Is Doximity (DOCS) A Smart Long-Term Buy?

ClearBridge Investments, an investment management firm, published its “Aggressive Growth Strategy” first quarter 2022 investor letter – a copy of which can be downloaded here. The ClearBridge Aggressive Growth Strategy outperformed its Russell 3000 Growth Index benchmark in the first quarter. On an absolute basis, the Strategy had losses across six of the seven sectors in which it was invested (out of 11 sectors total). The lone contributor to performance was the materials sector while the primary detractors were in the information technology (IT) and communication services sectors. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, ClearBridge Investments Aggressive Growth Strategy mentioned Doximity, Inc. (NYSE:DOCS) and explained its insights for the company. Founded in 2010, Doximity, Inc. (NYSE:DOCS)  is a San Francisco, California-based social networking website with a $9.6 billion market capitalization. Doximity, Inc. (NYSE:DOCS)  delivered a 0.88% return for the past month and it closed at $50.31 per share on April 14, 2022.

Here is what ClearBridge Investments Aggressive Growth Strategy has to say about Doximity, Inc. (NYSE:DOCS) in its Q1 2022 investor letter:

“Doximity (NYSE:DOCS), another new purchase, operates the largest professional social network for physicians. We believe Doximity is poised to gain share within its core addressable market for medical professional marketing, hiring and telehealth solutions. We also see significant opportunity for growth beyond this initial target market, driven by the potential for the company to add new member types, broaden its customer base, expand internationally and offer direct-to-consumer applications. Doximity has a profitable financial model, though we see room for further margin expansion ahead, particularly as growth matures.”

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Our calculations show that Doximity, Inc. (NYSE:DOCS) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Doximity, Inc. (NYSE:DOCS) was in 33 hedge fund portfolios at the end of the first quarter of 2022, compared to 19 funds in the previous quarter. Doximity, Inc. (NYSE:DOCS) delivered a 5.92% return in the past 3 months.

In October 2021, we published an article that includes Doximity, Inc. (NYSE:DOCS) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

Disclosure: None. This article is originally published at Insider Monkey.