DocMorris (DOCM) AI Stock Analysis

• Market Cap: CHF266.95M
• Dividend Yield: N/A
• Average Volume (3M): 342.18K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.69
• Revenue Growth: 4.91%
• EPS Growth: 14.99%
• Country: CH
• Employees: 1,454
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Pharmaceuticals
• EPS (TTM): -2.11
• Shares Outstanding: 51,617,825
• 10 Day Avg. Volume: 377,518
• 30 Day Avg. Volume: 342,178
• PEG Ratio: 0.01
• Price to Book (P/B): 0.69
• Price to Sales (P/S): 0.23
• P/FCF Ratio: -4.27
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: CHF8.00
• Price Target Upside: 48.42% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: CHF6.00 ▲(11.32% Upside)
• Action: Reiterated Date: 01/07/26
• Date: Action: Reiterated 01/07/26

The score is held back primarily by weak financial performance (losses and negative cash flow). This is partially offset by constructive technical momentum (despite overbought signals) and a relatively positive earnings call emphasizing strong Rx/TeleClinic growth and successful financing, while valuation remains challenged due to negative earnings.

Positive Factors

Strong Rx revenue growth

A 43.5% Rx revenue increase signals durable core business expansion in prescription fulfillment, strengthening recurring, reimbursed sales. This deepens market position, supports scale economics in distribution, and provides a foundation for sustained revenue mix improvements over multiple quarters.

Rapid TeleClinic expansion

Telemedicine growth >150% diversifies revenue toward higher-margin digital services and improves gross-profit mix; management expects TeleClinic to supply ~10% of 2025 gross profit. Structural telehealth adoption enhances recurring service revenue and competitive moat beyond retail pharmacy.

Successful CHF 200m capital increase

A CHF 200m equity raise with 99% take-up materially improves liquidity and balance-sheet flexibility, reducing near-term refinancing risk. This durable funding supports investment in digital platform rollouts, TeleClinic scale-up and marketing needed to convert product-led growth into longer-term profitability.

Negative Factors

Negative operating and free cash flow

Persistent negative operating and free cash flow constrain self-funded growth and force reliance on external capital. Over months this limits ability to sustain high marketing and service investments, raises liquidity risk, and lengthens the path to cash-generative operations without structural margin improvement.

Sustained adjusted EBITDA losses

Ongoing negative adjusted EBITDA, exacerbated by elevated marketing spend, indicates the company has not yet converted revenue growth into operating profitability. Structural operational losses strain cash needs and weaken the ability to invest in higher-return initiatives until gross-margin or cost base improvements are sustained.

Decreasing shareholder equity

A declining equity base reduces the firm’s capital buffer against shocks and increases sensitivity to future losses or operational setbacks. Over the medium term this can necessitate dilution or recurring capital raises, constraining financial flexibility and investor returns unless profitability and retained earnings recover.

DocMorris Business Overview & Revenue Model

Company Description

DocMorris AG operates e-commerce pharmacies and a wholesale business for medical and pharmaceutical products in Switzerland and internationally. The company offers prescription and over-the-counter medicines, consumer health products, beauty and personal care products, nutritional supplements, painkillers, and first aid products, as well as medicines management services. It also operates stationary pharmacy shops. The company sells its products directly to physicians, online mail-order pharmacies, and private individuals under the Zur Rose, PromoFarma, TeleClinic, and DocMorris brands. The company was formerly known as Zur Rose Group AG and changed its name to DocMorris AG in May 2023. DocMorris AG was founded in 1993 and is headquartered in Frauenfeld, Switzerland.

How the Company Makes Money

DocMorris generates revenue primarily through the sale of prescription medications and over-the-counter health products via its online platform. Key revenue streams include the direct sale of pharmaceuticals, which often involves reimbursed prescriptions from health insurance companies, as well as non-reimbursed sales of health and wellness products. The company also benefits from partnerships with various healthcare providers and pharmaceutical manufacturers, allowing it to offer exclusive products and services. Additionally, revenue is supplemented through value-added services such as personalized health consultations and subscription services for regular medication deliveries, enhancing customer loyalty and recurring sales.

DocMorris Financial Statement Overview

Summary

Financials are weak: declining revenue and significant losses (income statement score 40) plus negative operating/free cash flow (cash flow score 45). The balance sheet is relatively more stable (score 55) with assets exceeding liabilities, but equity has been decreasing.

Income Statement

DocMorris has shown a decline in total revenue over the recent periods, with a negative net profit margin indicating significant losses. The gross profit margin remains relatively low, and the absence of EBIT suggests operational challenges. Overall, the income statement reflects a struggling financial performance with a concerning trend in revenue and profitability.

Balance Sheet

The company's balance sheet indicates a moderate debt-to-equity ratio, suggesting manageable leverage. However, the equity ratio is not particularly strong, and stockholders' equity has decreased over time. Despite these challenges, the company's assets still exceed its liabilities, providing some financial stability.

