In this guide, we will provide you with a comprehensive guide on how to buy DocuSign stock in 2023. We will start by highlighting the near-standard step-by-step buy process for DOCU shares affected by the majority of online brokerages. The guide will then break down these steps and explain each in detail.
For starters, we will discuss where to buy DocuSign stock in 2023 and what to look for when searching for the best online share broker. The guide will also cover everything you need to know before investing in DocuSign. This includes a deeper understanding of how the company works, DOCU’s stock price history, and factors affecting DocuSign’s share performance.
Read on to learn how to buy DOCU shares and whether the electronic agreements management company is worth adding to your portfolio in 2023.
How To Buy DocuSign (DOCU) Stock – Overview
Here is the near-standard buy process for buying DocuSign, and most other shares, embraced by most regulated online trading platforms.
- Step 1: Create a share trader account – Start by identifying a regulated and highly reputable online share broker and register an investor account with them. Most trading platforms maintain a quick and straightforward client onboarding process and will only ask for your basic personal information.
- Step 2: Verify your identity – Regulated brokers will ask you to verify your identity by submitting a copy of a government-issued identification document.
- Step 3: Deposit funds – Once the account has been approved, log in and follow the prompts to deposit cash therein. There are two things you need to keep in mind about deposits. First, different brokerages support varied payment options – take this into consideration when choosing the best DOCU share broker. Secondly, different brokerages maintain varied deposit and trading minimums – so take this into account, too, when finding the best broker.
- Step 4: Buy DocuSign shares – On the supported trading platform, choose ‘Stocks,’ and find DOCU from the list of supported shares. Customize the trade and hit the buy button.
Your capital is at risk. Other fees apply.
Below, we go over this buying process – explaining each step in detail. Read on to learn everything you need to know about DocuSign and whether it is worth buying in 2023.
The DocuSign Stock Buying Guide - Reviewed
Step 1: Decide Where to Buy DocuSign Stock
DocuSign is a relatively liquid stock that is currently listed with hundreds of top share brokers. When looking for the best DocuSign broker, you need to put multiple factors into account. For starters, and as a rule of thumb, your preferred broker must be highly regulated and welcoming of your investing strategy and goal.
Other factors to consider when vetting these brokers include the following:
- Cost of trading: The trading and non-trading fees imposed by a broker have a direct impact on the profitability of your trades. Therefore, confirm all the fees and charges imposed by a broker and assess the impact they have on your trades.
- User-friendliness: Your preferred broker should also be easy to use for both beginner and experienced traders. It should have a straightforward onboarding process and a highly navigable interface.
- Tools and features: The best share broker should also integrate premium trading and analytics tools as well as comprehensive educational and research materials.
- Reputation: Talk to the broker’s current and past clients or look up their reviews on such online review platforms as BBB and Trust Pilot. Check their views about the trading platform’s trustworthiness, reliability, transaction processing speeds, and customer service.
- Account minimums: Confirm the minimum initial deposit and minimum trade amount limits imposed by your preferred online brokerage. Also, confirm if they support fractional share ownership.
To help you get started with share trading, our analysts have vetted tens of highly reputable online trading platforms. Ultimately, they identified the following two as the best places to buy DOCU shares in 2023.
eToro - Best DocuSign Stock Broker for User Friendliness and Copy/Social Trading
eToro launched in 2007 and has eventually morphed into one of the largest and most popular share trading platforms in the world. Much of this popularity can be attributed to its aggressive marketing campaigns and user-friendliness. The broker not only has a quick and straightforward client onboarding process, but it also has a highly navigable and feature-rich trading interface.
Additionally, eToro is a highly affordable trading platform. It doesn’t charge a commission on stock trades and lets you buy DocuSign shares or trade DOCU share CFDs. When CFD trading, you will only pay a highly variable spread and equally variable swap fees if you choose to use leverage (the maximum limit is 5X for retail brokers).
To start buying DocuSign shares on eToro, you will need to deposit at least $10 into the trading platform. Deposit processing is free and can be made via such payment methods as credit cards, debit cards, eWallets (Skrill, Neteller, and PayPal), or even bank transfers. The minimum you can withdraw is $30, and it attracts a $5 foxes processing fee.
