Oct 24, 2025 7:40 AM Eastern Daylight Time Halper Sadeh LLC Encourages Doximity Inc. Shareholders to Contact the Firm to Discuss Their Rights Share Shareholders should contact the firm immediately as there may be limited time to enforce your rights. NEW YORK--(BUSINESS WIRE)--Halper Sadeh LLC, an investor rights law firm, is investigating whether certain officers and directors of Doximity Inc. (NYSE: DOCS) breached their fiduciary duties to shareholders. If you currently own Doximity stock and acquired shar ...

Core Insights - Doximity's stock closed at $65.61, down 9.59% from the previous session, underperforming compared to the S&P 500's loss of 2.71% [1] - The stock has increased by 3.29% over the past month, outperforming the Medical sector's gain of 2.6% but lagging behind the S&P 500's gain of 3.5% [1] Earnings Performance - Doximity is expected to report earnings of $0.38 per share, reflecting a year-over-year growth of 26.67% [2] - The consensus estimate for revenue is $157.73 million, indicating a 15.27% increase from the same quarter last year [2] - For the full year, analysts project earnings of $1.51 per share and revenue of $632.56 million, representing changes of +6.34% and +10.9% respectively from the previous year [3] Analyst Estimates - Recent changes in analyst estimates for Doximity are crucial as they reflect short-term business trends [4] - Positive estimate revisions are seen as a sign of optimism regarding the business outlook [4] Valuation Metrics - Doximity has a Forward P/E ratio of 48.18, which is higher than the industry average of 41.88 [7] - The company has a PEG ratio of 3.5, compared to the industry average PEG ratio of 3.32 [7] Industry Context - The Medical Info Systems industry, which includes Doximity, ranks in the bottom 41% of all industries according to the Zacks Industry Rank [8] - The Zacks Industry Rank indicates that the top 50% of rated industries outperform the bottom half by a factor of 2 to 1 [8]

Key Takeaways DOCS' Q1 revenues rose 15% to $145.9M with adjusted EBITDA margin of 55%.DOCS' Scribe has 10,000 beta testers, with 75% using the AI note-taking tool weekly.DOCS' $26M Pathway deal adds clinical AI depth, boosting accuracy and physician trust.Doximity (DOCS) entered fiscal 2026 with stronger-than-expected results, reporting first-quarter revenues of $145.9 million (up 15% year over year) and an adjusted EBITDA margin of 55%. But the spotlight of the quarter wasn’t just financial outperformance ...

Economic Indicators - US MBA mortgage applications fell by -12.7% in the week ended September 26, with the purchase mortgage sub-index down -1.0% and the refinancing sub-index down -20.6% [1] - The September ISM manufacturing index rose +0.4 to a 7-month high of 49.1, exceeding expectations of 49.0 [6] - The September ADP employment change unexpectedly fell by -32,000, marking the largest decline in 2.5 years, while August was revised lower to -3,000 from +54,000 [5] Market Reactions - Stocks initially moved lower due to the US government shutdown, but later recovered, with the S&P 500 and Nasdaq 100 reaching new all-time highs [2][4] - The dollar index fell to a one-week low, while gold prices climbed to a record high amid risk-off sentiment [2] - Rising corporate earnings expectations are a bullish backdrop for stocks, with over 22% of S&P 500 companies providing guidance for Q3 earnings that are expected to beat analysts' expectations [8] Sector Performance - Pharmaceutical stocks rallied, with AstraZeneca closing up more than +9% and Eli Lilly up more than +8%, driven by hopes from Pfizer's deal with the US government [15] - Chipmakers and AI-infrastructure stocks also saw gains, with Super Micro Computer closing up more than +9% and Micron Technology up more than +8% [16] - Grocery retailers declined after Amazon announced a new private-label food brand, leading to Dollar Tree and Dollar General closing down more than -4% and -3% respectively [22] Upcoming Economic Data - Weekly initial unemployment claims are expected to increase by +7,000 to 225,000, and August factory orders are expected to rise by +1.4% month-over-month [9] - September nonfarm payrolls are anticipated to increase by +51,000, with the unemployment rate expected to remain unchanged at 4.3% [9]

