DocuSign, Inc. (NASDAQ:DOCU) shares were trading 18% lower Friday morning following the company’s reported Q4 results. While EPS of $0.48 came in better than the Street estimate of $0.47, the company’s guidance was disappointing. It expects Q1/23 revenue to range from $579 million to $583 million, compared to the Street estimate of $594.4 million. For the full 2023-year, revenue is expected to range from $2.47 billion to $2.482 billion, compared to the Street estimate of $2.61 billion.

Analysts at RBC Capital provided their views on the company following the results, mentioning their key takeaways, including (1) 2023 guidance was weak, (2) decelerating underlying metrics (billings, both US/international revenue, DBNRR), except for net adds, and (3) significant GTM changes.

While the analysts still like the long-term opportunity, they believe in the near-term investors have little to hang their hat on and the stock is likely sidelined until signs of improvement. The analysts lowered their price target on the company’s shares to $95 from $220, while maintaining their outperform rating.