We also liked its trading interface that integrates a host of advanced trading, analysis, and risk management tools. These include charting tools, hard stop limit order, real-time news and analysis, as well as negative balance protection.
eToro is, however, more popular because of its support for copy and social trading tools. Social trading involves unlimited interactions between its clients. It creates a platform where experts can share trading ideas while beginners receive mentorship.
Copy trading, on the other hand, is a passive investing tool. It allows novice share traders to earn while they learn to trade by copying the trade settings of highly successful share investors. To start copy trading, you first need to deposit at least $200 into your broker account. Popular investors who let others copy their trade settings also receive a commission from eToro – depending on the value of assets under copy.
Your capital is at risk. Other fees apply.
Capital.com - Best Pure CFD Share Trading Platform
Capital.com is an equally popular online share brokerage. But unlike eToro, which lets you buy actual shares and trade share CFDs, Capital.com is a pure CFD trading platform.
We consider it one of the best DocuSign share brokers because of four key features. These are affordability, innovative trading interface, exceptional customer service, and the fact that it integrates AI into its trading interface.
For starters, Capital.com is a commission-free broker. You will only be charged a variable and highly competitive spread when buying DOCU shares on the platform. Further, you only need $20 to start trading. And this can be made via a range of supported payment options, including bank transfers, cards, and eWallets like PayPal. Importantly, capital.com supports fractional share ownership and leveraged trading - with leverage of up to 1:5.
Additionally, Capital.com has one of the easiest to use – yet highly innovative – trading platforms. It, for example, has integrated some highly advanced trading, analysis, and risk management tools. These include 70+ analytics tools and a rich resource of educational materials, a free demo account, and negative balance protection. Not forgetting that Capital.com is a multi-platform trader - available as a web trader and mobile app.
Further, Capital.com maintains one of the most accessible and highly responsive customer support platforms. You can contact their agents via phone or online via email, live chat, Facebook Messenger, Telegram, and even WhatsApp.
But Capital.com is even more popular because it integrates artificial intelligence into its trading platform. This comes in handy in post-trade behavior analysis, which helps investors eliminate bias when trading.
Your capital is at risk. Other fees apply.
Step 2: Research DocuSign Stock
Before buying DocuSign, or any other stock, you need to first gather as much information as possible about the company and its historical performance of its share price. These help you identify the factors affecting the stock price action, which – in turn – help inform your buy and sell decisions.
Most online brokerages - including eToro and Capital.com - will provide you with briefs and an overview of the company. They even have charts and graphs illustrating how DOCU shares have performed in the past.
In this section, we seek to complement the broker-provided resources by discussing everything you need to know about DocuSign before investing in DOCU shares.
What is DocuSign?
DocuSign is a software company based in San Francisco, California and a pioneer of e-signature technology. This refers to a technology that makes it possible to sign legally binding electronic documents virtually. This implies that electronically signed documents carry the same legal weight as paper documents signed by hand. In the US, electronically signed documents draw their legality from the E-Sign Act in June 2000.
The company was started in 2003 by Tom Gonser, Court Lorenzini, and Eric Ranft. However, the business didn’t start picking until 2005 when it was ZipLogix integrated DocuSign into its real estate forms. Its adoption by licensed and practicing attorneys as well as state and federal judges, also played a crucial role in boosting DocuSign’s credence and popularity.
Soon, DocuSign was embraced by major technology companies, including Apple, Google, and SalesForce.com. And by 2012, DocuSign had been adopted by 90% of the Fortune 500 companies in the US and thousands more across the world.
Today, DocuSign has onboarded even more brands and users across the world. By October 2022, Statista reports that DocuSign dominates the e-sign industry with a 77.6% market share, one million clients, and more than one billion end users.
DocuSign Financials
DocuSign company revenues have been on a sustained uptrend for the last five years. They have risen from $381 Million in 2017 and crossed the $1 Billion mark in 2021 to the top $2.1 Billion for the twelve months ending on 31st October 2022.
