Latest news with #DOCS
Reuters
2 days ago
- Business
- Reuters
Bootmaker Dr Martens to cut discounts in Americas and EMEA
June 5 (Reuters) - British bootmaker Dr Martens (DOCS.L), opens new tab said on Thursday it will reduce discounts in the Americas and EMEA regions in the current financial year and expects adjusted pre-tax profit to be in line with market expectations. The Trump administration's steep tariffs on trade partners have significantly increased supply costs for companies like Dr Martens. Since most of its products are made in Vietnam, the company now faces a 46% reciprocal tariff, set to take effect in July. However, the firm said it will keep average selling prices for its spring/summer and autumn/winter collections unchanged in the U.S. market as it continues to tighten costs and assess the impact of tariffs. For the year ended March 2025, Dr Martens logged an adjusted pre-tax profit of 34.1 million pounds ($46.2 million), above analysts' consensus of 30.6 million pounds, as per a company-compiled poll.
Yahoo
3 days ago
- Business
- Yahoo
DOCS Q1 Earnings Call: Revenue Miss Offset by Growth in AI Tools and Client Portal Adoption
Healthcare professional network Doximity (NYSE:DOCS) fell short of the market's revenue expectations in Q1 CY2025, but sales rose 17.1% year on year to $138.3 million. Its non-GAAP EPS of $0.38 per share was 39.3% above analysts' consensus estimates. Is now the time to buy DOCS? Find out in our full research report (it's free). Revenue: $138.3 million (17.1% year-on-year growth) Adjusted EPS: $0.38 vs analyst estimates of $0.27 (39.3% beat) Adjusted Operating Income: $67.97 million vs analyst estimates of $63.08 million (49.1% margin, 7.8% beat) Revenue Guidance for Q2 CY2025 is $139.5 million at the midpoint, below analyst estimates of $142.9 million EBITDA guidance for the upcoming financial year 2026 is $339 million at the midpoint, below analyst estimates of $349.1 million Operating Margin: 35.2%, in line with the same quarter last year Billings: $183.6 million at quarter end, up 18.6% year on year Market Capitalization: $10.05 billion Doximity's first quarter results were shaped by rising adoption of its workflow tools and continued engagement through its newsfeed platform, which management described as hitting fresh highs in active users. CEO Jeff Tangney credited the company's growth to 'AI tools [that] grew the fastest again last quarter, up more than 5x year-on-year,' and highlighted the company's specialty-specific artificial intelligence offerings as a differentiator in the physician community. Additionally, CFO Anna Bryson pointed to the impact of multi-module integrated offerings, which allowed for larger deal sizes and more efficient program launches, particularly in January. These operational shifts, coupled with high customer retention rates among Doximity's largest clients, supported the company's year-on-year revenue growth and sustained profitability. Looking ahead, Doximity's guidance reflects a cautious approach, with management citing macroeconomic and policy uncertainties as factors influencing client budget growth assumptions. Anna Bryson stated, 'the biggest factor here as we look ahead over the next 12 months will be what our clients' budgets look like,' and noted that upsell variability remains a consideration. The company expects its pharma business to remain the fastest-growing segment, driven by integrated offerings and AI-powered client solutions, but acknowledges tougher comparisons due to the pull-forward of revenue from earlier program launches in the prior year. Investments in AI and the expansion of the client portal are expected to enhance operational efficiency and drive long-term growth, though management emphasized prudence in its outlook. Management attributed quarterly performance to rapid growth in AI-enabled workflow tools, strong engagement with core newsfeed products, and expanded adoption of integrated offerings among pharmaceutical clients. AI tool adoption accelerates: Doximity's specialty-specific AI tools, particularly those allowing secure document uploads and analysis, saw usage increase more than fivefold year-on-year. Management believes these tools are helping reduce physician burnout and information overload, and expects further traction as features mature. Client portal drives ROI focus: The rollout of Doximity's client portal enabled pharmaceutical clients to track program effectiveness and return on investment in real time. This transparency is fueling greater interest in AI-powered automation of marketing programs, with clients granting Doximity more latitude to optimize content delivery. Integrated offerings shift revenue timing: The transition to multi-module integrated offerings allowed many clients to launch annual programs earlier, pulling