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We recently published a list of AI Stocks Dominate Friday’s Top 10 Performers. In this article, we are going to take a look at where DocuSign Inc. (NASDAQ:DOCU) stands against other AI stocks that dominate Friday’s top performers.
The stock market bounced back on Friday, erasing the week’s losses following news that a feared government shutdown is unlikely to happen amid news that a funding plan is likely to be passed.
The tech-heavy Nasdaq recorded the highest gain, adding 2.61 percent, followed by the S&P 500 with a 2.13-percent gain, and the Dow Jones with 1.65 percent.
Ten companies, predominantly under the AI industry, mirrored the broader market optimism, registering strong double-digit gains during the session. In this article, we have named the day’s best performers and detailed the reasons behind their performance.
To come up with the list, we only considered those with $2 billion in market capitalization and $5 million in trading volume.
A software engineer in front of a computer screen, typing code to build the company's electronic signature software.
DocuSign Inc. (NASDAQ:DOCU)
Electronic document management specialist DocuSign grew its share prices by as much as 18.7 percent at intra-day trading on Friday before ending the day just up by 14.81 percent at $85.76 apiece as investors cheered its impressive earnings performance during the last quarter and fiscal year.
In its latest earnings report, DOCU said net income in the last quarter ending January 31, 2025, expanded by 206 percent to $83.491 million from $27.241 million in the same period a year earlier, as revenues grew 8.99 percent to $776 million from $712 million.
Net income for the full year also soared by 1,361 percent to $1.067 billion from only $73.98 million a year earlier, while revenues rose by 7.78 percent to $2.976 billion from $2.761 billion.
Looking ahead, DOCU expects revenues in the next quarter to end between $745 million and $749 million and between $3.129 billion and $3.141 billion on a full-year basis.
Overall, DOCU ranks 5th on our list of AI stocks that dominate Friday’s top performers. While we acknowledge the potential of DOCU as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as DOCU but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.