Pandemic darling DocuSign stumbles as Wedbush sets Street low PT

Tenable Holdings

03/05/2022 13:12

** Shares of electronic-signature solution provider  DOCU.O 
drop 4.5% to $81.90 premarket as Wedbush downgrades to
"underperform" from "neutral" and sets the lowest PT on Street
    ** Brokerage cuts its PT to $60 from $80, which implies a
30% downside in shares
    ** Median PT of 23 brokerages covering DOCU is $109, avg.
rating is "buy" - Eikon Refinitiv data
    ** Analyst Dan Ives says "WFH poster children such as
Netflix  NFLX.O , Zoom  ZM.O , DocuSign, etc. will continue to
see multiples compress as results soften off pandemic highs"
    ** Also downgrades both - 3D virtual tour creator Matterport
 MTTR.O  and artificial intelligence software firm C3.ai  AI.N 
- to "neutral" from "outperform" 
    ** MTTR shares fall 4.6%; AI down 3.2%
    ** Wedbush names Microsoft  MSFT.O  and Apple  AAPL.O  as
its top picks amid the tech-led selloff in stocks
    ** Within its favorite sub-sector, cyber security, brokerage
names Palo Alto  PAWN.ON , Zscaler  ZS.O , Tenable  TENB.O ,
Fortinet  FTNT.O , and CyberArk  CYBG.F  as its favorite picks
    ** Our unwavering view is that the shift to the cloud is
only ~40% complete with a massive digital growth wave ahead that
will benefit Microsoft  MSFT.O , Amazon (AWS)  AMZN.O , Google
(GCP)  GOOGL.O , Salesforce  CRM.N , and Oracle  ORCL.O -
Wedbush
    ** DOCU down 43% this year after doubling of the previous
two years; MTTR down 71% and AI down 42% YTD

 (Reporting by Medha Singh)
 ((medha.singh@thomsonreuters.com))