forward revenue and creating a tougher year-over-year comparison for the upcoming quarters. Management expects this new launch pattern to support more predictable and stable revenue cycles in the future. Newsfeed engagement at record highs: Unique users and article engagement on the newsfeed platform reached all-time highs, with articles read or tapped up over 30% compared to last year. This trend was attributed to the platform's ability to deliver relevant clinical news and foster user loyalty. Point-of-care and workflow module expansion: Doximity's point-of-care and formulary modules continued to grow, with management noting these channels remain underpenetrated in the client base. The company sees significant room for future expansion as these modules prove their return on investment. Doximity's forward outlook is shaped by integrated program adoption, cautious client budget assumptions, and ongoing investments in AI and workflow tools. Integrated programs to stabilize revenue: Management expects that the continued rollout of multi-module integrated offerings will lead to steadier and more predictable revenue patterns, as more clients transition to January program launches and year-round campaigns. This shift is seen as a long-term positive for revenue visibility but creates tougher comparisons for the upcoming year due to prior pull-forward. AI investments to enhance efficiency: Increased spending on artificial intelligence is expected to drive both operational efficiency and improved client outcomes. Management noted early benefits from AI in reducing manual workload and scaling business without significant headcount increases, but cautioned that the payback period for new investments remains uncertain. Macro and budget variability as headwinds: The company is factoring in the potential for slower client budget growth amid ongoing policy and economic uncertainty. Management considers upsell variability and cautious client spending as key risks, with guidance assuming growth at the lower end of the historical market range for pharma digital programs. In the coming quarters, the StockStory team will focus on (1) the rate of adoption and upsell activity in integrated multi-module programs, (2) continued expansion and monetization of AI-powered workflow tools among physicians, and (3) the stability of client budgets amid macro policy uncertainty. Progress in client portal capabilities and point-of-care module penetration will also be important indicators of execution. Doximity currently trades at a forward price-to-sales ratio of 17.4×. In the wake of earnings, is it a buy or sell? Find out in our full research report (it's free). Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
BTIG upgrades Doximity saying pullback on macro fears overdone
-- BTIG upgraded Doximity Inc (NYSE:DOCS) to Buy from Neutral and set a price target of $80, saying recent macro concerns are overstated and demand for the company's digital pharma sales tools remains strong. Doximity shares have fallen from a recent high of $83 to around $52, pressured by fears of drug pricing reform, potential U.S.-China trade tensions, and broader macro uncertainty. But BTIG said the company's fundamentals remain intact and its guidance for fiscal 2026 is likely conservative. 'Our view is that many of the concerns driving the recent pullback are overdone,' analysts wrote. DOCS has beaten consensus revenue and EBITDA in 16 of the past 16 quarters, and tends to guide conservatively. The firm pointed to Doximity's trailing 12-month net revenue retention rate of 119%, including 123% among its top 20 clients, as a sign of strong customer engagement. It also cited a 92% gross margin, EBITDA margin of 55%, and a debt-free balance sheet with $900 million in cash. BTIG expects demand for targeted pharma sales technology to remain strong despite pressure on research-related services. The firm said recent results from peer Veeva showed the highest commercial revenue growth in three years, reinforcing the trend. Doximity's self-service portal, which allows clients to directly manage campaign spending, was also highlighted as proof of high return on investment. Valuation-wise, DOCS trades at 21.7x estimated 2027 EBITDA, slightly above the peer average. BTIG's $80 target implies 35x, which it said is justified by strong margins and high visibility in revenue. 'The company is well -positioned to benefit from the bio -pharma recovery, and we expect demand for digital advertising solutions to pick back up,' BTIG added. Related articles BTIG upgrades Doximity saying pullback on macro fears overdone RBC upgrades Osisko to Outperform as Cariboo project advances Closed Newark runway reopens ahead of schedule after renovations
CNBC
5 days ago
- Business
- CNBC
