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DOCS (Doximity) Degree of Operating Leverage : 2.13 (As of Dec. 2024)


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What is Doximity Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Doximity's Degree of Operating Leverage for the quarter that ended in Dec. 2024 was 2.13. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Doximity's Degree of Operating Leverage or its related term are showing as below:

DOCS's Degree of Operating Leverage is ranked worse than
69.19% of 633 companies
in the Healthcare Providers & Services industry
Industry Median: 0.67 vs DOCS: 2.13

Doximity Degree of Operating Leverage Historical Data

The historical data trend for Doximity's Degree of Operating Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Doximity Degree of Operating Leverage Chart

Doximity Annual Data
Trend Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Degree of Operating Leverage
Get a 7-Day Free Trial - - 1.71 0.46 2.78

Doximity Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.14 2.78 3.19 2.71 2.13

Competitive Comparison of Doximity's Degree of Operating Leverage

For the Health Information Services subindustry, Doximity's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Doximity's Degree of Operating Leverage Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Doximity's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Doximity's Degree of Operating Leverage falls into.


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Doximity Degree of Operating Leverage Calculation

Doximity's Degree of Operating Leverage for the quarter that ended in Dec. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 223.276 (Dec. 2024) / 162.803 (Dec. 2023) - 1 )/( 550.168 (Dec. 2024) / 468.331 (Dec. 2023) - 1 )
=0.3714/0.1747
=2.13***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Doximity  (NYSE:DOCS) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Doximity Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Doximity's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Doximity Business Description

Traded in Other Exchanges
N/A
Address
500 3rd Street, Suite 510, San Francisco, CA, USA, 94107
Doximity Inc is a digital platform for U.S. medical professionals. Its cloud-based platform provides members with tools specifically built for medical professionals, enabling them to collaborate with their colleagues, securely coordinate patient care, conduct virtual patient visits, stay up-to-date with the latest medical news and research, and manage their careers.
Executives
Kira Scherer Wampler director C/O DOXIMITY, INC., 500 3RD STREET, SUITE 510, SAN FRANCISCO CA 94107
Yang Watkin Phoebe L. director C/O DOXIMITY, INC., 500 THIRD STREET, SAN FRANCISCO CA 94107
Jeffrey Tangney director, 10 percent owner, officer: Chief Executive Officer C/O DOXIMITY, INC., 500 3RD STREET SUITE 510, SAN FRANCISCO CA 94107
Regina M. Benjamin director 51 SAWYER ROAD, SUITE 200, WALTHAM MA 02453
Anna Bryson officer: Chief Financial Officer C/O DOXIMITY, INC., 500 3RD STREET SUITE 510, SAN FRANCISCO CA 94107
Timothy S Cabral director C/O VEEVA SYSTEMS INC., 4280 HACIENDA DRIVE, PLEASANTON CA 94588
Craig Overpeck officer: See Remarks C/O DOXIMITY, INC., 500 THIRD STREET, SUITE 510, SAN FRANCISCO CA 94107
Paul W. Jorgensen officer: Chief Revenue Officer 500 THIRD STREET, SUITE 510, SAN FRANCISCO CA 94107
Gilbert H Kliman director, 10 percent owner C/O INTERWEST PARTNERS, 467 FIRST STREET SUITE 201, LOS ALTOS CA 94022
Emergence Equity Partners Ii, L.p. 10 percent owner 160 BOVET ROAD, SUITE 300, SAN MATEO CA 94402
Emergence Gp Partners, Llc 10 percent owner PIER 5, THE EMBARCADERO, STE 102, SAN FRANCISCO CA 94111-2094
Kevin Spain director C/O EMERGENCE CAPITAL, 160 BOVET ROAD, STE. 300, SAN MATEO CA 94402
Emergence Capital Opportunity I, L.p. 10 percent owner 160 BOVET ROAD, SUITE 300, SAN MATEO CA 94402
Emergence Equity Partners Vi, L.p. 10 percent owner C/O EMERGENCE CAPITAL PARTNERS, 160 BOVET ROAD, SUITE 300 CA SAN MATEO
Emergence Capital Partners Ii Lp 10 percent owner 160 BOVET ROAD, SAN MATEO CA 94402