Investor Alert

Kessler Topaz Meltzer & Check, LLP Files a Securities Fraud Class Action Lawsuit Against Doximity, Inc. and Encourages Investors With Losses to Contact the Firm (NYSE: DOCS)

The law firm of Kessler Topaz Meltzer & Check, LLP informs investors that today the firm has filed a securities fraud class action lawsuit against Doximity, Inc. (NYSE: DOCS) (“Doximity” or the “Company”) on behalf of investors who purchased or acquired Doximity common stock between February 9, 2022, and April 1, 2024, inclusive (the “Class Period”). This action, captioned Kissler v. Doximity, Inc., et al., Case No. 3:24-cv-02281 was filed in the United States District Court for the Northern District California.

Important Deadline Reminder: Investors who purchased or otherwise acquired Doximity common stock during the Class Period may, no later than June 17, 2024, move the Court to serve as lead plaintiff for the class.

CLICK HERE TO SUBMIT YOUR DOXIMITY LOSSES. YOU CAN ALSO CLICK ON THE FOLLOWING LINK OR COPY AND PASTE IN YOUR BROWSER: https://www.ktmc.com/new-cases/doximity-inc?utm_source=PR&utm_medi ...

LEAD PLAINTIFF DEADLINE: JUNE 17, 2024

CLASS PERIOD: FEBRUARY 9, 2022, THROUGH APRIL 1, 2024

CONTACT AN ATTORNEY TO DISCUSS YOUR RIGHTS:
Jonathan Naji, Esq. [phone] or Email at [e-mail]

DEFENDANTS’ MISCONDUCT

Doximity operates a digital platform that provides connections between, medical information to, and patient scheduling tools for medical professionals. The Class Period begins on February 9, 2022, following the release of Doxmity’s quarterly financial results for the third quarter of fiscal year 2022, which ended December 31, 2021, after the market closed the night prior. During the February 8, 2022 quarterly investor earnings call, Defendant Anna Bryson, the Company’s Chief Financial Officer, emphasized that “marketers have been able to witness the value of running these digital programs” and that it was this “value that’s the main reason we’re seeing this sustained demand from our customers and not new [COVID] variants.” To this end, Defendant Bryson further assured investors that the Company was “focused on . . . really building a business that can provide years of sustainable growth with high margins.”

Throughout the Class Period, Defendants continued to tout the sustainability of the Company’s business prospects while also downplaying the importance of customer upsell rates on the Company’s financial performance. Notwithstanding Defendants’ repeated claims regarding the sustainability of Doximity’s growth and profitability, investors began to learn the truth about the Company on August 8, 2023, when, after the market closed, Doximity reported its financial results for the first quarter of fiscal year 2024, which ended June 30, 2023. While the Company exceeded its quarterly revenue and adjusted EBITDA guidance for the first quarter, the Company provided disappointing guidance for the second quarter of fiscal year 2024 and slashed its guidance for the full fiscal year 2024. In conjunction with the disappointing guidance, Doximity announced that it would reduce its workforce by approximately 10%. The Company further noted that the workforce reduction is expected to cost approximately $8 million to $10 million.