DOXIMITY, INC. SHAREHOLDERS HAVE AN OPPORTUNITY TO RECOVER THEIR INVESTMENT LOSSES
Doximity, Inc.
Bernstein Liebhard LLP announces that a securities class action lawsuit has been filed on behalf of investors who purchased or acquired Doximity, Inc. (“Doximity” or the “Company”) (NYSE: DOCS) common stock between February 9, 2022 and April 1, 2024, inclusive. The lawsuit seeks to recover Doximity shareholders’ investment losses.
If you purchased common stock in Doximity between February 9, 2022 and April 1, 2024, inclusive, and would like to discuss your legal rights and/or options, please click “Join Class Action” above.
According to the Complaint, Defendants repeatedly touted the Company’s business prospects and the sustainability of its revenue growth and profitability, while downplaying both the impact of competition and tightening macroeconomic conditions, as well as Doximity’s reliance on “upselling” products and services (such as additional advertising) to existing customers to sustain performance and future growth.
On August 8, 2023, after the market closed, Doximity 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%.
On this news, Doximity’s stock price fell $7.49 per share, or nearly 23%, to close at $25.30 per share on August 9, 2023.
Then, on April 1, 2024, Jehoshaphat Research published a report alleging, among other things, that “Doximity’s underlying sales . . . are declining at a negative -3-6% rate, but [] this decline has been masked through accelerated revenue recognition.”
On this news, Doximity’s stock price fell almost 2%, closing at $25.80 per share on April 1, 2024.
If you wish to serve as lead plaintiff, you must move the Court no later than June 17, 2024. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Your ability to share in any recovery doesn’t require that you serve as lead plaintiff. If you choose to take no action, you may remain an absent class member.
Since 1993, Bernstein Liebhard LLP has recovered over $3.5 billion for its clients. In addition to representing individual investors, the Firm has been retained by some of the largest public and private pension funds in the country to monitor their assets and pursue litigation on their behalf. As a result of its success litigating hundreds of lawsuits and class actions, the Firm has been named to The National Law Journal’s “Plaintiffs’ Hot List” thirteen times and listed in The Legal 500 for sixteen consecutive years.
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Contact Information:
Peter Allocco
Investor Relations Manager
Bernstein Liebhard LLP
https://www.bernlieb.com
(212) 951-2030
pallocco@bernlieb.com
