DOXIMITY CLASS ACTION LAWSUIT: 8 FREQUENTLY ASKED QUESTIONS

4/17/2024

Contact Doximity stock loss lawyer Timothy L. Miles today about a Doximity class action lawsuit

INTRODUCTION TO THE DOXIMITY CLASS ACTION LAWSUIT

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The Doximity class action lawsuit seeks to represent purchasers or acquirers of Doximity, Inc. (NYSE: DOCS) publicly traded securities between February 9, 2022 and April 1, 2024, inclusive (the “Class Period”). Captioned Kissler v. Doximity, Inc., No. 24-cv-02281 (N.D. Cal.), the Doximity lawsuit charges Doximity and certain of Doximity’s top executives with violations of the Securities Exchange Act of 1934.

If you suffered losses in Doximity stock and wish to serve as lead plaintiff, or just have general questions about your rights as a shareholder, please contact Doximity Stock Loss Lawyer Timothy L. Miles, at no charge, by calling 855/846-6529 or via e-mail at [email protected] or by submitting a contact form. Lead plaintiff motions for the Doximity class action lawsuit must be filed with the court no later than June 17, 2024.

Read on for answers to the eight most frequently asked questions by investors about the Doximity class action lawsuit.

WHAT ARE THE ALLEGATIONS IN THE DOXIMITY CLASS ACTION LAWSUIT?

Doximity operates a digital platform that provides connections between, medical information to, and patient scheduling tools for medical professionals. The allegations in the Doximity class action lawsuit can be summarized as follow:

False and Misleading Statements:

Defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that defendants repeatedly touted Doximity’s business prospects and the sustainability of Doximity’s revenue growth and profitability, while downplaying the impact of competition and tightening macroeconomic conditions on Doximity as well as its reliance on “upselling” products and services (such as additional advertising) to existing customers to sustain Doximity’s performance and future growth.

2. Missed Revenue Target:

On August 8, 2023, Doximity disclosed that it expected fiscal year 2024 revenue of between $452 million and $468 million (down from prior guidance of between $500 million and $506 million, and representing year-over-year revenue growth of between 7.9% and 11.7%), and adjusted EBITDA of between $193 million and $209 million (down from prior guidance of between $216 million and $222 million, and representing year-over-year adjusted EBITDA growth of between 4.9% and 13.6%). On this news, the price of Doximity common stock fell nearly 23%, according to the Doximity class action lawsuit

4. Manipulation of Revenues:

On April 1, 2024, Jehoshaphat Research published a report alleging, among other things, that Doximity’s revenue growth “has been primarily driven by pulling forward revenues from the future, rather than by [sustainable,] underlying business growth” and that “Doximity has been recognizing previously-deferred revenues earlier and earlier within any given period” as a means to drive reported revenue growth. On this news, the price of Doximity common stock fell, according to the Doximity class action lawsuit.

WHAT IS THE LEAD PLAINTIFF DEADLINE IN THE DOXIMITY CLASS ACTION LAWSUIT?

When a securities class action is filed such as the Doximity class action lawsuit, the person who files the first complaint is required to publish a notice announcing the filing. Anyone who wants to be lead plaintiff on on behalf of the class must thereafter file a motion to be appointed as lead plaintiff(s) no later than 60 days after the notice was published. Lead plaintiff motions for the Doximity class action lawsuit must be filed with the court no later than June 11, 2024.

WHAT DO THE PLAINTIFFS NEED TO PROVE TO PREVAIL IN THE DOXIMITY CLASS ACTION LAWSUIT?

The defendant made a material misrepresentation or omission.
The defendant acted with scienter, indicating a wrongful state of mind.
The misrepresentation or omission was made in connection with the purchase or sale of a security.
The plaintiff relied on the misrepresentation or omission.
The plaintiff suffered an economic loss as a result of the fraud.
The plaintiff can demonstrate loss causation, proving that the fraudulent misrepresentation or omission caused the economic loss.

WHAT IS THE LEAD PLAINTIFF PROCESS IN THE DOXIMITY CLASS ACTION LAWSUIT?

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The PSLRA permits any investor who purchased and suffered losses in Doximity stock to seek appointment as lead plaintiff in the Doximity class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the securities class action lawsuit. An investor’s ability to share in any potential future recovery of the class action lawsuit is not dependent upon serving as lead plaintiff.

what are THE BENEFITS OF SERVING AS LEAD PLAINTIFF IN THE DOXIMITY CLASS ACTION LAWSUIT?

