Doximity (NYSE:DOCS) Stock Rating Lowered by Robert W. Baird

Doximity (NYSE:DOCS) was downgraded by equities research analysts at Robert W. Baird from a “strong-buy” rating to a “hold” rating in a research report issued on Thursday,Zacks.com reports.

A number of other research analysts also recently commented on the company. The Goldman Sachs Group reduced their price target on Doximity from $28.00 to $24.00 and set a “neutral” rating for the company in a report on Thursday. Barclays set a $20.00 price objective on shares of Doximity in a research note on Thursday. Needham & Company LLC reduced their price target on shares of Doximity from $55.00 to $27.00 and set a “buy” rating on the stock in a research report on Thursday. Truist Financial reaffirmed a “hold” rating and set a $19.00 price target (down from $29.00) on shares of Doximity in a research report on Thursday. Finally, BMO Capital Markets reduced their target price on Doximity from $25.00 to $20.00 and set a “market perform” rating on the stock in a report on Thursday. Two investment analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating and thirteen have assigned a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $30.62.

Doximity Stock Performance

DOCS stock opened at $17.94 on Thursday. Doximity has a 12-month low of $17.15 and a 12-month high of $76.51. The stock has a market capitalization of $3.31 billion, a P/E ratio of 18.12, a PEG ratio of 1.66 and a beta of 1.36. The firm’s 50-day moving average price is $24.09.

Doximity announced that its board has initiated a stock buyback program on Thursday, February 5th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the company to buy up to 8% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s management 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 transaction of $59,502.93. Following the sale, the insider directly owned 89,396 shares of the company’s stock, valued at $2,303,734.92. The trade was a 2.52% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. 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 company’s stock in a transaction on Thursday, May 7th. The shares were sold at an average price of $26.06, for a total value of $234,540.00. Following the transaction, the director directly owned 19,839 shares in the company, valued at $517,004.34. The trade was a 31.21% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 18,055 shares of company stock worth $456,061 in the last 90 days. 31.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On Doximity

A number of hedge funds have recently modified their holdings of DOCS. Carmignac Gestion increased its position in Doximity by 355.9% in the 4th quarter. Carmignac Gestion now owns 1,893,026 shares of the company’s stock worth $83,831,000 after purchasing an additional 1,477,798 shares during the last quarter. SG Americas Securities LLC increased its stake in shares of Doximity by 3,403.2% during the 1st quarter. SG Americas Securities LLC now owns 1,408,597 shares of the company’s stock worth $32,820,000 after purchasing an additional 1,368,388 shares during the last quarter. Northwestern Mutual Wealth Management Co. increased its stake in shares of Doximity by 325,436.6% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 1,298,891 shares of the company’s stock worth $57,515,000 after purchasing an additional 1,298,492 shares during the last quarter. Federated Hermes Inc. increased its stake in shares of Doximity by 3,422.7% during the 4th quarter. Federated Hermes Inc. now owns 1,249,085 shares of the company’s stock worth $55,309,000 after purchasing an additional 1,213,627 shares during the last quarter. Finally, Capital World Investors increased its stake in shares of Doximity by 25.7% during the 3rd quarter. Capital World Investors now owns 5,381,431 shares of the company’s stock worth $393,652,000 after purchasing an additional 1,101,848 shares during the last quarter. 87.19% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting Doximity

Here are the key news stories impacting Doximity this week:

• Positive Sentiment: Doximity reported adjusted earnings of $0.26 per share, topping the lower analyst estimate of $0.17, and revenue rose 5.1% year over year to $145.37 million, showing the business is still growing. Doximity Earnings Report
• Positive Sentiment: Management highlighted ongoing AI investment and strong cash generation, which could support longer-term product growth if monetization improves. Doximity Earnings Call
• Neutral Sentiment: Truist maintained a Hold rating while lowering its target to $19, signaling caution but not a full bearish call. Truist Hold Rating
• Neutral Sentiment: Several firms also trimmed price targets, including JPMorgan to $28, Needham to $27, Mizuho to $26, and BMO to $20, reflecting more conservative expectations after earnings. JPMorgan Price Target Cut
• Negative Sentiment: Doximity missed the broader earnings consensus, posting $0.26 per share versus expectations for $0.28, which likely disappointed traders looking for a cleaner beat. Doximity Lags Q4 Earnings Estimates
• Negative Sentiment: More importantly, first-quarter FY2027 revenue guidance of $151 million to $152 million and full-year FY2027 revenue guidance of $664 million to $676 million both came in below Wall Street estimates, pointing to a softer outlook. Doximity Q4 2026 Earnings Call Transcript
• Negative Sentiment: Analyst sentiment deteriorated further, with BTIG downgrading the stock and multiple firms cutting targets, adding to concerns about slowing growth and margin pressure from AI spending. BTIG Downgrades Doximity
• Negative Sentiment: Investors also noted an insider share sale and heavy put-option activity, which may be reinforcing the bearish tone around the stock. Insider Sale Disclosure

Doximity Company Profile

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.