In the latest trading session, Doximity (DOCS) closed at $60.55, marking a -1.51% move from the previous day. The stock's change was less than the S&P 500's daily loss of 0.33%. On the other hand, the Dow registered a loss of 0.37%, and the technology-centric Nasdaq decreased by 0.53%.
The medical social networking site's stock has dropped by 15.67% in the past month, falling short of the Medical sector's loss of 3.24% and the S&P 500's loss of 4.03%.
Investors will be eagerly watching for the performance of Doximity in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.27, reflecting an 8% increase from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $133.76 million, showing a 13.3% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.31 per share and revenue of $562.98 million, indicating changes of +37.89% and +18.42%, respectively, compared to the previous year.
Any recent changes to analyst estimates for Doximity should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.52% higher within the past month. Doximity is currently a Zacks Rank #1 (Strong Buy).
Looking at its valuation, Doximity is holding a Forward P/E ratio of 47. This valuation marks a premium compared to its industry's average Forward P/E of 16.08.
We can additionally observe that DOCS currently boasts a PEG ratio of 2.54. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Medical Services industry had an average PEG ratio of 1.46 as trading concluded yesterday.
The Medical Services industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 71, finds itself in the top 29% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Doximity, Inc. (DOCS) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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