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DOCS vs MRK

DOCS
Doximity, Inc.
NEUTRAL
Price
$24.01
Market Cap
$4.52B
Sector
Healthcare
AI Confidence
85%
MRK
Merck & Co., Inc.
NEUTRAL
Price
$121.25
Market Cap
$299.79B
Sector
Healthcare
AI Confidence
90%

Valuation

P/E Ratio
DOCS
20.18
MRK
16.66
Forward P/E
DOCS
14.81
MRK
12.42
P/B Ratio
DOCS
4.54
MRK
5.7
P/S Ratio
DOCS
7.09
MRK
4.61
EV/EBITDA
DOCS
15.12
MRK
11.46

Profitability

Gross Margin
DOCS
89.75%
MRK
77.21%
Operating Margin
DOCS
38.89%
MRK
32.77%
Profit Margin
DOCS
37.54%
MRK
28.08%
ROE
DOCS
23.82%
MRK
36.88%
ROA
DOCS
12.84%
MRK
12.04%

Growth

Revenue Growth
DOCS
9.8%
MRK
5.0%
Earnings Growth
DOCS
-16.2%
MRK
-19.3%

Financial Health

Debt/Equity
DOCS
0.01
MRK
0.96
Current Ratio
DOCS
6.63
MRK
1.54
Quick Ratio
DOCS
6.0
MRK
0.96

Dividends

Dividend Yield
DOCS
--
MRK
2.83%
Payout Ratio
DOCS
0.0%
MRK
45.05%

AI Verdict

DOCS NEUTRAL

Doximity exhibits a stable financial foundation with a Piotroski F-Score of 4/9 and an exceptionally clean balance sheet characterized by near-zero debt. Despite elite gross margins (89.75%) and strong liquidity, the company is experiencing a severe valuation correction with a 1-year price decline of 57.4% and negative earnings growth (-16.20%). The current price of $24.01 trades at a significant premium to its Graham Number ($11.91) and Intrinsic Value ($8.33), indicating a disconnect between fundamental defensive value and market pricing. While analyst targets remain bullish, the combination of negative earnings momentum and bearish insider activity suggests caution.

Strengths
Exceptional Gross Margins (89.75%) and Profit Margins (37.54%)
Near-zero leverage with a Debt/Equity ratio of 0.01
Strong liquidity position with a Current Ratio of 6.63
Risks
Negative Earnings Growth (-16.20% YoY and -18.10% Q/Q)
Severe price momentum collapse (-64.1% over the last 6 months)
Bearish insider sentiment with consistent selling by the CFO and Directors
MRK NEUTRAL

MRK shows neutral fundamentals based on deterministic rules. Financial strength is weak (F-Score 3/9). Mixed signals with both opportunities and risks present.

Strengths
Strong profitability (28.1% margin)
Strong ROE of 36.9%
Risks
Premium vs Graham Number ($59.01)
Weak financial trend (Piotroski F-Score: 3/9)

Compare Another Pair

DOCS vs MRK: Head-to-Head Comparison

This page compares Doximity, Inc. (DOCS) and Merck & Co., Inc. (MRK) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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