DocuSign CEO Dan Springer is stepping down, the company announced Tuesday.
The e-signature software firm said Springer “has agreed to step aside,” effective immediately. DocuSign has lost more than 60% of its value year to date and posted fiscal first-quarter earnings that fell short of analyst expectations.
Chairman of the Board Maggie Wilderotter will serve as interim CEO as the company begins its search for a next executive.
Shares of the San Francisco based company were up about 1% when markets opened.
After five and a half years as CEO and taking the company public in 2018 Springer reported massive growth since the company quickly capitalized on the Covid-19 pandemic as online transactions and deals surged.
However, the market adjusted and DocuSign has been slowing. On Friday its shares were off 80% from their 52-week high as several Wall Street firms downgraded the stock.
In each of the company’s last three quarterly reports, shares have lost at least 20% of their value.
According to Yahoo Finance, earlier this month Springer told analysts that he misread the temporary nature of a surge in demand and that left the business overstaffed and mispositioned for the current turn in the cycle.
“I underestimated the impact in the post-COVID demand acceleration, and maybe how dramatic that was,” Springer said to analysts then.