DOXIMITY INC-CLASS A (NYSE:DOCS) qualifies as a high growth stock and is consolidating.

In this article, we'll take a closer look at DOXIMITY INC-CLASS A (NYSE:DOCS) as a potential candidate for growth investing. While it's important for investors to conduct their own research, DOXIMITY INC-CLASS A has piqued our interest by appearing on our strong growth and breakout radar. Let's explore further.

Growth Analysis for DOCS

ChartMill assigns a Growth Rating to each stock, ranging from 0 to 10. This rating is determined by analyzing different growth elements, including EPS and revenue growth, spanning both historical and future figures. In the case of DOCS, the assigned 8 reflects its growth potential:

• DOCS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 42.22%, which is quite impressive.
• Measured over the past years, DOCS shows a very strong growth in Earnings Per Share. The EPS has been growing by 81.48% on average per year.
• DOCS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 17.46%.
• The Revenue has been growing by 40.87% on average over the past years. This is a very strong growth!
• Based on estimates for the next years, DOCS will show a very strong growth in Earnings Per Share. The EPS will grow by 20.44% on average per year.
• The Revenue is expected to grow by 15.74% on average over the next years. This is quite good.

Analyzing Health Metrics

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. DOCS scores a 9 out of 10:

• An Altman-Z score of 47.42 indicates that DOCS is not in any danger for bankruptcy at the moment.
• With an excellent Altman-Z score value of 47.42, DOCS belongs to the best of the industry, outperforming 97.30% of the companies in the same industry.
• DOCS has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
• DOCS has a Current Ratio of 8.74. This indicates that DOCS is financially healthy and has no problem in meeting its short term obligations.
• With an excellent Current ratio value of 8.74, DOCS belongs to the best of the industry, outperforming 94.59% of the companies in the same industry.
• A Quick Ratio of 8.74 indicates that DOCS has no problem at all paying its short term obligations.
• Looking at the Quick ratio, with a value of 8.74, DOCS belongs to the top of the industry, outperforming 94.59% of the companies in the same industry.

Evaluating Profitability: DOCS

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, DOCS has achieved a 9:

• With an excellent Return On Assets value of 17.18%, DOCS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
• The Return On Equity of DOCS (19.53%) is better than 100.00% of its industry peers.
• DOCS's Return On Invested Capital of 17.38% is amongst the best of the industry. DOCS outperforms 100.00% of its industry peers.
• DOCS had an Average Return On Invested Capital over the past 3 years of 12.02%. This is above the industry average of 7.17%.
• The 3 year average ROIC (12.02%) for DOCS is below the current ROIC(17.38%), indicating increased profibility in the last year.
• DOCS's Profit Margin of 36.60% is amongst the best of the industry. DOCS outperforms 97.30% of its industry peers.
• In the last couple of years the Profit Margin of DOCS has grown nicely.
• DOCS's Operating Margin of 40.58% is amongst the best of the industry. DOCS outperforms 100.00% of its industry peers.
• DOCS's Operating Margin has improved in the last couple of years.
• DOCS's Gross Margin of 90.19% is amongst the best of the industry. DOCS outperforms 97.30% of its industry peers.

How does the Setup look for DOCS

ChartMill also assigns a Setup Rating to each stock. This rating, on a scale of 0 to 10, reflects the degree of consolidation observed based on short-term technical indicators. Currently, DOCS exhibits a 7 setup rating, indicating its consolidation status in recent days and weeks.

Although the technical rating is only medium, DOCS does present a nice setup opportunity. Prices have been consolidating lately and the volatility has been reduced. There is a resistance zone just above the current price starting at 56.66. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 54.14, a Stop Loss order could be placed below this zone.

Every day, new Strong Growth stocks can be found on ChartMill in our Strong Growth screener.

For an up to date full fundamental analysis you can check the fundamental report of DOCS

Our latest full technical report of DOCS contains the most current technical analsysis.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.