Core Insights - Doximity, Inc. is recognized as a leading healthcare technology stock, utilizing AI-driven tools and strategic acquisitions to enhance its market position [1] - The recent acquisition of Pathway Medical significantly improves Doximity's DoxGPT tool, providing instant access to verified medical data and AI responses [2] - Doximity has introduced Doximity Scribe, an AI tool that automates clinical documentation, thereby reducing administrative workload for clinicians [3] Financial Performance - In the last quarter ending June 30, 2025, Doximity reported a 15% year-over-year revenue increase, reaching $145.9 million, surpassing analyst expectations [4] - The company achieved non-GAAP earnings per share (EPS) of $0.36, indicating strong financial performance [4] - User engagement and product adoption have notably increased, particularly for new AI scribe and workflow tools [4]

Upgrades - Baird upgraded United Rentals (URI) to Outperform from Neutral with a price target of $1,050, up from $888, indicating stabilization in the rental industry after two years of deceleration [2] - Jefferies upgraded Sunrun (RUN) to Buy from Hold with a price target of $21, up from $11, expecting cash generation to materialize in the second half and strong growth through 2026 as U.S. Third-Party Owners gain market share [3] - HSBC upgraded Autodesk (ADSK) to Buy from Hold with a price target of $343, down from $388, noting Autodesk's potential to monetize artificial intelligence and likely margin expansion [4] - Jefferies upgraded Delta Air Lines (DAL) to Buy from Hold with a price target of $70, up from $62, citing a raised Q3 revenue outlook to 2%-4% from 0%-4% as a sign of confidence in topline growth for Q4 and 2026 [5] - Jefferies upgraded Carvana (CVNA) to Buy from Hold with a price target of $475, up from $385, based on consumer survey results and capacity analysis suggesting continued elevated growth [6] Downgrades - Northland double downgraded DraftKings (DKNG) to Underperform from Outperform with a price target of $33, down from $53, due to increasing headwinds from prediction markets [7] - RBC Capital downgraded GE Vernova (GEV) to Sector Perform from Outperform with a price target of $605, down from $631, as current valuations reflect strong demand and productivity improvements [7] - Evercore ISI downgraded Allstate (ALL) to In Line from Outperform with a price target of $233, up from $230, citing over-earning in auto insurance and limited scope for positive estimate revisions [7] - Goldman Sachs downgraded Doximity (DOCS) to Sell from Neutral with a price target of $64, up from $57, indicating the growth profile does not support the current valuation [7] - Goldman Sachs downgraded LivaNova (LIVN) to Neutral from Buy with a price target of $55, down from $56, due to decelerating sales growth and slowing margin expansion [7]

Core Insights - The article discusses the 12 best healthcare stocks to buy and hold for five years, highlighting the role of AI in improving healthcare services and addressing insurance denials [1][4]. Group 1: AI in Healthcare - Dr. Warris Bokhari's platform utilizes AI to appeal health insurance denials for approximately 70 autoimmune diseases, addressing a significant issue where 850 million denials occur annually in the U.S. [2][3]. - The platform was launched on October 2, 2024, and aims to assist patients in navigating care denials by generating appeal letters based on healthcare plans [4]. Group 2: Stock Selection Methodology - The selection of the top healthcare stocks was based on criteria including EPS growth of over 10% in the past five years, an expected EPS growth rate of at least 20% over the next five years, and a forward PE ratio greater than 20 [6]. - The final ranking of stocks was influenced by the number of hedge fund holders as tracked by the Insider Monkey database as of Q2 2025 [6][7]. Group 3: Company Highlights - **Intuitive Surgical, Inc. (NASDAQ:ISRG)**: Pioneered robotic-assisted minimally invasive surgery with its da Vinci systems, which are used globally. The company introduced advanced software features for its da Vinci 5 system in September 2025, enhancing surgical capabilities [9][10]. - **Doximity, Inc. (NYSE:DOCS)**: A leading healthcare technology stock that completed the acquisition of Pathway Medical, enhancing its AI-driven tools. The company reported a 15% year-over-year revenue increase, reaching $145.9 million for the quarter ending June 30, 2025 [13][15]. - **Penumbra, Inc. (NYSE:PEN)**: A leader in thrombectomy and vascular intervention technologies, recently introduced the Ruby XL System and the Lightning Bolt 6X device, expanding its product offerings and market reach [16][18].

