Exploring DOXIMITY INC-CLASS A (NYSE:DOCS)'s high growth characteristics.

DOXIMITY INC-CLASS A (NYSE:DOCS) was identified as a Technical Breakout Setup Pattern by our stockscreener. Such a pattern occurs when we see a pause in a strong uptrend: after a strong rise the stock is consolidating a bit and at some point the trend may be continued. Whether this actually happens can not be predicted of course, but it may be a good idea to keep and eye on NYSE:DOCS.

Analyzing the Technical Aspects

ChartMill assigns a Technical Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple technical indicators and properties.

We assign a technical rating of 7 out of 10 to DOCS. In the last year, DOCS was one of the better performers, although we are getting mixed signals now in both the short and medium term time frames.

• The long term trend is positive and the short term trend is neutral. The long term trend gets the benefit of the doubt for now.
• When comparing the yearly performance of all stocks, we notice that DOCS is one of the better performing stocks in the market, outperforming 97% of all stocks. We also observe that the gains produced by DOCS over the past year are nicely spread over this period.
• DOCS is part of the Health Care Technology industry. There are 37 other stocks in this industry. DOCS outperforms 91% of them.
• In the last month DOCS has a been trading in the 50.48 - 60.10 range, which is quite wide. It is currently trading near the high of this range.
• DOCS is currently trading in the middle of its 52 week range. This is in line with the S&P500 Index, which is also trading in the middle of its range.

Check the latest full technical report of DOCS for a complete technical analysis.

Looking at the Setup

ChartMill takes into account not only the Technical Rating but 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.

Besides having an excellent technical rating, DOCS also presents a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. There is a resistance zone just above the current price starting at 59.36. Right above this resistance zone may be a good entry point. Very recently a Pocket Pivot signal was observed. This is another positive sign.

High Growth Analysis for DOCS

ChartMill employs its own High Growth Momentum Rating (HGM) system for all stocks. This score, ranging from 0 to 10, is derived by evaluating different growth and profitability factors, such as EPS and revenue growth, as well as accelleration, surprises and revision history. DOCS has earned a 6:

Earnings Momentum

• DOCS has demonstrated consistent growth in its earnings per share (EPS) from one quarter to another (Q2Q), with a 55.17% increase. This indicates improving financial performance and the company's effective management of its operations.
• DOCS shows accelerating EPS growth: when comparing the current Q2Q growth of 55.17% to the previous quarter Q2Q growth of 36.36%, we see the growth rate improving.
• DOCS has experienced 42.22% growth in EPS over a 12 month period, demonstrating its ability to generate sustained and positive earnings momentum.
• The 3-year EPS growth of DOCS (81.48%) highlights the company's ability to consistently improve its earnings performance and suggests a positive outlook for future profitability.
• The q2q revenue growth of 24.63% of DOCS highlights the company's ability to generate incremental revenue and suggests positive market demand for its products or services.
• DOCS shows accelerating Sales growth: when comparing the current Q2Q growth of 24.63% to the previous quarter Q2Q growth of 20.45%, we see the growth rate improving.
• Sales growth accelerated for 3 quarters in a row.
• Analysts' average next Quarter EPS Estimate for DOCS has witnessed a 20.28% change in the last 3 months, underscoring the evolving market expectations towards the company's EPS prospects.
• DOCS has consistently exceeded EPS estimates in the last 4 quarters, demonstrating its ability to outperform market expectations. This trend highlights the company's strong financial performance and its potential for future growth.

Profitability & Financial Strength

• DOCS has shown positive growth in its operating margin over the past year, indicating improved operational efficiency. This growth highlights the company's ability to effectively manage costs and maximize profitability.
• DOCS has experienced growth in its profit margin over the past year, reflecting improved operational performance.
• DOCS has shown positive growth in its free cash flow (FCF) over the past year, indicating improved cash generation and financial strength. This growth highlights the company's ability to effectively manage its cash flows and generate surplus funds.
• DOCS has achieved an impressive Return on Equity (ROE) of 19.53%, showcasing its ability to generate favorable returns for shareholders.
• With a current Debt-to-Equity ratio at 0.0, DOCS showcases its disciplined capital structure. The company's prudent management of debt obligations contributes to its financial stability and long-term sustainability.

Institutional Confidence & Market Strength

• DOCS exhibits a favorable ownership structure, with an institutional shareholder ownership of 89.69%. This signifies a diverse investor base, which can contribute to a more stable and efficient market for the stock.
• DOCS has exhibited strong Relative Strength(RS) in recent periods, with a current 97.26 rating. This indicates the stock's ability to outperform the broader market and reflects its competitive position.

Our High Growth Momentum Breakout screen will find you more ideas suited for high growth momentum breakouts.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.