If more acquisitions this week and prices stays under 8$I will be buying more. Honestly, market has gone wild with COVID, BIDEN, etc. I feel Telehealth was a bit left out but its fine by me. We had our good days this summer.
But more acquisitions with already diluted money and increasing significantly the revenue run-rate, this will pay off eventually. Price has been pretty stable, well over 7$ for the past months, this is healthy and a good sign.
Quick refresh - Comparables in the industry - American Well (AMWL) :
- 2018 revenues = 113 M$ - net loss of 55 M$
- 2019 revenues = 148 M$ - net loss of 94 M$
- 2020 revenues = 220 M$ - net loss of 196 M$
WELL is growing at the same pace as AMWL for the next years, but look at the BIG DIFFERENCE : NET INCOME.
WELL shows profitability at a scale of 100 M$ revenue run-rate. AMWL can't even show close to profit with 220 M$ in revenues.
AMWL is worth close to 7 billion USD$ - thats about 8,75 billion CAD$.
WELL is about 1,20 billion CAD$. About 6 times less than AMWL. Google isn't stupid, they prepare the future with AMWL.
One day WELL will see this market cap, mark my words. The day people will realize the growth, the profitability, the MARKET SHARE.
Patience my friends.