Core Insights - Virtual healthcare and physician-focused digital platforms are transforming U.S. healthcare delivery, with Hims & Hers Health, Inc. and Doximity, Inc. leading the charge [1][2] - Hims & Hers focuses on consumer access and affordability, while Doximity leverages its physician network and enterprise solutions [2] Stock Performance & Valuation - Hims & Hers has increased by 208.8% over the past year, outperforming Doximity's 73.4% gain, although Doximity has outperformed Hims & Hers in the last three months with a 21.8% increase compared to Hims' 11.1% [3][6] - Hims & Hers has a forward price-to-sales (P/S) ratio of 4.6, while Doximity's is at 20.9, both above their respective three-year medians [5] - Hims & Hers has a Zacks Style Score with a Growth Score of A, while Doximity has a Growth Score of B [5] Growth Drivers for Hims & Hers - Hims & Hers is diversifying its offerings into areas like weight loss and chronic conditions, with the rollout of generic semaglutide presenting a significant opportunity [7] - The company is expanding internationally, with plans to enter Canada in 2026 and the acquisition of ZAVA enhancing its European presence [7] - Hims & Hers is investing in AI to improve diagnostics and treatment personalization, aiming for a technology-driven healthcare platform [8] Growth Drivers for Doximity - Doximity has over 80% of U.S. physicians active on its platform, with high engagement levels and a sticky ecosystem that supports recurring revenue growth [10] - The launch of Doximity Scribe, which automates clinical note-taking, has seen strong adoption, with over 75% of users returning weekly [11] - Doximity's growth is supported by strong adoption among pharmaceutical and health system clients, contributing to broad-based revenue growth [12] Earnings Projections - The Zacks Consensus Estimate for Hims & Hers suggests a 122.2% improvement in earnings per share (EPS) from 2024 to 2025 [15] - Doximity's fiscal 2026 EPS is projected to improve by 6.3% from fiscal 2025 [17] Price Targets - The average price target for Hims & Hers is $48.67, indicating a potential decline of 11.3% from the last close [20] - The average price target for Doximity is $68.83, suggesting a potential increase of 7.5% from the last close [23] Investment Considerations - Hims & Hers is viewed as a more stable investment opportunity with strong profitability and user engagement, while Doximity is rapidly expanding but may be trading at a higher valuation [24][25] - Both companies are ranked 3 (Hold) by Zacks, but Hims & Hers is considered to have a more capital-efficient model and better growth prospects [24][25]

Core Insights - The investment approach focuses on identifying businesses with potential for long-term growth and significant terminal value generation [1] - Emphasis is placed on understanding core business economics, including competitive advantages, unit economics, reinvestment opportunities, and management quality [1] - The goal is to generate long-term free cash flow and create shareholder value through fundamental research in sectors with strong secular tailwinds [1] Investment Philosophy - The investor is self-educated with a decade of experience in managing personal funds, primarily sourced from friends and family [1] - The motivation for sharing insights is to provide value to readers and receive feedback from the investment community [1] - The analysis aims to highlight the key drivers of long-term equity value, ensuring that it is both analytical and accessible [1]

Company Performance - Doximity (DOCS) closed at $73.60, with a daily increase of +1.28%, outperforming the S&P 500's gain of 0.48% [1] - The stock has risen by 12.91% over the past month, leading the Medical sector's gain of 1.09% and the S&P 500's gain of 2.46% [1] Upcoming Earnings - Doximity is expected to report EPS of $0.38, reflecting a 26.67% increase from the prior-year quarter [2] - The projected revenue for the upcoming earnings is $157.73 million, up 15.27% from the year-ago period [2] Fiscal Year Estimates - For the entire fiscal year, earnings are estimated at $1.5 per share, indicating a +5.63% change from the previous year [3] - Revenue for the fiscal year is projected at $632.56 million, showing a +10.9% increase from the prior year [3] Analyst Estimates - Investors should monitor changes in analyst estimates for Doximity, as positive revisions indicate confidence in business performance [4] - Estimate revisions are correlated with near-term share price momentum, which can be leveraged for investment strategies [5] Zacks Rank and Valuation - Doximity currently holds a Zacks Rank of 3 (Hold), with no changes in the EPS estimate over the past month [6] - The company has a Forward P/E ratio of 48.38, which is higher than the industry average of 38.89 [7] - Doximity's PEG ratio stands at 3.52, compared to the industry average PEG ratio of 3.28 [7] Industry Overview - The Medical Info Systems industry, part of the Medical sector, has a Zacks Industry Rank of 68, placing it in the top 28% of over 250 industries [8] - The top 50% rated industries outperform the bottom half by a factor of 2 to 1, indicating a favorable environment for investment [8]