This software stock can gain more than 50% after being held back by macroeconomic concerns, says BTIG
Strong software demand from medical professionals can help Doximity forge a strong path ahead despite any macroeconomic concerns, according to BTIG. The investment bank upgraded the San Francisco-based company to buy from neutral on Monday, giving the stock a 12-month price target of $80, implying nearly 54% upside from Friday's $52.09 close. Despite broader macroeconomic headwinds lingering over the biopharmaceutical sector, analyst David Larsen says demand for the Doximity's software will remain strong. "Our view is that although there is macro uncertainty with respect to the bio-pharma industry, including the risk of tariffs, ongoing drug pricing reform, the Inflation Reduction Act (IRA) and Medicare Rate pressures, we believe that demand for high-quality, precise, [software as a service] commercialization efforts will continue to rise," Larsen said. DOCS YTD mountain Doximity stock in 2025. The analyst also said the market may be overstating macroeconomic concerns, especially those tied to President Donald Trump's tariffs. "While shares of DOCS have pulled back from ~$83 to ~$52 on F2026 guidance and worries around tariffs, drug pricing reform and macro headwinds, our view is that many of these concerns are overdone. We believe that the most-favored-nation order will not be broadly implemented," the analyst said. He also pointed to stronger-than-expected fourth-quarter results in May, a strong balance sheet and innovations like Doximity's self-service portal, as examples of how the company is well positioned to ride out any headwinds ahead. Shares have slipped more than 2% so far in 2025, but have soared 88% over the past year.
Yahoo
26-05-2025
- Business
- Yahoo
3 High-Flying Stocks to Research Further
Expensive stocks often command premium valuations because the market thinks their business models are exceptional. However, the downside is that high expectations are already baked into their prices, leaving little room for error if they stumble even slightly. Determining whether a company's quality justifies its price causes headaches for nearly all investors, which is why we started StockStory - to help you separate the real opportunities from the speculative ones. That said, here are three high-flying stocks expanding their competitive advantages. Forward P/S Ratio: 16.6x Founded in 2010 and named for a combination of 'docs' and 'proximity', Doximity (NYSE: DOCS) is the leading social network for U.S. medical professionals. Why Do We Like DOCS? Billings have averaged 23.5% growth over the last year, showing it's securing new contracts that could potentially increase in value over time User-friendly software enables clients to ramp up spending quickly, leading to the speedy recovery of customer acquisition costs Strong free cash flow margin of 46.8% enables it to reinvest or return capital consistently At $51.80 per share, Doximity trades at 16.6x forward price-to-sales. Is now the time to initiate a position? Find out in our full research report, it's free. Forward P/E Ratio: 34.1x Formed from a merger of 12 companies, Curtiss-Wright (NYSE:CW) provides a range of products and services to the aerospace, industrial, electronic, and maritime industries. Why Is CW on Our Radar? Impressive 10.6% annual revenue growth over the last two years indicates it's winning market share this cycle Operating margin improvement of 4.7 percentage points over the last five years demonstrates its ability to scale efficiently Share repurchases have amplified shareholder returns as its annual earnings per share growth of 18.2% exceeded its revenue gains over the last two years Curtiss-Wright's stock price of $428.45 implies a valuation ratio of 34.1x forward P/E. Is now the right time to buy? See for yourself in our comprehensive research report, it's free. Forward P/E Ratio: 32.4x With low-pressure heating systems as the first product, Trane (NYSE:TT) designs, manufactures, and sells HVAC and refrigeration systems, the former to commercial and residential building customers and the latter to commercial truck manufacturers. Why Are We Bullish on TT? Annual revenue growth of 11.6% over the last two years was superb and indicates its market share increased during this cycle Share buybacks catapulted its annual earnings per share growth to 23.7%, which outperformed its revenue gains over the last two years Stellar returns on capital showcase management's ability to surface highly profitable business ventures, and its returns are climbing as it finds even more attractive growth opportunities Trane Technologies is trading at $424.60 per share, or 32.4x forward P/E. Is now a good time to buy? Find out in our full research report, it's free. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
