ALAB vs. DOCU: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ALAB and DOCU, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
ALAB’s market capitalization stands at 14.97 billion USD, while DOCU’s is 15.97 billion USD, indicating their market valuations are broadly comparable.
With betas of 1.40 for ALAB and 1.13 for DOCU, both stocks show similar sensitivity to overall market movements.
| Symbol | ALAB | DOCU |
|---|---|---|
| Company Name | Astera Labs, Inc. Common Stock | DocuSign, Inc. |
| Country | US | US |
| Sector | Technology | Technology |
| Industry | Semiconductors | Software - Application |
| CEO | Jitendra Mohan | Allan C. Thygesen |
| Price | 90.8 USD | 79.02 USD |
| Market Cap | 14.97 billion USD | 15.97 billion USD |
| Beta | 1.40 | 1.13 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | March 20, 2024 | April 27, 2018 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ALAB and DOCU by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ALAB
4.43%
Semiconductors Industry
- Max
- 41.84%
- Q3
- 15.81%
- Median
- 6.31%
- Q1
- -5.54%
- Min
- -30.12%
ALAB’s Return on Equity of 4.43% is on par with the norm for the Semiconductors industry, indicating its profitability relative to shareholder equity is typical for the sector.
DOCU
55.53%
Software - Application Industry
- Max
- 59.01%
- Q3
- 17.85%
- Median
- 4.73%
- Q1
- -10.56%
- Min
- -52.94%
In the upper quartile for the Software - Application industry, DOCU’s Return on Equity of 55.53% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
ALAB
-4.25%
Semiconductors Industry
- Max
- 30.91%
- Q3
- 11.34%
- Median
- 4.08%
- Q1
- -2.17%
- Min
- -19.59%
ALAB has a negative Return on Invested Capital of -4.25%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.
DOCU
41.37%
Software - Application Industry
- Max
- 35.07%
- Q3
- 9.72%
- Median
- 0.76%
- Q1
- -8.68%
- Min
- -34.12%
DOCU’s Return on Invested Capital of 41.37% is exceptionally high, placing it well beyond the typical range for the Software - Application industry. This demonstrates an outstanding ability to deploy capital efficiently and create significant value.
Net Profit Margin
ALAB
8.44%
Semiconductors Industry
- Max
- 51.69%
- Q3
- 19.67%
- Median
- 8.56%
- Q1
- -5.44%
- Min
- -38.60%
ALAB’s Net Profit Margin of 8.44% is aligned with the median group of its peers in the Semiconductors industry. This indicates its ability to convert revenue into profit is typical for the sector.
DOCU
36.50%
Software - Application Industry
- Max
- 48.14%
- Q3
- 16.07%
- Median
- 1.83%
- Q1
- -9.60%
- Min
- -45.64%
A Net Profit Margin of 36.50% places DOCU in the upper quartile for the Software - Application industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
ALAB
-4.45%
Semiconductors Industry
- Max
- 58.03%
- Q3
- 22.12%
- Median
- 8.40%
- Q1
- -3.73%
- Min
- -36.14%
ALAB has a negative Operating Profit Margin of -4.45%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
DOCU
7.84%
Software - Application Industry
- Max
- 51.67%
- Q3
- 15.35%
- Median
- 1.79%
- Q1
- -12.42%
- Min
- -45.17%
DOCU’s Operating Profit Margin of 7.84% is around the midpoint for the Software - Application industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | ALAB | DOCU |
|---|---|---|
| Return on Equity (TTM) | 4.43% | 55.53% |
| Return on Assets (TTM) | 3.69% | 28.02% |
| Return on Invested Capital (TTM) | -4.25% | 41.37% |
| Net Profit Margin (TTM) | 8.44% | 36.50% |
| Operating Profit Margin (TTM) | -4.45% | 7.84% |
| Gross Profit Margin (TTM) | 75.76% | 79.23% |
Financial Strength
Current Ratio
ALAB
13.92
Semiconductors Industry
- Max
- 9.10
- Q3
- 5.23
- Median
- 3.09
- Q1
- 2.49
- Min
- 1.02
ALAB’s Current Ratio of 13.92 is exceptionally high, placing it well outside the typical range for the Semiconductors industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
DOCU
0.79
Software - Application Industry
- Max
- 5.09
- Q3
- 2.84
- Median
- 1.70
- Q1
- 1.12
- Min
- 0.04
DOCU’s Current Ratio of 0.79 falls into the lower quartile for the Software - Application industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio
ALAB
--
Semiconductors Industry
- Max
- 0.97
- Q3
- 0.46
- Median
- 0.21
- Q1
- 0.05
- Min
- 0.00
Debt-to-Equity Ratio data for ALAB is currently unavailable.