Cash Flow

DocMorris has experienced negative operating cash flow, indicating cash flow difficulties. The free cash flow is also negative, and the free cash flow growth rate is concerning. The company needs to improve its cash generation to support its operations and growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.06B	1.02B	969.46M	930.97M	1.73B	1.48B
Gross Profit	154.95M	216.54M	203.35M	160.15M	260.05M	241.33M
EBITDA	-61.21M	-37.02M	-54.57M	-109.79M	-150.84M	-76.13M
Net Income	-120.87M	-97.25M	82.28M	-171.12M	-225.74M	-135.69M
Balance Sheet
Total Assets	907.44M	778.13M	866.42M	1.10B	1.27B	1.28B
Cash, Cash Equivalents and Short-Term Investments	230.29M	95.37M	104.03M	156.40M	278.20M	300.97M
Total Debt	310.55M	312.21M	330.81M	528.64M	525.15M	526.43M
Total Liabilities	427.09M	438.02M	435.89M	748.67M	784.29M	746.74M
Stockholders Equity	480.35M	340.11M	430.53M	350.78M	484.92M	531.74M
Cash Flow
Free Cash Flow	-72.45M	-55.21M	-115.12M	-156.58M	-194.11M	-127.34M
Operating Cash Flow	-70.52M	-26.60M	-87.42M	-97.29M	-130.63M	-67.51M
Investing Cash Flow	12.30M	93.88M	219.82M	-89.77M	-67.33M	-199.86M
Financing Cash Flow	104.34M	-26.00M	-202.63M	39.11M	179.72M	363.25M

DocMorris Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.39
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:DOCM, the sentiment is Negative. The current price of 5.39 is below the 20-day moving average (MA) of 5.65, below the 50-day MA of 5.79, and below the 200-day MA of 6.62, indicating a bearish trend. The MACD of -0.09 indicates Positive momentum. The RSI at 41.97 is Neutral, neither overbought nor oversold. The STOCH value of 8.64 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CH:DOCM.

DocMorris Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GALD	70 Outperform	CHF36.66B	112.98	―	0.09%	6.22%	―
GALE	70 Outperform	CHF5.08B	26.41	―	2.36%	5.84%	8.57%
MEDX	56 Neutral	CHF472.04M	-81.38	―	4.54%	-2.42%	-222.68%
DOCM	53 Neutral	CHF266.95M	-1.33	―	―	4.91%	14.99%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
SANN	48 Neutral	CHF237.51M	-3.19	-301.13%	―	-56.85%	-186.55%
IDIA	46 Neutral	CHF994.32M	-5.78	―	―	229.23%	63.47%

DocMorris Corporate Events

DocMorris Triggers Early Redemption of 2026 Convertible Bond After Major Buyback

DocMorris Finance B.V., a subsidiary of DocMorris AG, has exercised its option to redeem early its 6.875% convertible bond due in September 2026, following previous buybacks that reduced the outstanding nominal amount to around CHF 8 million, well below the 15% threshold set in the bond terms. The remaining bonds will be repaid at nominal value plus 80 days’ accrued interest on 5 March 2026, with the last trading day on SIX Swiss Exchange set for 3 March 2026, while bondholders retain the right to convert their holdings into DocMorris shares until 19 February 2026, though the conversion price is significantly above the current share price, making cash repayment the more likely outcome and simplifying the company’s capital structure.

The most recent analyst rating on (CH:DOCM) stock is a Hold with a CHF5.50 price target. To see the full list of analyst forecasts on DocMorris stock, see the CH:DOCM Stock Forecast page.

DocMorris further trims 2026 convertible bond, cutting outstanding amount below CHF 8 million

DocMorris Finance B.V., a subsidiary of DocMorris AG, has agreed to repurchase a portion of its 2026 convertible bonds with a nominal value of around CHF 14.4 million, with settlement expected in the coming days. Following the buyback and immediate redemption of these instruments, the outstanding nominal amount of the 2026 convertible bond will fall to below CHF 8.0 million, a sharp reduction from the original CHF 95.0 million issue size, effectively cleaning up the remaining portion of this financing line and further strengthening the group’s capital structure and financial flexibility ahead of key reporting dates in 2026.

The most recent analyst rating on (CH:DOCM) stock is a Hold with a CHF7.00 price target. To see the full list of analyst forecasts on DocMorris stock, see the CH:DOCM Stock Forecast page.

DocMorris Lifts 2025 Revenue 11% on Rx Surge and Digital Health Push

DocMorris reported that external revenue in 2025 rose 11.1% in local currencies to CHF 1.19 billion, with total revenue up 12.4%, driven by strong prescription (Rx) growth of 33.2%, a 7.1% increase in non-prescription (Non-Rx) sales, and triple-digit momentum in high-margin Digital Services such as TeleClinic, which more than doubled revenue. Growth accelerated in the fourth quarter across all segments, active customers climbed to 11.0 million despite the phase-out of the Zur Rose brand in Germany, and the company highlighted the rapid uptake of its AI Health Companion as a key element in scaling its digital health platform, while reiterating its path toward improved profitability with confirmed earnings guidance and a focus on reaching EBITDA and free cash flow breakeven over the next two years.

The most recent analyst rating on (CH:DOCM) stock is a Hold with a CHF6.50 price target. To see the full list of analyst forecasts on DocMorris stock, see the CH:DOCM Stock Forecast page.

DocMorris Completes Convertible Bonds Repurchase Offer

DocMorris has announced the results of its repurchase offer for convertible bonds maturing in 2026, with a total of 72,713 bonds tendered, equating to CHF 72,713,000. The company accepted the full tendered amount at a purchase price of CHF 1,035.00 per bond, which is 103.50% of the nominal value, plus accrued interest, leaving 22,259 bonds outstanding.

The most recent analyst rating on (CH:DOCM) stock is a Sell with a CHF5.50 price target. To see the full list of analyst forecasts on DocMorris stock, see the CH:DOCM Stock Forecast page.

DocMorris Initiates Buyback Offer for 2026 Convertible Bonds

DocMorris has initiated the buyback offer period for its convertible bonds maturing in 2026, offering CHF 1,035.00 per bond, which is 103.50% of the nominal value, plus accrued interest. This move, announced after the buyback advertisement on October 22, 2025, is part of DocMorris’s strategic financial management, potentially impacting its market positioning and stakeholder interests, with the offer period ending on November 12, 2025.

The most recent analyst rating on (CH:DOCM) stock is a Hold with a CHF5.50 price target. To see the full list of analyst forecasts on DocMorris stock, see the CH:DOCM Stock Forecast page.