Filing Flows › Doximity (DOCS) › Takeover & LBO
Is Doximity (DOCS) a takeover target?
A leveraged buyout at today's price plus 30% ($39.53 a share) would return about 2% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%. Historically 4.4% of companies with its figures were bought within a year (0.87× the average).
The buyout, step by step
| Entry | Amount | How |
|---|---|---|
| Offer price a share | $39.53 | today's $30.41 plus 30% |
| × shares | 191.2 million | |
| = Equity value | $7.6B | |
| + Debt refinanced | $0 | |
| − Cash | $274M | |
| = Enterprise value | $7.3B | 34.7× EBITDA of $210M |
| Fees | $146M | 2% of the price |
| New debt | $1.2B | 5.5× EBITDA at 7.65% a year; the limit that binds: 5.5× EBITDA |
| Buyer's own money | $6.3B | 84% of the cost |
5 years under the buyer
| Year | Revenue | EBITDA | Interest | Free cash flow | Debt left |
|---|---|---|---|---|---|
| Year 1 | $708M | $227M | $88.3M | $104M | $1.1B |
| Year 2 | $756M | $242M | $80.4M | $123M | $928M |
| Year 3 | $797M | $255M | $71.0M | $141M | $787M |
| Year 4 | $831M | $266M | $60.2M | $158M | $629M |
| Year 5 | $856M | $274M | $48.1M | $175M | $454M |
The exit and the buyer's return
| Exit | Amount | |
|---|---|---|
| Exit multiple | 26.4× EBITDA | today's trading multiple, before any premium |
| Enterprise value at exit | $7.2B | |
| − Debt left | $454M | |
| = Buyer's equity | $6.8B | |
| Money multiple | 1.08× | on $6.3B put in |
| Buyer's yearly return (IRR) | 1.6% |
Price against return
What the buyer makes at other premiums over today's $30.41.
| Premium | Price a share | Buyer's IRR |
|---|---|---|
| 10% | $33.45 | 5.9% |
| 20% | $36.49 | 3.6% |
| 30% | $39.53 | 1.6% |
| 40% | $42.57 | −0.3% |
| 50% | $45.61 | −1.9% |
The figures used
| Figure | Amount | |
|---|---|---|
| Revenue, last 12 months | $656M | |
| EBITDA, last 12 months | $210M | 32.0% of revenue |
| Depreciation and amortization | $15.9M | |
| Capital spending | $62K | |
| Debt | $0 | |
| Cash | $274M | |
| Share price | $30.41 | on Oct 12, 2026 |
Fixed rules, the same as the interactive view's starting point: the shares are bought at today's price plus 30%, the company's debt is refinanced and fees take 2%. New debt is the least of 5.5× EBITDA, 65% of the price and the amount whose interest EBITDA covers 2 times, at 7.65% a year (SOFR 3.89% plus the high-yield B spread 3.26% plus 0.5%, rates of Oct 15, 2026). Revenue grows 8.0% in the first year — the company's own rate, held between −3% and +8% — fading to 3% by year 5; the EBITDA margin, depreciation and capital spending stay at today's share of revenue; working capital takes 10% of each year's added revenue; tax is 24% of profit after interest. Every dollar of free cash flow repays debt. After 5 years the buyer sells at today's multiple of EBITDA.
What a takeover could cost
Takeovers in its sector paid a median premium of 30% over the share price before the deal (the middle half 12% to 31%), according to the 14 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Doximity would cost about $39.53 a share, $7.6B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 12% | $34.05 | $6.5B |
| Median | 30% | $39.53 | $7.6B |
| High end (a quarter paid more) | 31% | $39.83 | $7.6B |
The odds, from history
Historically 4.4% of companies with its figures were bought within a year (0.87× the average). Its figures put it in decile 5 of 10 (10 = the most likely to be bought). The odds come from a model of every merger proxy, tender-offer response and going-private statement filed on EDGAR since 2011, set against each company's size, margins, debt, cash flow and growth the year before.
Doximity's latest quarter
Doximity, Q2 FY27: revenue $175M (+4% year over year), operating margin 25.2%, net earnings $34.7M, operating cash flow $93.3M. The chart follows the revenue to costs, profit and cash.
Questions
Is Doximity being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy Doximity?
A leveraged buyout at today's price plus 30% ($39.53 a share) would return about 2% a year to a private-equity buyer over 5 years; no price, however low, gets a buyer to 20%.
What would a takeover of Doximity cost?
Takeovers in its sector paid a median premium of 30% over the share price before the deal (the middle half 12% to 31%), according to the 14 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, Doximity would cost about $39.53 a share, $7.6B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.