Doximity Q2 revenue beats analyst estimates on AI suite adoption
Overview
Digital health platform's Q2 revenue rose 4% yr/yr, beating analyst expectations
Adjusted EBITDA for Q2 beat analyst expectations
Net income and margin declined from prior year
Outlook
Doximity sees Q3 revenue between $195 mln and $196 mln
Company expects Q3 adjusted EBITDA between $102.5 mln and $103.5 mln
Doximity sees FY27 revenue between $678 mln and $683 mln
Result Drivers
AI INVESTMENTS - Co said it invested heavily in AI during the quarter, according to CEO Jeff Tangney
AI SUITE ADOPTION - Co said over 190 health systems have purchased its AI suite, contributing to platform adoption
USER ENGAGEMENT - Co reported record engagement on its platform in the quarter
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | $174.54 mln | $170.81 mln (19 Analysts) |
Q2 Net Income | $34.73 mln | ||
Q2 Adjusted EBITDA | Beat | $88.9 mln | $81.35 mln (19 Analysts) |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 8 "strong buy" or "buy", 12 "hold" and 2 "sell" or "strong sell"
Wall Street's median 12-month price target for Doximity, Inc. is $28.50, about 17.8% below its November 4 closing price of $34.67
The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 14 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)