After-Hours Alert: Why DocuSign Stock Is Soaring

DocuSign Inc DOCU shares are trading higher in Thursday's after-hours session after the company announced better-than-expected financial results and issued strong guidance.

DocuSign said second-quarter revenue increased 22% year-over-year to $622.2 million, which beat average analyst estimates of $602.34 million, according to data from Benzinga Pro. The company reported second-quarter earnings of 44 cents per share, which beat average analyst estimates of 42 cents per share.

Total billings jumped 9% year-over-year to $647.7 million in the second quarter. The company ended the quarter with $1.13 billion in cash and equivalents.

"These results reflect the focus and dedication of our team on execution during this transition period, with a stronger foundation in place to deliver in the second half of the year. We enter this next phase with a clear set of vital few deliverables for our people initiatives and product roadmap, while driving sustainable and profitable growth at scale," said Maggie Wilderotter, interim CEO and board chair of DocuSign.

DocuSign expects third-quarter revenue to be between $624 million and $628 million versus the estimate of $625.05 million. The company expects full-year revenue to be between $2.47 billion and $2.482 billion versus the estimate of $2.47 billion.

DOCU Price Action: DocuSign has a 52-week high of $157.37 and a 52-week low of $53.25.

The stock was up 16.40% in after-hours at $67.45 at the time of publication.

Photo: courtesy of DocuSign.