Note, however, the company has not reported a positive net income since 2017. This may explain why DocuSign does not pay dividends to its shareholders yet.
DocuSign Historical Price Performance
DocuSign went public in May 2018 when it listed with NASDAQ. Each DOCU stock fetched $29 at the IPO – helping the company raise $629.3 Million after selling 21.7 million shares. This effectively gave DocuSign a $4.41 Billion valuation.
The company stock hit the ground running and shot to $38 almost immediately. This rally would carry it to the highs of $66 by August 2018. But the hype around DocuSign started losing momentum and its stock price started plummeting – dipping to $35 by November same year.
For the next 12 months, DOCU stock price ranged between $35 and $65 and only started breaking out in December 2019 - reaching $80. As soon as the first few cases of Coronavirus were detected in the US, the market went into a panic mode and DOCU prices crashed below $65. But investors realized the potential that work-from-home holds for the e-Signature company and started accumulating.
This kicked off a bull run that saw DOCU’s stock price break above $100 for the first time in April 2020. Three months later, DocuSign had appreciated by more than 200% and torn above $200.
This uptrend continued throughout the last half of 2020 and into the first quarter of 2021. DOCU would, however, experience a slight correction in the second quarter of 2021 that saw its share price fall below $187 in May. But the crash preceded the stock’s most aggressive price rally yet as DOCU started gaining in June and rose to its current all-time high of $310 in September 2021.
But just as the emergence of the pandemic and work-from-home culture helped push up DOCU share prices, an opened-up economy and return-to-work calls have caused its current woes. Throughout 2022, for instance, DOCU stock has lost more than 65% of its value.
DocuSign Stock Forecast
A million customers later and more than a billion end users later, analysts are convinced that DocuSign will continue dominating the e-signature market. They are also confident that DocuSign will continue expanding, recording more sales and higher revenues that will help keep DOCU share prices uptrending. Most estimates place the stock’s price action for the next 12 months at between $35 and $90.
Factors Affecting DocuSign Share Prices
It is clearly evident that DOCU is a wildly volatile stock. Before pressing the buy button at an online stock brokerage, ensure that you first understand the factors influencing this price action. Below, we discuss a few of the most common:
- Company financials: Most investors use a company’s financial records to determine if its stock is worth buying or not. DOCU shares, therefore, tend to rise if DocuSign records revenue gains and dips if its revenue fall.
- Economic conditions: The state of the economy has also proved to have a direct impact on the performance of DOCU shares. Rising interest and inflation rates, as well as the overall cost of living, have put downward pressure on DOCU stock and contributed to its 60%+ loss of value over the last 12 months.
- Projected growth: Since its inception close to two decades ago, DocuSign has been engaged in an aggressive expansion campaign. It has also grown its client base to over one million and scaled to as many as 1 billion end users. All of these are indicative of a promising future for DocuSign, which reflects positively on DOCU stock prices.
- Market trends: DocuSign’s share price will also be dictated by the prevailing market conditions. The ongoing bearish market that started in early 2022 can, for instance, be attributed to the noticeable value loss reported by DOCU shares.
Your capital is at risk. Other fees apply.
Step 3: Open A Share Investor Account And Buy DocuSign Stock
Now that you understand where to buy DOCU shares and the factors influencing this stock’s price action, we now need to look at the actual share investing process.
For illustration purposes, we will provide you with a step-by-step guide on how to buy your first DOCU stock on the all-popular eToro online brokerage.
Step 1: Open a stock broker account
Start by registering a share investor account on eToro. The broker maintains a straightforward account opening process and only asks for such basic personal information as your name and address, phone number and country of residence, income source and trading experience. Also, set up a strong password for the account.
Step 2: Verify your identity
eToro is a multi-regulated online broker and will, therefore, require you to verify your identity. Simply submit a copy of a government-issued identification document like a passport, national ID, or driver’s license.
Step 3: Deposit funds
After eToro sends an email notification informing you that your account has been approved, log in to this account and hit the ‘Deposit Funds’ icon. A funding tab will pop up. Choose one of the supported payment methods, and follow the prompts to make a deposit. The minimum deposit limit is $10.
