10:45 AM EDT, 03/11/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We raise our 12-month target price by $5 to $65, applying an EV/sales multiple of 4.2x to our FY 2025 (Jan.) estimate, a slight premium to peers, reflecting its dominant market share position. We raise our FY 2025 EPS estimate by $0.39 to $3.25 and set FY 2026's at $3.48. DOCU reported Jan-Q operating EPS of $0.76 vs. $0.65, $0.11 above the consensus. Jan-Q revenue increased 8%, with 8% growth in subscription and a 13% increase in billings, driven by solid execution around renewals, especially with large customers. Net dollar retention continued to trend down to 89%, which we expect to continue into FY 2025 but at a moderating pace. While DOCU continues to face a number of headwinds, we are encouraged by Jan-Q results, as well as improving profitability measures. In addition, we continue to believe that international markets continue to present a strong opportunity for expansion for DOCU.