Doximity is a high-growth company that created a platform for U.S. medical professionals (80% of all physicians across the US use this!). I see the platform as LinkedIn with tools specifically made for physicians built into the platform (video tools, telehealth applications).
Mission: To help physicians be more productive and provide better care for their patients
What I like:
Net revenue retention rate of 171%
Low sales and marketing costs – most physicians join because of network effects
Recurring revenue is a majority of complete revenue
Revenue growth (67% YoY)
High margins (57% GAAP net margin YoY) – understated
Extremely high net income and free cash flow growth.
2 out of 3 co-founders are still involved, one being the CEO.
Very high glassdoor ratings. (4.8/5).
High insider ownership (27%)
What I don’t like:
Competition: LinkedIn, Teladoc and basically any other telehealth business
VERY high valuation. (EV/Sales NTM: 15.9, P/GP: 26.4x)
Overall a very strong business, but the stock is pricey! I’ll be looking for an entry at more attractive levels. What do you think?🧐
I’ll be doing more short pitches on stocks like $MELI , $PATH , $U , $NVDA , $DDOG soon, so follow me for more! 😁