Negotiating more competitive attorney fees and reducing litigation costs.
Managing the litigation by overseeing the progress of the case and reviewing important filings.
Participating in mediation and settlement discussions.
Having a voice in all negotiations related to any settlement.
No financial risk, as lead counsel covers all costs and expenses and are paid only if they secure a settlement or judgment recovery for the class
Potentially enjoying long-term benefits from governance reform resulting from the litigation.

Can Non-U.S. Investors Serve as Lead Plaintiffs in the Class Action Against Doximity?

Yes, courts in the U.S. have consistently recognized that non-U.S. investors, many of whom have substantial holdings, are adequate lead plaintiffs and have the same right to move for lead plaintiffs as U.S. investors. Thus, if a non-U.S. investor suffered losses in Doximity stock, they may move the Court to be appointed lead plaintiff in the class action against Doximity.

Can I Be Appointed Lead Plaintiff in the Doximity Lawsuit if I Purchased Shares Outside of the Class Period?

No. Even if you suffered losses in Doximity stock, if you purchased securities outside of the Class period, you will not be able to participate in the Doximity lawsuit.

Will the Lead Plaintiffs Get More Money than Class Members if the Doximity Class Action Lawsuit settles?

No, but they may be entitled to recover their reasonable expenses incurred with are directly related to representing the class. Under the PSLAR, a Lead Plaintiff is only entitled to his or her pro rata share of any recovery and does not receive any additional money for serving as a representative party on behalf of the class. However, a court, in its discretion, may approve an award of “reasonable costs and expenses (including lost wages)” to a Lead Plaintiff that directly relates to the representation of the class in the Doximity class action lawsuit.

CONTACT A DOXIMITY STOCK LOSS LAWYER TODAY ABOUT A DOXIMITY CLASS ACTION LAWSUIT

If you suffered losses in Doximity stock, contact Doximity stock loss lawyer Timothy L. Miles today for a free case evaluation about a Doximity class action lawsuit. Call today and see what a Doximity stock loss lawyer could do for you if you suffered losses in Perion Network stock. This will most likely be the only call you need to make. (855) 846–6529 or [email protected].

The Law Offices of Timothy L. Miles
Tapestry at Brentwood Town Center
300 Centerview Dr., #247
Brentwood, TN 37027
Phone: (855) 846–6529
Email: [email protected]

Doximity stock loss lawyer Timothy L. Miles

Nashville attorney Timothy L. Miles is a nationally recognized shareholder rights attorney raised in Nashville, Tennessee. Mr. Miles has dedicated his career to representing shareholders, employees, and consumers in complex class-action litigation. Whether serving as lead, co-lead, or liaison counsel, Mr. Miles has helped recover hundreds of millions of dollars for defrauded investors, shaped precedent-setting decisions, and delivered real corporate governance reforms. Judges and peers have repeatedly recognized Mr. Miles’ relentless advocacy for the underdog, as well as his unbendable ethical standards. Mr. Miles was recently selected by Martindale-Hubbell® and ALM as a 2022 Top Ranked Lawyer, 2022 Top Rated Litigator. and a 2022 Elite Lawyer of the South. Mr. Miles also maintains the AV Preeminent Rating by Martindale-Hubbell®, their highest rating for both legal ability and ethics. Mr. Miles is a member of the prestigious Top 100 Civil Plaintiff Trial Lawyers: The National Trial Lawyers Association ,Class Action: Class Action: Top National Trial Lawyers, National Trial Lawyers Association (2023), a superb rated attorney by Avvo, a recipient of the Lifetime Achievement Award by Premier Lawyers of America (2019) and recognized as a Distinguished Lawyer, Recognizing Excellence in Securities Law, by Lawyers of Distinction (2019); a Top Rated Litigator by Martindale-Hubbell® and ALM (2019-2022); America’s Most Honored Lawyers 2020 – Top 1% by America’s Most Honored (2020-2022). Mr. Miles has published over sixty articles on various issues of the law, including class actions, whistleblower cases, products liability, civil procedure, derivative actions, corporate takeover litigation, corporate formation, mass torts, dangerous drugs, and more. Please visit our website or call for free anytime.

CONTACT
The Law Offices of Timothy L. Miles
Tapestry at Brentwood Town Center
300 Centerview Dr., #247
Brentwood, TN 37027
Phone: (855) 846-6529
Email: [email protected]