Often known as the “LinkedIn for Docs,” Doximity, Inc. (NYSE: DOCS) is a well-liked social networking and telemedicine firm. This cloud-based platform offers its members with instruments to successfully collaborate with colleagues, securely coordinate affected person care, conduct digital affected person visits, and keep up to date with latest medical developments and information.
Based in 2010, the corporate boasts of two million medical skilled members, as of March 31, 2022. A well-diversified mixture of members, encompassing 80% of physicians that cowl all 50 states within the U.S., over 50% of U.S. nurse practitioners and doctor assistants, and over 90% of graduating U.S. medical college students, use this platform.
Now, let’s discover extra about this just lately listed firm, which created a whole lot of buzz throughout the peak pandemic days.
IPO Particulars
Headquartered in San Francisco, CA, Doximity received listed on the New York Inventory Trade in June 2021. The corporate bought 22,505,750 shares of its Class A standard inventory at $26 per share, together with 3,495,000 shares issued upon the train of the underwriters’ choice to purchase extra shares.
By means of its preliminary public providing (IPO), Doximity raised $548.5 million in web proceeds.
Doximity made its debut on the change on June 25, 2021. Shares of the corporate opened at $50, up 92.3% from the IPO value, and closed the day at $55.98, up 115.3%. Sadly, DOCS inventory has declined 18% (as of July 8, 2022) since its itemizing, based on TipRanks.
The corporate’s inventory witnessed an all-time excessive of $107.79 (up a stupendous 314.6% from the IPO value and 92.6% from the closing value on June 24) in September 2021. In Might 2022, DOCS inventory hit its all-time low of $27.06.
Presently, Doximity instructions a market capitalization of $7.43 billion.
Current Developments
Doximity’s earnings outcomes for the fourth quarter of Fiscal 2022 have been spectacular. Revenues for the quarter got here in at $93.65 million, up 40.4% from the year-ago interval.
Throughout its final earnings name, Doximity knowledgeable its stakeholders that its board of administrators approved a brand new inventory repurchase program to amass as much as $70 million of the corporate’s Class A standard inventory, starting within the first quarter of Fiscal 2023.
In April, the corporate additionally efficiently concluded the acquisition of a doctor scheduling platform, Amion.
Future Prospects & Dangers
The second version of Doximity’s State of Telemedicine Report highlights that about 73% of sufferers plan to proceed utilizing telemedicine platforms, even after the pandemic subsides.
Additionally, the U.S. digital well being market is predicted to see a compound annual development price (CAGR) of 26.9% between 2022 and 2030, based on a Grand View Analysis report.
Sadly, Doximity’s dismal income projections of $88.6 million to $89.6 million for first quarter of Fiscal 2023 have left its buyers frowning.
Efficiency on TipRanks
Lately, Vikram Kesavabhotla of Robert W. Baird reiterated a Purchase ranking on the inventory with a value goal of $45 (6.43% upside potential).
Total, the Road is cautiously optimistic concerning the inventory and has a Reasonable Purchase consensus ranking primarily based on 9 Buys, 2 Maintain and 1 Promote. Doximity’s common value goal of $47.50 alerts that the inventory might surge practically 12.35% from present ranges.
TipRanks knowledge exhibits that monetary bloggers are 85% Bullish on Doximity, in comparison with the sector common of 65%.
Concluding Ideas
Doximity appears to be well-positioned to learn from the burgeoning digital well being care market. Additional, DOCS inventory might be thought-about by buyers who’re searching for to purchase the dip within the firm’s shares.
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