Doximity (NYSE:DOCS) Sets New 52-Week Low After Insider Selling

Key Points

• Doximity shares hit a new 52-week low after trading as low as $17.32, well below the prior close of $23.39, amid elevated volume.
• Insider selling added pressure, with Siddharth Sitaram and Director Kira Scherer Wampler both selling shares under pre-arranged 10b5-1 plans, though Sitaram’s sale was tied to tax withholding from equity vesting.
• Analysts turned more cautious, with several firms cutting price targets and ratings as Doximity’s guidance and earnings results raised concerns about slowing growth despite still-healthy profitability.

Doximity, Inc. (NYSE:DOCS - Get Free Report)'s share price hit a new 52-week low on Thursday after an insider sold shares in the company. The company traded as low as $17.32 and last traded at $17.8060, with a volume of 3490995 shares traded. The stock had previously closed at $23.39.

Specifically, insider Siddharth Sitaram sold 2,309 shares of the firm's stock in a transaction on Monday, May 11th. The stock was sold at an average price of $25.77, for a total transaction of $59,502.93. Following the completion of the transaction, the insider directly owned 89,396 shares in the company, valued at $2,303,734.92. This trade represents a 2.52% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through 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 firm's stock in a transaction dated Thursday, May 7th. The shares were sold at an average price of $26.06, for a total transaction of $234,540.00. Following the sale, the director owned 19,839 shares of the company's stock, valued at approximately $517,004.34. This represents a 31.21% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Wall Street Analyst Weigh In

A number of analysts have commented on the company. Canaccord Genuity Group set a $34.00 target price on Doximity and gave the stock a "buy" rating in a report on Monday, February 9th. Morgan Stanley reduced their price objective on Doximity from $49.00 to $35.00 and set an "overweight" rating for the company in a report on Thursday. KeyCorp cut shares of Doximity from an "overweight" rating to a "sector weight" rating in a research note on Thursday. BMO Capital Markets reduced their price target on shares of Doximity from $25.00 to $20.00 and set a "market perform" rating for the company in a research note on Thursday. Finally, Robert W. Baird restated a "neutral" rating and set a $18.00 price objective (down from $40.00) on shares of Doximity in a research report on Thursday. Two equities research analysts have rated the stock with a Strong Buy rating, eight have given a Buy rating and thirteen have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $32.38.

More Doximity News

Here are the key news stories impacting Doximity this week:

• Positive Sentiment: Doximity reported adjusted EPS of $0.26, topping one analyst estimate, and revenue rose 5.1% year over year to $145.37 million, showing the business is still growing. Doximity Earnings Report
• Positive Sentiment: The company highlighted strong profitability, including a 37.54% net margin and 23.84% return on equity, which supports its high-margin business model. Fiscal Q4 Earnings Snapshot
• Neutral Sentiment: Insider Siddharth Sitaram sold 2,309 shares, but the transaction was part of a pre-arranged 10b5-1 plan and tied to tax withholding from equity vesting, making it less concerning than a discretionary sale. Insider Sale Disclosure
• Negative Sentiment: Investors focused on the fact that Doximity missed broader earnings expectations, with EPS of $0.26 versus the Zacks consensus of $0.28, which suggests the quarter was not as strong as headline results implied. Doximity Lags Q4 Earnings Estimates
• Negative Sentiment: More importantly, management’s FY2027 and Q1 FY2027 revenue guidance came in below Wall Street estimates, fueling concerns about slowing growth and higher spending related to AI investments. Doximity Q4 2026 Earnings Call Transcript
• Negative Sentiment: Brokerage firms also turned more cautious, with BMO Capital Markets cutting its price target to $20 and Mizuho lowering its target to $26, reinforcing the weaker sentiment around the stock. Analyst Price Target Changes

Doximity Price Performance

The company has a market capitalization of $3.28 billion, a P/E ratio of 14.84, a P/E/G ratio of 1.88 and a beta of 1.36. The stock has a fifty day simple moving average of $24.27.

Doximity declared that its board has approved a stock repurchase program on Thursday, February 5th that authorizes the company to repurchase $500.00 million in outstanding shares. This repurchase authorization authorizes the company to buy up to 8% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company's leadership believes its shares are undervalued.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in DOCS. Royal Bank of Canada lifted its holdings in Doximity by 24.2% in the 1st quarter. Royal Bank of Canada now owns 106,845 shares of the company's stock worth $6,200,000 after purchasing an additional 20,847 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in shares of Doximity by 0.5% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 38,978 shares of the company's stock valued at $2,262,000 after buying an additional 210 shares during the last quarter. NewEdge Advisors LLC lifted its holdings in shares of Doximity by 613.7% in the first quarter. NewEdge Advisors LLC now owns 6,323 shares of the company's stock worth $367,000 after buying an additional 5,437 shares in the last quarter. Goldman Sachs Group Inc. lifted its holdings in shares of Doximity by 33.3% in the first quarter. Goldman Sachs Group Inc. now owns 255,529 shares of the company's stock worth $14,828,000 after buying an additional 63,873 shares in the last quarter. Finally, Focus Partners Wealth bought a new position in shares of Doximity during the first quarter worth $283,000. 87.19% of the stock is owned by hedge funds and other institutional investors.

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.

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