DOCS - DOXIMITY ALERT: Bragar Eagel & Squire P.C. is Investigating Doximity Inc. on Behalf of Long-Term Stockholders and Encourages Investors to Contact the Firm | Benzinga
NEW YORK, June 19, 2024 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against Doximity, Inc. (NYSE:DOCS) on behalf of long-term stockholders following a class action complaint that was filed against Doximity on April 17, 2024 with a Class Period from February 9, 2022 to April 1, 2024. Our investigation concerns whether the board of directors of Doximity have breached their fiduciary duties to the company.
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, when Doximity released its quarterly financial results for the third quarter of fiscal year 2022, after the market closed the night prior. During the accompanying quarterly investor earnings call afterhours on February 8, 2022, 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."
The complaint alleges that, 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. For example, during the Company's second quarter fiscal year 2023 investor earnings call on November 10, 2022, Defendant Jeffrey Tangney, the Company's Chief Executive Officer, reassured investors that "pharma's doing quite well" amid investor concerns that macroeconomic headwinds would substantially impact Doximity' financial performance. Defendant Bryson similarly emphasized that the Company's sales ...