Good buy right now for an impatient trader: DOCS is extremely oversold (RSI_6 ~10) at/just below near-term support, creating a high-probability snapback setup.
Options positioning is bullish (low put/call ratios) and activity is elevated into earnings, suggesting traders are leaning to upside or hedging less.
Wall Street tone has improved materially in January (multiple upgrades/Outperform initiations) despite lower targets; that combination often supports a rebound if earnings are not a disappointment.
Primary near-term catalyst is earnings (2026-02-05 after hours); expectation is elevated, so the move could be large either way, but the current setup favors taking the shot now rather than waiting.
Technical Analysis
Trend: Bearish (SMA_200 > SMA_20 > SMA_5), indicating a sustained downtrend despite potential for short-term mean reversion.
Momentum: MACD histogram -0.365 and negatively expanding → downside momentum still present.
Overextension: RSI_6 at 10.146 → deeply oversold, often preceding sharp rebounds even within downtrends.
Levels: Current 34.82 is just under S1 (34.93). If it fails to reclaim that area, next downside reference is S2 (33.183). Upside reversion targets are Pivot 37.757 then R1 40.583.
Options Data
Bullish
Open Interest Put-Call Ratio
Bullish
Option Volume Put-Call Ratio
Sentiment: Put/Call ratios are low (OI 0.53; Volume 0.30) → bullish skew/greater call interest vs puts.
Activity: Today’s option volume is ~149.7% of 30-day average → unusually active trading into a catalyst.
Volatility: 30D IV ~109.9 vs historical vol ~42.8 and IV percentile ~95.2 → market is pricing a large move (typically earnings-driven) and option premiums are rich.
Positioning read-through: With call-heavy flow and elevated IV, traders appear positioned for upside or at least less downside protection demand than usual.
Technical Summary
Sell
9
Buy
4
Positive Catalysts
could reverse the downtrend on a beat/strong guide.
Neutral/Negative Catalysts
Technical backdrop remains bearish: moving averages and MACD confirm the broader downtrend is intact.
Key support risk: Trading slightly below S1 (34.93); a failure to reclaim can open a quick move toward S2 (33.18).
Macro/industry concerns: healthcare spending visibility and competitive/regulatory worries have been a recurring overhang in analyst commentary.
Event risk is immediate: earnings can produce a large gap move given very high implied volatility.
Profitability: Net income 62.059M, +40.55% YoY; EPS 0.31, +40.91% YoY → strong operating leverage.
Quality of revenue: Gross margin 90.25% (+0.27% YoY) → very high margins remain intact, supporting the premium-quality HCIT narrative.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Recent trend: January saw multiple upgrades/initiations (Wells Fargo to Overweight; Goldman to Neutral from Sell; Truist to Buy; RBC initiated Outperform). This is a clear improvement in sentiment versus prior caution.
Price targets: Many targets were cut versus prior levels (e.g., Wells $55 from $65; Goldman $49 from $62; KeyBanc $60 from $75; Canaccord around $48–$50) — targets down, ratings up, implying valuation reset but improving confidence.
Wall Street pros: differentiation/moat (large physician network), strong margins, share gains, OpenEvidence optionality, ability to re-rate without needing major revenue re-acceleration (per Wells).
Wall Street cons: lower visibility healthcare spend environment, competition concerns, and regulatory impacts noted by multiple firms.
Flows/ownership signals: Hedge funds neutral and insiders neutral recently; no recent congress trading data and no reported politician activity in the provided data.
Wall Street analysts forecast DOCS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DOCS is 62.75 USD with a low forecast of 50 USD and a high forecast of 82 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
15 Analyst Rating
Wall Street analysts forecast DOCS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DOCS is 62.75 USD with a low forecast of 50 USD and a high forecast of 82 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Buy
4 Hold
1 Sell
Moderate Buy
Current: 33.320
Low
50
Averages
62.75
High
82
Current: 33.320
Low
50
Averages
62.75
High
82
Needham
Scott Berg
Buy
downgrade
$75 -> $55
AI Analysis
2026-02-06
New
Reason
Needham
Scott Berg
Price Target
$75 -> $55
AI Analysis
2026-02-06
New
downgrade
Buy
Reason
Needham analyst Scott Berg lowered the firm's price target on Doximity to $55 from $75 but keeps a Buy rating on the shares after its "mixed" Q3 results. Competition and the regulatory environment remain topics to monitor for Doximity, but the firm believes the sell-off is overdone and creates an attractive entry point for investors, the analyst tells investors in a research note. The lower than expected Q4 guide is disappointing, but Needham remains confident that budgets will unlock as 2026 progresses and that Doximity is well-positioned to maintain strong market share.
BTIG
David Larsen
Buy
downgrade
$80 -> $50
2026-02-06
New
Reason
BTIG
David Larsen
Price Target
$80 -> $50
2026-02-06
New
downgrade
Buy
Reason
BTIG analyst David Larsen lowered the firm's price target on Doximity to $50 from $80 and keeps a Buy rating on the shares after its Q3 results and outlook. The company highlighted uncertainty around Most Favored Nation pricing, across the bio-pharma market leading up to the end of 2025 and the subsequent impact on the selling season as the reason for the lighter guide, the analyst tells investors in a research note.
Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for DOCS
