DocuSign shares spike on report company is exploring a sale


The Docusign Inc. utility for obtain within the Apple App Store on a smartphone organized in Dobbs Ferry, New York, U.S., on Thursday, April 1, 2021.

Tiffany Hagler-Geard | Bloomberg | Getty Images

DocuSign shares rose about 14% on Friday after the Wall Street Journal reported the e-signature software program company tapped advisors about a potential sale.

Talks are nonetheless preliminary, the Journal reported, citing individuals conversant in the matter. A DocuSign consultant did not instantly reply to a request for remark on the report.

After shedding virtually two-thirds of its worth final yr, DocuSign’s rebound this yr has been much less dramatic than a lot of its tech friends. The inventory is up 16% in 2023, whereas the Nasdaq Composite has gained 41%. The company has a market cap of about $13 billion.

DocuSign went public in 2018 and noticed enterprise growth in the course of the pandemic as demand soared for know-how that allowed individuals to work collectively on paperwork remotely. But progress has slowed dramatically for the reason that financial system reopened, and competitors stays from Adobe and Dropbox.

A yr in the past, DocuSign employed former Google government Allan Thygesen to switch Dan Springer as CEO. Layoffs adopted days later.

The inventory plummeted 22% on March 10, after the company said finance chief Cynthia Gaylor would depart and instructed buyers to count on a single-digit quarterly income improve, down from progress above 50% throughout Covid.

WATCH: DocuSign CEO on Q3 earnings beat



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