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DOCSDoximity, Inc.
$26.51$5.0B
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  4. Financial Ratios

Doximity, Inc. (DOCS) Financial Ratios

Latest Ratios: P/E Ratio 27.1x · EV/EBITDA 20.8x · ROE 19.3%. (2019–2026 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

DOCS Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Market Cap$5.0B$4.6B$11.7B$5.5B$6.9B$10.0B———
Enterprise Value$4.8B$4.4B$11.5B$5.5B$6.8B$9.8B———
P/E Ratio →27.1123.7852.2837.3861.0974.41———
P/S Ratio7.717.1920.4711.6516.4928.96———
P/B Ratio5.564.8810.786.147.1511.32———
P/FCF15.6514.6143.7731.0539.8582.32———
P/OCF15.2214.2142.7330.0738.4878.61———

P/E links to full P/E history page with 30-year chart

DOCS EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
EV / Revenue—6.8720.1211.4716.1528.64———
EV / EBITDA20.7619.3148.1431.3249.9982.97———
EV / EBIT22.1517.7149.8931.7450.8386.30———
EV / FCF—13.9543.0330.5939.0381.39———

DOCS Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Gross Margin89.1%89.1%90.2%89.3%87.2%88.4%84.9%87.2%87.3%
Operating Margin33.3%33.3%39.9%34.5%29.9%33.0%25.8%19.0%8.1%
Net Profit Margin30.4%30.4%39.1%31.0%26.9%45.1%24.3%25.5%9.1%

Return on Capital

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
ROE19.3%19.3%22.5%15.8%12.2%32.7%147.9%119.8%16.2%
ROA16.4%16.4%19.0%13.3%10.6%24.9%25.7%26.4%9.0%
ROIC19.8%19.8%20.0%15.0%11.8%22.2%2492.3%—34.9%
ROCE20.7%20.7%22.3%17.0%13.3%22.1%45.8%33.6%14.2%

DOCS Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Debt / Equity0.010.010.010.020.020.000.022.01—
Debt / EBITDA0.040.040.050.080.120.010.020.10—
Net Debt / Equity—-0.22-0.18-0.09-0.15-0.13-0.98-40.62-0.69
Net Debt / EBITDA-0.91-0.91-0.83-0.47-1.05-0.94-1.19-2.00-4.50
Debt / FCF—-0.66-0.74-0.46-0.82-0.92-0.83-2.10-2.38
Interest Coverage—————————

Net cash position: cash ($219M) exceeds total debt ($10M)

DOCS Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Current Ratio6.096.096.976.206.998.122.052.212.20
Quick Ratio6.096.096.976.206.998.122.052.212.20
Cash Ratio4.834.835.865.186.037.171.401.551.65
Asset Turnover—0.570.450.440.370.350.820.840.99
Inventory Turnover—————————
Days Sales Outstanding—81.9582.1377.8093.2486.1488.7782.0565.11

DOCS Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Dividend Yield—————————
Payout Ratio—————————

Total Shareholder Return Metrics

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019
Earnings Yield3.7%4.2%1.9%2.7%1.6%1.3%———
FCF Yield6.4%6.8%2.3%3.2%2.5%1.2%———
Buyback Yield8.7%9.3%1.0%5.1%1.2%0.0%———
Total Shareholder Yield8.7%9.3%1.0%5.1%1.2%0.0%———
Shares Outstanding—$199M$201M$206M$213M$191M$178M$182M$182M

Key Metrics

Growth RegimeDecelerating
ProfitabilityStrained
Balance SheetHealthy
Cash FlowStable
Top Statement Risk

EPS miss and margin compression

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2027Q1)

Margin Compression Amidst AI Investment

Gross margin fell to 84.9% in 2027Q1 from 91.6% in 2025Q3, while operating margin halved to 21.5%, as reported in quarterly filings, signaling cost pressures from AI and sales expansion.

