RBC Cautious on DocuSign (DOCU) Following Fourth-Quarter Results

DocuSign, Inc. (NASDAQ:DOCU) earns a place on our list of the 8 most undervalued cloud stocks to buy according to analysts.

As of March 18, 2026, analysts have taken a cautious approach toward DocuSign, Inc. (NASDAQ:DOCU), with firms making adjustments to their price forecasts following strong quarterly results.

Amid industry challenges and declining valuations, the company’s Q4 results offered some reassurance; however, they did not significantly alter analyst perspectives.

RBC Capital Markets analysts reduced the firm’s price target for DocuSign, Inc. (NASDAQ:DOCU) from $70 to $55, while keeping a “Sector Perform” rating. It cited improvements in the dollar net retention rate and initial progress on the Intelligent Agreement Management (IAM) platform, although it remains cautious about enterprise adoption. The firm added that its price target reduction reflects multiple headwinds across its peers.

Similarly, on the same day, Morgan Stanley analyst Josh Baer lowered the price target on DocuSign, Inc. (NASDAQ:DOCU) to $69.00 from $90.00, maintaining a “Equal Weight” rating. The firm cited restricted margin expansion and a stagnant 102% dollar-based net retention rate as limiting factors for potential growth. While the company reported solid results that beat analyst expectations, the investment firm noted that the improvement was only a small margin.

DocuSign, Inc. (NASDAQ:DOCU) offers cloud-based electronic signature and agreement solutions that facilitate secure document workflows, automation, and transaction management. Established in 2003, it is based in San Francisco, California.

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