Investors should take note of NYSE:DOCS, a growth stock that remains attractively priced.

Here's DOXIMITY INC-CLASS A (NYSE:DOCS) for you, a growth stock our stock screener believes is undervalued. NYSE:DOCS is scoring impressively in terms of growth while demonstrating strong financials. On top of that, it remains attractively priced. Let's break it down further.

Unpacking NYSE:DOCS's Growth Rating

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. NYSE:DOCS has received a 7 out of 10:

• Measured over the past years, DOCS shows a very strong growth in Earnings Per Share. The EPS has been growing by 106.72% on average per year.
• DOCS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.65%.
• DOCS shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 53.27% yearly.
• Based on estimates for the next years, DOCS will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.19% on average per year.
• Based on estimates for the next years, DOCS will show a quite strong growth in Revenue. The Revenue will grow by 11.62% on average per year.

Assessing Valuation Metrics for NYSE:DOCS

ChartMill provides a Valuation Rating to every stock, ranging from 0 to 10. This rating assesses various valuation aspects, comparing price to earnings and cash flows, while considering factors like profitability and growth. NYSE:DOCS boasts a 5 out of 10:

• Based on the Price/Earnings ratio, DOCS is valued cheaper than 90.48% of the companies in the same industry.
• Based on the Price/Forward Earnings ratio, DOCS is valued cheaply inside the industry as 88.10% of the companies are valued more expensively.
• Based on the Enterprise Value to EBITDA ratio, DOCS is valued cheaper than 83.33% of the companies in the same industry.
• 80.95% of the companies in the same industry are more expensive than DOCS, based on the Price/Free Cash Flow ratio.
• DOCS has an outstanding profitability rating, which may justify a higher PE ratio.

Understanding NYSE:DOCS's Health

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of NYSE:DOCS, the assigned 9 reflects its health status:

• DOCS has an Altman-Z score of 22.09. This indicates that DOCS is financially healthy and has little risk of bankruptcy at the moment.
• DOCS's Altman-Z score of 22.09 is amongst the best of the industry. DOCS outperforms 95.24% of its industry peers.
• DOCS has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
• A Current Ratio of 7.00 indicates that DOCS has no problem at all paying its short term obligations.
• DOCS's Current ratio of 7.00 is amongst the best of the industry. DOCS outperforms 88.10% of its industry peers.
• A Quick Ratio of 7.00 indicates that DOCS has no problem at all paying its short term obligations.
• DOCS has a better Quick ratio (7.00) than 88.10% of its industry peers.

Profitability Examination for NYSE:DOCS

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NYSE:DOCS scores a 9 out of 10:

• DOCS has a better Return On Assets (12.01%) than 100.00% of its industry peers.
• DOCS has a better Return On Equity (14.14%) than 97.62% of its industry peers.
• DOCS has a better Return On Invested Capital (13.40%) than 100.00% of its industry peers.
• DOCS had an Average Return On Invested Capital over the past 3 years of 17.25%. This is significantly above the industry average of 4.19%.
• With an excellent Profit Margin value of 27.48%, DOCS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
• In the last couple of years the Profit Margin of DOCS has grown nicely.
• The Operating Margin of DOCS (31.82%) is better than 100.00% of its industry peers.
• In the last couple of years the Operating Margin of DOCS has grown nicely.
• DOCS has a better Gross Margin (88.14%) than 97.62% of its industry peers.

More Affordable Growth stocks can be found in our Affordable Growth screener.

For an up to date full fundamental analysis you can check the fundamental report of DOCS

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.