Filing Flows › Companies › Doximity › Analysis traps
Doximity (DOCS): analysis traps
Where its figures could mislead a reader, and what to check before taking them at face value · Data: Q2 FY27, to Sep 30, 2026, filed Nov 5, 2026; rules v1.1
Doximity (DOCS): 0 rules of 10 triggered on the filings to Sep 30, 2026. 1 to review; 3 with insufficient data; 2 not applicable. Each is a question to verify, with the normal explanation that would produce the same figures.
Check these first
A precise DCF value = the true value To review · confidence high
The DCF's point value is 11.69 a share (price 30.41); 62% of it is the terminal value, a number about years no one has seen. Moving revenue growth (each year) by ±5 pts alone takes it from 9.91 to 13.80; across every method the research ran the range is 1 to 79. The value is a range; the decimals are not information.
Innocent reading: A stable, mature business with a narrow range of outcomes, where the point value is a fair summary.
Every rule
A01 FCF growth = the business improved Insufficient data
fewer than two fiscal years with operating cash flow and capital expenditure on file
A07 Stock compensation added back = no economic cost Not triggered confidence high
Stock compensation is 18.9% of revenue, but buybacks of $432M covered it (3.5×) and the diluted share count fell 1.1%: the dilution has been paid for in cash.
The figures and how they are read
| Fiscal year | FY26 |
| Stock compensation | $122M |
| Revenue | $645M |
| SBC / revenue | +18.9% |
| Buybacks | $432M |
| Buybacks / SBC | 3.5 |
| Diluted shares, year before | 201.2M shares |
| Diluted shares | 199.0M shares |
| Diluted shares: change | -1.1% |
SBC / revenue from the cash flow statement's add-back; the diluted weighted share count year over year; buybacks from the financing section
Source: FY26 (stock compensation, buybacks and the diluted share count, fiscal year)
B02 Receivables growing = future cash is certain Not triggered confidence medium
Receivables grew 28% against revenue 4% in Q2 FY27; DSO 91 against a median of 84: collections are keeping pace with sales.
The figures and how they are read
| Quarter | Q2 FY27 |
| Revenue, year over year | +3.6% |
| Receivables, year over year | +28.5% |
| Quarter before | Q1 FY27 |
| Revenue y/y, quarter before | +7.3% |
| Receivables y/y, quarter before | +25.4% |
| Days sales outstanding | 90.6 |
| DSO, median of eight quarters | 84.2 |
| Receivables | $166M |
| Revenue | $175M |
receivables and revenue against the same quarter a year earlier; DSO = receivables / quarterly revenue × days, against the median of the eight quarters before
Source: Q2 FY27 (receivables and revenue) · Q2 FY26 (the same quarter a year earlier)
B08 Adjusted profit = economic profit Insufficient data
no reconciliation table read from the releases yet and fewer than three quarters with both an adjusted and a GAAP EPS
C02 Low net debt = no refinancing risk Insufficient data
no debt figure could be read from the balance sheet (the filing may tag it in other lines)
D03 EPS growth = profit growth Not triggered confidence high
EPS fell 40% and net income fell 44% in Q2 FY27; the share count fell 6.4%: EPS growth follows profit growth.
The figures and how they are read
| Quarter | Q2 FY27 |
| Quarter before | Q2 FY26 |
| EPS, year before | $0.31 |
| EPS | $0.18 |
| Net income, year before | $62M |
| Net income | $35M |
| Diluted shares, year before | 200.7M shares |
| Diluted shares | 187.8M shares |
| EPS growth | -40.1% |
| Net income growth | -44.0% |
| Diluted shares: change | -6.5% |
| eps from profit | -$0.14 |
| eps from share count | $0.01 |
EPS and net income against the same quarter a year earlier; the EPS bridge attributes the change to profit first, then to the share count (the order is fixed and disclosed)
Source: Q2 FY27 (net income, diluted shares, EPS) · Q2 FY26 (the same quarter a year earlier)
E02 Low P/E at a cyclical peak = undervalued Not triggered confidence medium
Net income of $167M is not at a cyclical high against the last eight years (median $148M, best $223M): the P/E of 34.8× is on a normal year.
The figures and how they are read
| market value | $5.8B |
| net income ttm | $167M |
| pe ttm | 34.80 |
| net income median fy | $148M |
| pe mid cycle | 39.40 |
| net income peak fy | $223M |
| years | FY20 / 30.0; FY21 / 50.0; FY22 / 155.0; FY23 / 113.0; FY24 / 148.0; FY25 / 223.0; FY26 / 196.0 |
| down years in window | 2 |
P/E on the trailing twelve months' net income against the P/E on the median net income of the last eight fiscal years (a mid-cycle stand-in); 'at a peak' = this year's profit at or above 90% of the best year and at least 1.3× the median
Source: Q2 FY27 (net income, trailing twelve months)
E07 A precise DCF value = the true value To review confidence high
The DCF's point value is 11.69 a share (price 30.41); 62% of it is the terminal value, a number about years no one has seen. Moving revenue growth (each year) by ±5 pts alone takes it from 9.91 to 13.80; across every method the research ran the range is 1 to 79. The value is a range; the decimals are not information.
The figures and how they are read
| dcf value | 11.69 |
| price | 30.41 |
| terminal value share | +62.4% |
| swing by input | Revenue growth (each year) / ±5 pts / 9.91 / 13.8; WACC / ±1 pt / 10.71 / 12.91; Operating margin / ±3 pts / 10.68 / 12.7; Tax rate / ±5 pts / 11.03 / 12.35 |
| range all methods | 0.72; 78.84 |
the DCF's point value against the share of it that is the terminal value and the value at each input moved by one step (growth ±5 pts, WACC ±1 pt, margin ±3 pts …); the range across every method the research ran
Source: 2026-11-08 (valuation research)
What would explain it innocently
- A stable, mature business with a narrow range of outcomes, where the point value is a fair summary
- The inputs that matter most are themselves well known (a regulated return, a long contract)
What to look for in the filing
- Which input you believe differs from the research's and why
- What the price implies for growth (the reverse DCF on the fair-value page)
What would show the trap does not apply
- The DCF's value is robust to the terminal growth and discount rate (the range's low end is still above the price)
- The company's cash flows over the next three years track the DCF's early years
Look again: next filing.
J06 A bank's low P/E and high profit = safe Not applicable
not a bank
J08 A REIT's low net income = the dividend is unsafe Not applicable
not a REIT
What the statuses mean
Triggered: the filings show the pattern; read the normal explanations and the missing evidence before concluding anything. To review: one quarter or a weak signal; a reader's judgement, not a pattern. Not triggered: the pattern is absent on these figures. Insufficient data: the filings read so far do not hold what the rule needs; this is not a clean bill. Not applicable: the rule is not meant for this kind of company (a bank's working capital, a loss-making quarter's EPS growth). Out of date: the latest filing is more than fifteen months old.
Severity is what the pattern could mean for cash, value or solvency; confidence is how reliable the inputs and the reading are. The two are kept apart.
Record a view
A reader's judgement, grounds, what would change it and the next review; kept in the browser (needs JavaScript).
Every rule and the companies it triggers on → Doximity: cash flow → Earnings quality score →
Each rule reads the company's own filings by a fixed formula and says what would explain the same figures innocently. A triggered rule is a question to verify, not a finding of manipulation, and not a view on the stock. Missing data is shown as missing, never as clear. Not investment advice.