Critical Contrast: VIQ Solutions (OTCMKTS:VQSLF) vs. Doximity (NYSE:DOCS)

Doximity (NYSE:DOCS) and VIQ Solutions (OTCMKTS:VQSLF) are both services companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, earnings, risk, dividends, institutional ownership, analyst recommendations and profitability.

Volatility & Risk

Doximity has a beta of 1.38, suggesting that its share price is 38% more volatile than the S&P 500. Comparatively, VIQ Solutions has a beta of -1.16, suggesting that its share price is 216% less volatile than the S&P 500.

Insider & Institutional Ownership

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

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Doximity and VIQ Solutions, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Doximity	0	1	0	1	3.00
VIQ Solutions	0	0	0	0	0.00

Given VIQ Solutions’ higher probable upside, analysts clearly believe VIQ Solutions is more favorable than Doximity.

Profitability

This table compares Doximity and VIQ Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Doximity	40.72%	24.63%	21.30%
VIQ Solutions	-20.94%	-32.42%	-11.67%

Earnings and Valuation

This table compares Doximity and VIQ Solutions”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Doximity	$621.33 million	13.23	$223.18 million	$1.26	34.64
VIQ Solutions	$31.75 million	0.00	-$11.15 million	($0.50)	N/A

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

Summary

Doximity beats VIQ Solutions on 12 of the 13 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 VIQ Solutions

VIQ Solutions Inc. operates as a technology and service platform provider for digital evidence capture, retrieval, and content management in Australia, the United States, the United Kingdom, Canada, and internationally. It operates in two segments, Technology and Related Revenue, and Technology Services. The Technology segment develops, distributes, and licenses computer-based digital solutions based on its technology. The Technology Services segment provides recording and transcription services. The company offers CapturePro that securely speeds the capture, creation, and management of large volumes of information, as well as preserves and secures the spoken word and video image, and delivers data; MobileMic Pro for capturing and managing incident reports, recorded statements, case notes, and other vital information; NetScribe, a speech-to-text engine to consolidate, accelerate, and optimize transcription workflows; and aiAssist, a multi-tenant workflow and analysis platform to manage, convert, and analyze large volumes of audio and visual content. It also provides legal, criminal justice, insurance, government, corporate finance, and media transcription services. The company was incorporated in 2004 and is based in Mississauga, Canada.