Market Pulse44Neutral

DocuSign, Inc.Opportunity Rank #120(DOCU) Intrinsic Value & DCF Analysis (2026)

Sector: Technology

Current Price

$42.71

Last updated: Jun 23, 2026

Price vs Intrinsic Value

$42.71
Price
$206.10
Intrinsic Value
Undervalued by 383%MOS: $164.88

Fundamental Score

83/100
Bullish

Weighted across 6 signals

Narrative Score

46/100
Weak

-3 vs previous

Trend Score

11/100
Weak

As of 2026-06-22

The intrinsic value of DocuSign, Inc. (DOCU) is estimated at $206.10 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $42.71, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 14.76% long-term growth rate and a 10.00% discount rate (calculated: 8.63%), reflecting expected future free cash flow and cost of capital.

The intrinsic value of DocuSign, Inc. (DOCU) is estimated at $206.10 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $42.71, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 14.76% long-term growth rate and a 10.00% discount rate (calculated: 8.63%), reflecting expected future free cash flow and cost of capital.

Valuation Details

$206.10
382.56% upside
20% margin of safety: $164.88
Years: 10Growth Rate: 14.76%
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Capital Efficiency

Average Quarterly ROIC
7.33%
Cost of Capital (estimated)9%
Value StatusUnderperforming Capital

The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.

Complete historical ROIC is available with
.

Fundamental Details

83/100
BullishWeighted across 6 signals
DCF Discount
382.6% discount to price
100
FCF Yield
16.6% trailing FCF yield
100
ROIC vs WACC
ROIC 7.3% vs WACC 9.0% (0.8x)
41
Net Debt / FCF
Net cash position
100
Buybacks
Share count shrinking
80
FCF CAGR (5Y)
28.9% 5Y FCF CAGR
100
Strengths lead the score: DCF Discount, FCF Yield.

Narrative Details

46/100
Weak
-3 vs previous · +1 new driversVs 6-Month Baseline:Low (2nd pct)Weighted across 5 recent drivers
Trend: StableConfidence: 89%Updated: 13m ago
Sources: 70 (63 News · 7 Analyst)
Drivers(last 30 days)
58 news sentiment-0.4
3 regulatory scrutiny+0.0
2 earnings beat-0.0
Analyst downgrades-0.0
6 analyst reiterations0.0

Trend Details

11/100
WeakAs of 2026-06-22308 daily bars used
Distance from 52-Week High-49.8%
6M Relative Strength vs SPY-47.9%
3M Relative Strength vs SPY-24.3%
Price vs 21 EMA12 · -7.7%
Price vs 50 EMA11 · -9.9%
21 EMA vs 50 EMA31 · -2.3%
3M RS vs SPY2 · -24.3%
6M RS vs SPY0 · -47.9%
Distance from 52W High0 · -49.8%

Investment Coach

Updating... 12d ago
BUYConfidence: 65%
Thesis
DocuSign, Inc. is significantly undervalued with an estimated fair value over 360% above its current price, supported by strong fundamentals including a healthy free cash flow yield of 15.7% and robust growth metrics. Despite trailing returns relative to its cost of capital, the company's strong buyback activity and cash flow growth suggest potential for substantial upside.
Key Risk
The company's return on invested capital remains below its weighted average cost of capital, indicating potential challenges in generating value above its capital costs.
Signals To Watch
  • Monitor whether valuation discount remains above 10%.
  • Track ROIC vs WACC spread for sustained improvement.
  • Follow narrative trend for meaningful shifts in the score direction.
Ask the Coach - Available with
Historical Growth Rates
Free Cash Flow- - -Trend CAGR: 18.70%5 Year CAGR: 28.91%

Free Cash Flow (in millions)

TTM2025202420232022202120202019201820172016
$1,350$1,114$1,072$584$568$379$188$106$74$39-$40

How Intrinziq Estimates Fair Value

Intrinziq estimates DocuSign, Inc.'s intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

DocuSign, Inc.Technology

DocuSign, Inc. is a global provider of electronic signature software, operating both within the United States and internationally. The company's core offering is an e-signature solution that empowers businesses to digitally prepare, execute, finalize, and manage various agreements. Beyond its foundational e-signature service, DocuSign offers an extensive suite of tools for digital agreement management. This includes Contract Lifecycle Management (CLM) to streamline agreement workflows, and Insights, which leverages artificial intelligence to analyze agreements based on legal concepts and clauses. For Salesforce users, there's Gen, enabling sales teams to quickly generate agreements, and Negotiate, providing functionalities like approvals, document comparisons, and version control. Customers can also utilize Analyzer to comprehend documents before signing, and the advanced CLM+ for AI-driven contract lifecycle management. Further enhancing its platform, DocuSign provides Guided Forms for interactive, step-by-step completion of complex documents; Click for managing standard terms and consents that don't require a traditional signature; and Identify, a feature for verifying signer identity using government-issued IDs. It also supports Standards-Based Signatures involving digital certificates, offers Payments for collecting both signatures and financial transactions, and facilitates notarization remotely through its Remote Online Notary solution, which uses audio-visual technology and identity verification. Monitor provides sophisticated analytics for tracking DocuSign eSignature account activity across web, mobile, and API interfaces. DocuSign also caters to specific industries with specialized cloud offerings. These include Rooms for Real Estate, designed to help brokers and agents digitally manage the entirety of real estate transactions; Rooms for Mortgage, a digital workspace for originating and closing mortgages; FedRAMP, a government-authorized version of DocuSign eSignature for U.S. federal agencies; and life sciences modules that ensure compliance with industry-specific electronic signature regulations. The company distributes its products through a combination of direct sales, partner-assisted channels, and Web-based sales, serving a diverse clientele ranging from large enterprises to commercial businesses and small companies. DocuSign, Inc. was established in 2003 and is headquartered in San Francisco, California.

DocuSign, Inc. (DOCU) Intrinsic Value & DCF (2026) | Intrinziq