Doximity Inc (DOCS) PT Raised to $45 at BofA Securities

BofA Securities analyst Allen Lutz raised the price target on Doximity Inc (NYSE: DOCS) to $45.00 (from $32.00) while maintaining a Neutral rating.

The analyst comments "We conducted our tenth survey on advertising spend (see our prior July Survey report). This quarter’s survey includes 35 respondents (prior survey n=35) with an emphasis on top 20 pharma, representing 57% of total respondents. The results of this quarter’s survey were significantly stronger than prior surveys across the board. Both overall budgets and digital budgets appear to be inflecting and when customers expect to spend more, the Doximity platform is where manufacturers are spending the most. We come away incrementally positive on Doximity’s ability to sustain double digit revenue growth, and potentially more if these trends prove sustainable. While one positive survey is not a trend, we struggle to find any incremental negatives in this quarter’s dataset. Given the inflection, we raise our revenue growth estimates and increase our PO from $32 to $45, now 29x CY25E EBITDA (from 20x CY25E EBITDA). Given the significant multiple increase since early August (~10-turns), we reiterate our Neutral rating as we think valuation reflects the better outlook."

You May Also Be Interested In

• Bernstein SocGen Group Starts Terawulf Inc. (WULF) at Outperform
• SpaceX files for 555.56M share IPO at $135/sh
• Dover Corp. (DOV) PT Raised to $230 at Morgan Stanley