DocGo Receives Upgraded Rating from Zacks Research Amid Market Activity
DocGo Inc. (NASDAQ:DCGO) has received an upgraded rating from Zacks Research, moving from a “strong sell” to a “hold” rating, according to a report released on Thursday. This change comes amid a backdrop of mixed evaluations from other analysts, indicating a complex market sentiment surrounding the company.
In addition to Zacks Research, Weiss Ratings has reiterated a “sell (d)” rating for DocGo. The firm provided this assessment in a research note dated October 8, 2023. Meanwhile, Canaccord Genuity Group recently revised its price target for DocGo, increasing it from $1.45 to $1.60 while maintaining a “hold” rating. Overall, of the analysts covering the stock, two have issued a Buy rating, four have assigned a Hold rating, and one has given the stock a Sell rating. Data from MarketBeat.com indicates that the consensus rating for DocGo is currently “Hold,” with an average target price set at $3.24.
Recent Financial Performance
DocGo’s latest quarterly earnings report, which was disclosed on August 7, 2023, showed a loss of $0.11 per share. This figure fell short of analysts’ expectations of a loss of $0.06 per share by $0.05. Despite the earnings miss, the company reported revenue of $80.42 million for the quarter, surpassing the consensus estimate of $77.58 million. The firm currently faces challenges, exhibiting a negative return on equity of 3.26% and a negative net margin of 4.20%. Analysts predict that DocGo will achieve earnings of $0.25 per share for the current fiscal year.
Institutional Investor Activity
Recent changes among institutional investors further reflect the shifting dynamics surrounding DocGo. Notably, P.A.W. Capital Corp increased its stake in the company by 60.0% during the second quarter, now owning 3,200,000 shares valued at approximately $5,024,000. Similarly, S Squared Technology LLC raised its position by 52.2%, acquiring an additional 987,310 shares, bringing its total to 2,878,286 shares valued at around $4,519,000.
Punch & Associates Investment Management Inc. expanded its holdings by 17.4% in the first quarter, now controlling 2,201,667 shares worth about $5,812,000. Jefferies Financial Group Inc. also increased its stake by 5.7%, acquiring an additional 115,000 shares, totaling 2,144,456 shares valued at approximately $3,367,000. Additionally, American Century Companies Inc. amplified its holdings by an impressive 175.5% in the first quarter, owning 1,245,894 shares valued at around $3,289,000.
As of now, institutional investors hold 56.44% of DocGo’s stock, reflecting significant interest from larger financial entities.
DocGo Inc. provides essential mobile health and medical transportation services across the United States and the United Kingdom. Its offerings include both emergency response services and non-emergency transport options such as ambulance and wheelchair transportation services, which are vital for various healthcare providers.
The recent upgrades and financial performance indicate a critical period for DocGo, as it navigates both market perceptions and operational challenges. Investors are closely monitoring the situation as the company strives to regain positive momentum in the competitive healthcare landscape.