DOCU
0.07
Software - Application Industry
- Max
- 1.85
- Q3
- 0.77
- Median
- 0.18
- Q1
- 0.05
- Min
- 0.00
DOCU’s Debt-to-Equity Ratio of 0.07 is typical for the Software - Application industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
ALAB
--
Semiconductors Industry
- Max
- 36.25
- Q3
- 29.12
- Median
- 7.01
- Q1
- -1.22
- Min
- -18.18
Interest Coverage Ratio data for ALAB is currently unavailable.
DOCU
126.09
Software - Application Industry
- Max
- 39.23
- Q3
- 8.55
- Median
- 1.48
- Q1
- -14.59
- Min
- -39.97
With an Interest Coverage Ratio of 126.09, DOCU demonstrates a superior capacity to service its debt, placing it well above the typical range for the Software - Application industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | ALAB | DOCU |
|---|---|---|
| Current Ratio (TTM) | 13.92 | 0.79 |
| Quick Ratio (TTM) | 13.26 | 0.79 |
| Debt-to-Equity Ratio (TTM) | -- | 0.07 |
| Debt-to-Asset Ratio (TTM) | -- | 0.03 |
| Net Debt-to-EBITDA Ratio (TTM) | 4.76 | -1.31 |
| Interest Coverage Ratio (TTM) | -- | 126.09 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ALAB and DOCU. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ALAB
0.00%
Semiconductors Industry
- Max
- 6.48%
- Q3
- 0.93%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ALAB currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
DOCU
0.00%
Software - Application Industry
- Max
- 3.66%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
DOCU currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio
ALAB
0.00%
Semiconductors Industry
- Max
- 204.29%
- Q3
- 31.85%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ALAB has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
DOCU
0.00%
Software - Application Industry
- Max
- 81.09%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
DOCU has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | ALAB | DOCU |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
Price-to-Earnings Ratio
ALAB
357.98
Semiconductors Industry
- Max
- 86.15
- Q3
- 47.38
- Median
- 27.87
- Q1
- 18.89
- Min
- 4.73
At 357.98, ALAB’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Semiconductors industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
DOCU
14.52
Software - Application Industry
- Max
- 194.31
- Q3
- 98.56
- Median
- 51.87
- Q1
- 22.76
- Min
- 1.02
In the lower quartile for the Software - Application industry, DOCU’s P/E Ratio of 14.52 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Forward P/E to Growth Ratio
ALAB
10.80
Semiconductors Industry
- Max
- 4.73
- Q3
- 2.80
- Median
- 1.11
- Q1
- 0.68
- Min
- 0.01
The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.
DOCU
1.31
Software - Application Industry
- Max
- 15.44
- Q3
- 6.57
- Median
- 2.78
- Q1
- 0.55
- Min
- 0.00
DOCU’s Forward PEG Ratio of 1.31 is within the middle range of its peers in the Software - Application industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
ALAB
30.53
Semiconductors Industry
- Max
- 21.96
- Q3
- 10.21
- Median
- 4.45
- Q1
- 2.32
- Min
- 0.48
With a P/S Ratio of 30.53, ALAB trades at a valuation that eclipses even the highest in the Semiconductors industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
DOCU
5.27
Software - Application Industry
- Max
- 23.49
- Q3
- 11.14
- Median
- 5.62
- Q1
- 2.84
- Min
- 0.33
DOCU’s P/S Ratio of 5.27 aligns with the market consensus for the Software - Application industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
ALAB
14.23
Semiconductors Industry
- Max
- 13.12
- Q3
- 6.49
- Median
- 3.31
- Q1
- 1.74
- Min
- 0.23
At 14.23, ALAB’s P/B Ratio is at an extreme premium to the Semiconductors industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
DOCU
7.97
Software - Application Industry
- Max
- 21.03
- Q3
- 10.49
- Median
- 6.36
- Q1
- 2.89
- Min
- 0.12
The P/B Ratio is often not a primary valuation metric for the Software - Application industry.
Valuation at a Glance
| Symbol | ALAB | DOCU |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 357.98 | 14.52 |
| Forward PEG Ratio (TTM) | 10.80 | 1.31 |
| Price-to-Sales Ratio (P/S, TTM) | 30.53 | 5.27 |
| Price-to-Book Ratio (P/B, TTM) | 14.23 | 7.97 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 138.44 | 17.43 |
| EV-to-EBITDA (TTM) | -820.32 | 38.58 |
| EV-to-Sales (TTM) | 30.35 | 5.10 |