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Investing.com — It’s time to sign up for DocuSign Inc (NASDAQ:DOCU).
Shares are up 5% on Monday after Morgan Stanley (NYSE:MS) upgraded the stock to overweight from equalweight.
A recent pullback makes the investment story compelling, and Covid-driven changes to business structure are likely to be more lasting than originally expected, analyst Stan Zlotsky said, according to StreetInsider.
Morgan Stanley set a conservative price target of $260, citing “very healthy renewal rates (customers won’t return to paper processes after going digital).” Docusign also has a dominant competitive position, and the analyst sees “an opportunity for multiple expansion from here.”
The firm had downgraded the shares earlier this year when the stock was trading at a 10% premium to peers.
Shares have 10 buy ratings, six holds and no sells. The stock is up more than 200% for 2020 and is currently trading around $229.28.