Step 4: Buy DocuSign stock
Once the funds reflect in your account, press the ‘Discover’ button and choose ‘Stocks.’ Find DocuSign from the list of supported shares and tap the ‘BUY’ option. On the trading tab that pops up, indicate the number of DOCU shares or the amount of money you wish to spend buying DocuSign shares. Hit the “Open Trade” button to execute the trade.
Your capital is at risk. Other fees apply.
DocuSign Stock Strengths And Weaknesses
Before you hit the buy button for DOCU shares on an online trading platform, first ask yourself if the company is worth investing in. Assess DocuSign’s future and confirm that its stock prices will continue rising in the foreseeable future.
To help you get started with the DOCU stock vetting process, we discuss a few reasons why you should invest in the company in 2023 and why you shouldn’t.
Reasons to Buy DocuSign Stock Today
- Promising future: The fact that DocuSign dominates the electronic signature industry by a huge margin gives it staying power. This has investors convinced that demand for its e-sign technology will continue rising, which has the net effect of pushing up DOCU stock price.
- DOCU is currently oversold: In the face of a looming economic crisis, persistent bearish market trends, and not-so-inspiring third-quarter 2022 DocuSign performance, both institutional and retail investors have been on a DOCU stock selling spree. This has placed DOCU in the oversold territory, which means that its most probable price direction from here is up.
- Work from culture: The work-from-home culture was one of the key drivers for DOCU’s unprecedented value gains in 2020 and 2021. Today, even with an opened-up economy, many businesses and individuals have opted for remote working – which we believe will continue impacting DocuSign revenues and share price positively.
Reasons Not to Buy DocuSign Stock
- The Covid-inspired bubble is over: You may want to hold off buying DOCU shares today because the covid-19 indeed bubble that sent its prices above $100 for the first is almost over. The stock is back to its pre-pandemic price levels and it will take hugely inspiring news or event to push it back to these highs again.
- Declining market share: From claiming 90%+ of the e-sign industry a decade ago, DocuSign’s influence has declined by more than 13%. You may expect these competitors to continue fronting more innovative and affordable services or engaging in aggressive marketing – both of which will probably eat into more of DocuSign’s market share.
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Your capital is at risk. Other fees apply.
Conclusion - How To Buy DocuSign Stock
DocuSign pioneered electronic signature technology in 2003 and has dominated this niche market for more than two decades. Today, it controls as much as 77.6% of the e-sign market - and it got here through both aggressive marketing and the acquisition of e-sign startups.
The company has also grown its client base to more than 1 million as much as 1 billion end users across the world. It went public in May 2018 and has maintained an overall uptrending stock price. Company revenues have also been on a steady uptrend, especially after 2020, when covid-19 pandemic popularized remote work and work-from-home cultures.
Moving forward, the majority of analysts are confident that DocuSign will continue growing its client base. They also expect it to continue expanding its revenue base and asserting its authority as the most effective e-sign service provider – which will most likely help keep its overall stock price on an uptrend.
eToro – Best Place To Buy DocuSign
Your capital is at risk. Other fees apply.
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FAQs About How To Buy DocuSign Stock
How can I buy DocuSign stock today?
Start by creating a share investor account with a regulated and highly reputable stock broker like eToro. Deposit funds, find DOCU from their list of supported shares, and open a buy order.
Is DocuSign worth buying in 2023?
Yes, for long-term investors and no for short-term traders. DOCU is a good long-term buy because such factors as its market dominance, recovering market, and growing client base are all expected to catapult its stock prices to new highs over the longer term. Its negative net income and looming recession, however, make it a bad short-term buy.
Will DocuSign’s share price recover in 2023?
It is highly unlikely that DocuSign will rebound in 2023, especially if the feared global market recession materializes. We nonetheless expect it to start recovering in 2024 alongside a recovering market.
How much should I invest in DocuSign today?
How much you should invest in DOCU - or any other stock for that matter - should be informed by such factors as your risk tolerance, understanding of the company and its industry of operation, your investing goals, and your investing strategy.