Doximity (NYSE:DOCS) Trading 8.6% Higher – Still a Buy?

Doximity, Inc. (NYSE:DOCS)’s share price rose 8.6% on Friday . The company traded as high as $19.49 and last traded at $19.5560. Approximately 1,593,385 shares were traded during mid-day trading, a decline of 57% from the average daily volume of 3,669,736 shares. The stock had previously closed at $18.01.

Trending Headlines about Doximity

Here are the key news stories impacting Doximity this week:

• Positive Sentiment: Doximity reported quarterly EPS of $0.26, beating the lower end of expectations, and revenue rose 5.1% year over year to $145.37 million, showing the business is still growing. Doximity Earnings Report
• Neutral Sentiment: Some analysts said the stock is technically oversold and could be due for a rebound after a sharp recent selloff, suggesting the heavy selling pressure may be nearing exhaustion. Zacks Oversold/Turnaround Article
• Negative Sentiment: Doximity’s fiscal 2027 revenue guidance came in below Wall Street estimates, with management forecasting $151 million-$152 million for Q1 and $664 million-$676 million for the full year versus higher consensus expectations. Doximity Q4 2026 Earnings Call Transcript
• Negative Sentiment: Several brokerages cut price targets or downgraded the stock, including JPMorgan, Mizuho, BMO Capital Markets, Robert W. Baird, Wells Fargo, BTIG, and Truist, signaling falling confidence in near-term upside. Analyst Downgrades and Price Target Cuts
• Negative Sentiment: Investor sentiment was further pressured by insider selling and unusually high put-option activity, which can suggest traders are hedging or expecting additional downside. Insider Trade Disclosure

Analyst Ratings Changes

DOCS has been the topic of a number of research reports. Leerink Partners decreased their price target on shares of Doximity from $31.00 to $25.00 and set an “outperform” rating on the stock in a research note on Thursday. BTIG Research lowered shares of Doximity from a “buy” rating to a “neutral” rating in a research note on Thursday. Needham & Company LLC decreased their price target on shares of Doximity from $55.00 to $27.00 and set a “buy” rating on the stock in a research note on Thursday. Canaccord Genuity Group decreased their price target on shares of Doximity from $34.00 to $30.00 and set a “buy” rating on the stock in a research note on Thursday. Finally, Truist Financial reiterated a “hold” rating and issued a $19.00 price objective (down from $29.00) on shares of Doximity in a report on Thursday. Two analysts have rated the stock with a Strong Buy rating, eight have issued a Buy rating and fourteen have issued a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $30.62.

Doximity Trading Up 6.1%

The firm has a market cap of $3.53 billion, a P/E ratio of 19.27, a price-to-earnings-growth ratio of 1.66 and a beta of 1.36. The stock’s fifty day moving average price is $24.09.

Doximity announced that its Board of Directors has initiated a share buyback program on Thursday, February 5th that permits the company to buyback $500.00 million in shares. This buyback authorization permits the company to reacquire up to 8% of its stock through open market purchases. Stock buyback programs are often a sign that the company’s board of directors believes its shares are undervalued.

Insider Buying and Selling

In other Doximity news, insider Siddharth Sitaram sold 2,309 shares of the business’s stock in a transaction on Monday, May 11th. The shares were sold at an average price of $25.77, for a total value of $59,502.93. Following the completion of the transaction, the insider owned 89,396 shares in the company, valued at $2,303,734.92. The trade was a 2.52% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Kira Scherer Wampler sold 9,000 shares of the business’s stock in a transaction on Thursday, May 7th. The stock was sold at an average price of $26.06, for a total transaction of $234,540.00. Following the completion of the transaction, the director owned 19,839 shares of the company’s stock, valued at approximately $517,004.34. This trade represents a 31.21% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 18,055 shares of company stock valued at $456,061 in the last 90 days. Insiders own 31.30% of the company’s stock.

Hedge Funds Weigh In On Doximity

Institutional investors have recently modified their holdings of the business. Root Financial Partners LLC acquired a new position in shares of Doximity in the third quarter worth $30,000. Whittier Trust Co. of Nevada Inc. lifted its position in Doximity by 59.5% in the third quarter. Whittier Trust Co. of Nevada Inc. now owns 480 shares of the company’s stock valued at $35,000 after acquiring an additional 179 shares during the last quarter. Northwestern Mutual Wealth Management Co. lifted its position in Doximity by 99.5% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 796 shares of the company’s stock valued at $35,000 after acquiring an additional 397 shares during the last quarter. Toth Financial Advisory Corp lifted its position in Doximity by 100.0% in the fourth quarter. Toth Financial Advisory Corp now owns 1,000 shares of the company’s stock valued at $44,000 after acquiring an additional 500 shares during the last quarter. Finally, Atlantic Union Bankshares Corp lifted its position in Doximity by 136.9% in the third quarter. Atlantic Union Bankshares Corp now owns 616 shares of the company’s stock valued at $45,000 after acquiring an additional 356 shares during the last quarter. Institutional investors and hedge funds own 87.19% of the company’s stock.

About Doximity

Doximity, trading as DOCS, operates a digital professional network and communications platform designed primarily for clinicians. Headquartered in San Francisco, the company connects physicians, nurse practitioners, physician assistants and other healthcare professionals, providing tools that streamline clinical communication, telehealth delivery and access to specialty-specific medical information. Its platform is positioned as a professional hub where clinicians manage their workflows, stay current with medical news and collaborate securely with peers.

The company’s offerings include secure messaging and video telehealth capabilities that enable clinicians to consult with patients and colleagues while protecting patient information.