Docusign Earnings: Strong Close to Year With Intelligent Agreement Management Gaining Momentum

No-moat Docusign delivered strong fiscal 2025 fourth-quarter results, with revenue and profitability surpassing the high end of guidance and our aggressive estimates. The market reaction was positive on the back of a good quarter, new customer growth, and promising adoption of Docusign’s Intelligent Agreement Management. We are raising our fair value estimate to $86 per share from $80 based on results and guidance as we nudge our estimates higher. Still, we see the stock as fairly valued. We believe management's guidance incorporates IAM bringing in higher deal sizes and better win rates that will drive top-line growth while also considering the investments required in product development and sales that will govern margins.