The sequential decline in gross margin from 89.9% in 2026Q3 to 84.9% in 2027Q1 suggests a mix shift or rising delivery costs, possibly related to AI integration. Operating margin contraction from 38.9% to 21.5% over the same period indicates that R&D and SG&A are growing faster than revenue, a trend that may persist if investment continues. Net margin at 15.5% in 2027Q1 is the lowest in the series, reflecting the EPS miss and suggesting that the company's high-margin SaaS model is under pressure.

Return on Capital Decelerating

ROIC dropped to 3.6% in 2027Q1 from 7.2% in 2025Q3, and ROE fell to 2.6% from 7.5%, based on reported figures, indicating a clear deceleration in capital efficiency.

The decline in ROIC and ROE is driven by both margin compression and a growing capital base, as the company accumulates cash and invests in intangibles. Despite the asset-light model, the return on capital is now below the cost of capital, suggesting that the company is not compounding returns as effectively as in prior periods. The trend warrants monitoring, as continued investment without proportional profit growth could further erode shareholder value.

Working Capital Efficiency Stable

DSO rose to 94 days in 2027Q1 from 77 days in 2024Q4, while DPO increased to 20 days, as per financial statements, indicating a slight lengthening of the cash conversion cycle.

The increase in DSO suggests that collections from pharmaceutical clients are slowing, possibly due to budget cycles or contract terms. DPO also rose, but the net effect on cash conversion is minimal given the negative DIO (no inventory). The asset turnover remains low at 0.14, typical for a high-margin software model, but the efficiency of working capital is not a primary driver of value here.

Minimal Leverage Provides Flexibility

D/E stands at 0.01 with D/EBITDA at 0.26, as reported in the latest quarter, indicating negligible debt and ample financial flexibility for strategic initiatives.

The company's balance sheet is virtually debt-free, with total debt of $9.7M against a cash pile of $273.6M. This positions Doximity to weather operational volatility and potentially fund acquisitions or buybacks without straining liquidity. The interest coverage ratio is not reported, but given the minimal debt, it is likely robust. The leverage profile is a key strength, though it also suggests a conservative capital allocation that may not maximize shareholder returns.

Strong Liquidity Buffer

Current ratio remains high at 6.08 in 2027Q1, with cash surging to $273.6M, as per balance sheet data, providing a substantial cushion against operational shocks.

The quick ratio equals the current ratio at 6.08, indicating no inventory dependence and a highly liquid asset base. This liquidity is more than sufficient to cover short-term obligations and supports continued investment in growth initiatives. However, the accumulation of cash may signal a lack of attractive reinvestment opportunities, which could lead to increased buybacks or M&A.

Misapplied P/E Ratio

The trailing P/E of 25.31 understates the earnings power because it includes significant stock-based compensation, which is a non-cash expense, as disclosed in financial statements.

Investors often use P/E to value Doximity, but the reported earnings are depressed by SBC, which totaled $36.8M in 2027Q1, nearly 1.5 times net income. Adjusting for SBC, the P/E would be much lower, making the stock appear cheaper than it is. A more appropriate metric is EV/EBITDA, which at 19.32 is still premium but better reflects the cash-generative nature of the business. Alternatively, P/FCF at 14.61 provides a clearer picture of valuation relative to actual cash generation.

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Includes 30+ ratios · 8 years · Updated daily

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DOCS — Frequently Asked Questions

Quick answers to the most common questions about buying DOCS stock.

What is Doximity, Inc.'s P/E ratio?

Doximity, Inc.'s current P/E ratio is 27.1x. The historical average is 49.8x. This places it at the 20th percentile of its historical range.

What is Doximity, Inc.'s EV/EBITDA?

Doximity, Inc.'s current EV/EBITDA is 20.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 46.3x.

What is Doximity, Inc.'s ROE?

Doximity, Inc.'s return on equity (ROE) is 19.3%. The historical average is 48.3%.

Is DOCS stock overvalued?

Based on historical data, Doximity, Inc. is trading at a P/E of 27.1x. This is at the 20th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What are Doximity, Inc.'s profit margins?

Doximity, Inc. has 89.1% gross margin and 33.3% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Doximity, Inc. have?

Doximity, Inc.'s Debt/EBITDA ratio is 0.0x, indicating low leverage. A ratio below 2x is generally considered financially healthy.