Head-To-Head Review: Doximity (DOCS) versus Its Competitors

Doximity (NYSE:DOCS) is one of 44 publicly-traded companies in the “Services – Computer Programming And Data Processing” industry, but how does it compare to its peers? We will compare Doximity to related companies based on the strength of its valuation, earnings, risk, dividends, analyst recommendations, institutional ownership and profitability.

Insider and Institutional Ownership

87.2% of Doximity shares are held by institutional investors. Comparatively, 56.8% of shares of all “Services – Computer Programming And Data Processing” companies are held by institutional investors. 31.3% of Doximity shares are held by company insiders. Comparatively, 22.3% of shares of all “Services – Computer Programming And Data Processing” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent ratings for Doximity and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Doximity	0	2	1	2	3.00
Doximity Competitors	88	194	212	11	2.29

As a group, “Services – Computer Programming And Data Processing” companies have a potential upside of 100.04%. Given Doximity’s peers higher probable upside, analysts plainly believe Doximity has less favorable growth aspects than its peers.

Earnings & Valuation

This table compares Doximity and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Doximity	$570.40 million	$223.18 million	32.76
Doximity Competitors	$280.97 million	-$64.10 million	-9.52

Doximity has higher revenue and earnings than its peers. Doximity is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Volatility & Risk

Doximity has a beta of 1.39, suggesting that its stock price is 39% more volatile than the S&P 500. Comparatively, Doximity’s peers have a beta of 0.80, suggesting that their average stock price is 20% less volatile than the S&P 500.

Profitability

This table compares Doximity and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Doximity	40.72%	24.63%	21.30%
Doximity Competitors	-51.08%	-912.69%	-63.05%

Summary

Doximity beats its peers on 11 of the 13 factors compared.

About Doximity

Doximity, Inc. operates a cloud-based digital platform for medical professionals in the United States. The company’s cloud-based platform provides its members with tools built for medical professionals, enabling them to collaborate with their colleagues, coordinate patient care, conduct virtual patient visits, stay up-to-date with the latest medical news and research, and manage their careers. It primarily serves pharmaceutical companies and health systems. The company was formerly known as 3MD Communications, Inc. and changed its name to Doximity, Inc. in June 2010. Doximity, Inc. was incorporated in 2010 and is headquartered in San Francisco, California.