Analyzing TruBridge (NASDAQ:TBRG) and Doximity (NASDAQ:DOCS)

TruBridge (NASDAQ:TBRG) and Doximity (NASDAQ:DOCS) are both medical companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, institutional ownership, dividends, earnings, profitability, analyst recommendations and risk.

Risk and Volatility

TruBridge has a beta of 0.63, meaning that its stock price is 37% less volatile than the S&P 500. Comparatively, Doximity has a beta of 1.17, meaning that its stock price is 17% more volatile than the S&P 500.

Valuation and Earnings

This table compares TruBridge and Doximity’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TruBridge	$339.43 million	0.37	-$44.76 million	($3.15)	-2.71
Doximity	$419.05 million	11.32	$112.82 million	$0.66	38.52

Doximity has higher revenue and earnings than TruBridge. TruBridge is trading at a lower price-to-earnings ratio than Doximity, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

88.6% of TruBridge shares are owned by institutional investors. Comparatively, 87.2% of Doximity shares are owned by institutional investors. 3.6% of TruBridge shares are owned by company insiders. Comparatively, 39.4% of Doximity shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and target prices for TruBridge and Doximity, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TruBridge	0	0	2	0	3.00
Doximity	2	10	2	0	2.00

TruBridge presently has a consensus target price of $18.50, indicating a potential upside of 116.37%. Doximity has a consensus target price of $28.82, indicating a potential upside of 13.37%. Given TruBridge’s stronger consensus rating and higher possible upside, research analysts plainly believe TruBridge is more favorable than Doximity.

Profitability

This table compares TruBridge and Doximity’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TruBridge	-13.49%	10.33%	5.23%
Doximity	29.39%	16.08%	13.76%

Summary

Doximity beats TruBridge on 10 of the 13 factors compared between the two stocks.

About TruBridge

TruBridge, Inc. provides healthcare solutions and services for community hospitals, clinics, and other healthcare systems in the United States and internationally. The company operates in three segments: Revenue Cycle Management (RCM), Electronic Health Record (HER), and Patient Engagement. It focuses on providing RCM solutions for care settings, regardless of primary healthcare information solutions provider along with business management, consulting, managed IT services, and analytics and business intelligence. The company provides acute care solutions and related services for community hospitals, and physician clinics; and patient engagement and empowerment technology solutions to improve patient outcomes and engagement strategies with care providers. In addition, it offers patient liability estimates eligibility verification, claim scrubbing and submission, remittance management, denial/audit management, and contract management; and offers RCM services, such as accounts receivable management, private pay service, medical coding, revenue cycle consulting, and other additional insurance and patient billing services. Further, it offers consulting and business management services; managed IT services; encoder solutions; patient management; financial accounting; clinical; patient care; and enterprise applications. Additionally, it offers TruBridge HER platform, including total system support, national client conference, continuing education, software releases, hardware replacement, cloud electronic health record, forms and supplies, and public cloud infrastructure services; post-acute care software systems, and support and maintenance services; and InstantPHR, an interactive portal and CHBase which funnels data from multiple sources into one platform. The company was formerly known as Computer Programs and Systems, Inc. and changed its name to TruBridge, Inc. in March 2024. TruBridge, Inc. was founded in 1979 and is headquartered in Mobile, Alabama.

About Doximity

Doximity, Inc. operates a cloud-based digital platform for medical professionals in the United States. The company's 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 manufacturers and healthcare 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.