenue per Share Growth Rate was 23.70% per year.

During the past 9 years, DocuSign's highest 3-Year average Revenue per Share Growth Rate was 42.60% per year. The lowest was -26.00% per year. And the median was 23.25% per year.

Back to Basics: PS Ratio


DocuSign PS Ratio Historical Data

The historical data trend for DocuSign's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

DocuSign PS Ratio Chart

DocuSign Annual Data
Trend Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
PS Ratio
Get a 7-Day Free Trial Premium Member Only 14.24 29.77 11.74 4.84 4.61

DocuSign Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.84 3.88 4.15 2.96 4.61

Competitive Comparison of DocuSign's PS Ratio

For the Software - Application subindustry, DocuSign's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


DocuSign's PS Ratio Distribution in the Software Industry

For the Software industry and Technology sector, DocuSign's PS Ratio distribution charts can be found below:

* The bar in red indicates where DocuSign's PS Ratio falls into.



DocuSign PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

DocuSign's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=57.35/13.228
=4.34

DocuSign's Share Price of today is $57.35.
DocuSign's Revenue per Share for the trailing twelve months (TTM) ended in Jan. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $13.23.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


DocuSign  (NAS:DOCU) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


DocuSign PS Ratio Related Terms

Thank you for viewing the detailed overview of DocuSign's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


DocuSign (DocuSign) Business Description

Traded in Other Exchanges
Address
221 Main Street, Suite 1550, San Francisco, CA, USA, 94105
DocuSign offers the Agreement Cloud, a broad cloud-based software suite that enables users to automate the agreement process and provide legally binding e-signatures from nearly any device. The company was founded in 2003 and completed its IPO in May 2018.
Executives
Allan C. Thygesen director, officer: President and CEO 20 DAVIS DRIVE, BELMONT CA 94002
Stephen Shute officer: President, Field Operations 221 MAIN STREET, SUITE 1550, SAN FRANCISCO CA 94105
Blake Jeffrey Grayson officer: Chief Financial Officer 2212 EVERETT AVENUE E, SEATTLE WA 98102
Teresa Briggs director 2225 LAWSON LANE, SANTA CLARA CA 95054
James P Shaughnessy officer: Chief Legal Officer 4460 HACIENDA DR., PLEASANTON CA 94588
Daniel D. Springer director, officer: President and CEO C/O DOCUSIGN, INC., 221 MAIN ST., SUITE 1000, SAN FRANCISCO CA 94105
Anna Marrs director 200 VESEY STREET, NEW YORK NY 10285
Enrique T Salem director SYMANTEC CORPORATION, 20330 STEVENS CREEK BLVD., CUPERTINO CA 95014
Robert Chatwani officer: President General Mgr, Growth 221 MAIN STREET, SUITE 1550, SAN FRANCISCO CA 94105
Inhi Cho Suh officer: President, Product Engineering C/O DOCUSIGN, INC., 221 MAIN STREET, SUITE 1000, SAN FRANCISCO CA 94105
Scott V. Olrich officer: Chief Strategy and Marketing C/O DOCUSIGN, INC., 221 MAIN ST., SUITE 1000, SAN FRANCISCO CA 94105
Cynthia Gaylor director C/O PIVOTAL SOFTWARE, INC., 875 HOWARD STREET, FIFTH FLOOR, SAN FRANCISCO CA 94103
Tram T Phi officer: SVP, General Counsel C/O DOCUSIGN, INC., 221 MAIN STREET, SUITE 1550, SAN FRANCISCO CA 94105
Peter Solvik director 2105 SOUTH BASCOM AVE. #370, CAMPBELL CA 95008
Loren Alhadeff officer: Chief Revenue Officer C/O DOCUSIGN, INC., SUITE 1000, SAN FRANCISCO CA 94105