Financial Contrast: Doximity (NYSE:DOCS) & Oblong (NASDAQ:OBLG)

Doximity (NYSE:DOCS) and Oblong (NASDAQ:OBLG) are both services companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, earnings, risk, dividends and analyst recommendations.

Risk and Volatility

Doximity has a beta of 1.39, suggesting that its share price is 39% more volatile than the S&P 500. Comparatively, Oblong has a beta of 3.12, suggesting that its share price is 212% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for Doximity and Oblong, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Doximity	0	2	1	2	3.00
Oblong	1	0	0	0	1.00

Profitability

This table compares Doximity and Oblong’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Doximity	40.72%	24.63%	21.30%
Oblong	-187.17%	-62.63%	-52.38%

Earnings & Valuation

This table compares Doximity and Oblong”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Doximity	$570.40 million	13.63	$223.18 million	$1.26	32.76
Oblong	$2.38 million	2.85	-$4.04 million	($1.71)	-1.23

Doximity has higher revenue and earnings than Oblong. Oblong is trading at a lower price-to-earnings ratio than Doximity, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

87.2% of Doximity shares are owned by institutional investors. Comparatively, 2.0% of Oblong shares are owned by institutional investors. 31.3% of Doximity shares are owned by company insiders. Comparatively, 2.7% of Oblong shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Doximity beats Oblong on 13 of the 14 factors compared between the two stocks.

About Doximity

Doximity, Inc. operates a cloud-based digital platform for medical professionals in the United States. The company’s cloud-based platform provides its members with tools built for medical professionals, enabling them to collaborate with their colleagues, coordinate patient care, conduct virtual patient visits, stay up-to-date with the latest medical news and research, and manage their careers. It primarily serves pharmaceutical companies and health systems. The company was formerly known as 3MD Communications, Inc. and changed its name to Doximity, Inc. in June 2010. Doximity, Inc. was incorporated in 2010 and is headquartered in San Francisco, California.

About Oblong

Oblong Inc., together with its subsidiaries, provides multi-stream collaboration technologies and managed services for video collaboration and network applications in the United States and internationally. The company operates in two segments, Collaboration Products and Managed Services. Its flagship product is Mezzanine that enables visual collaboration across multi-users, multi-screens, multi-devices, and multi-locations for video telepresence, laptop and application sharing, and whiteboard sharing and slides applications. The company also provides managed videoconferencing services; and remote service management, which provides an overlay to enterprise information technology and channel partner support organizations, as well as support and management services for customer video environments. In addition, it offers network services comprising Cloud Connect: Video that allows its customers to outsource the management of their video traffic to them and provides the customer’s office locations with a secure, dedicated video network connection to the Oblong Cloud for video communications; Cloud Connect: Converge, which offers customized multiprotocol label switching solutions; and Cloud Connect: Cross Connect that allows the customer to leverage existing carrier for the extension of a Layer 2 private line to its data center. Further, it provides professional services, such as software development, visual and interaction design, engineering, and project support services; and resells video equipment to its customers. Oblong Inc. is based in Conifer, Colorado.