Yannik Siering, an analyst from Stifel Nicolaus, maintained the Buy rating on DocMorris (DOCM – Research Report). The associated price target remains the same with CHF40.00.
Yannik Siering has given his Buy rating due to a combination of factors, primarily focusing on DocMorris’s promising growth prospects and strategic financial maneuvers. The company’s preliminary first-quarter results for 2025 align with expectations, showcasing a significant revenue increase of 13.4% to CHF 296.5 million, with prescription revenues rising by 52%. This growth trajectory is supported by the company’s forecast of over 10% sales growth for the year and a strategic plan to achieve 20% annual revenue growth and EBITDA breakeven by 2026.
Additionally, DocMorris’s planned capital raise of CHF 200 million, fully underwritten by a banking syndicate, is a crucial factor in Siering’s positive outlook. This capital increase is intended to bolster prescription growth through enhanced marketing efforts and potentially address the repayment of a CHF 95 million convertible bond due in September. The company’s customer base is also expanding, with an increase to 10.5 million customers, further reinforcing the Buy rating as DocMorris continues to capitalize on its growth opportunities.
In another report released today, Baader Bank also maintained a Buy rating on the stock with a CHF44.00 price target.