Reliq Health Technologies Inc V.RHT

RE:RE:RE:What has changed?

[BigDan44]

I'll try to tie in what has been said and hopefully this helps answer your questions.

This stock has 51,000 in the pipeline which represent potential revenue. This revenue is not achievable untill all patients are signed up but some of the potential is priced into the SP. As is the case with all stocks (they reflect future anticipation to some degree and also the risk involved). 

At 51,000 patients of revenue and annual expenses 1.5x what they were in 2017, the share price with a very conservative P/E of 20 is over $3 dollars. 

However for this to be achieved, customers have to be logged in and the pipeline reduced.

What this news release tells us is:
1. management is making progress signing up customers at the rate which they have specified (delivering on their promise)
2. management is in a position to add staff to help speed up the rate of conversion
3. management is also in a position to add staff to help increase the pipeline

Therefore, from an execution standpoint, management is delivering towards their 51,000 patient goal and is on track to meet expectations. Furthermore, the PP revenue is being used to drive top line growth (revenue) by hiring sales people. 

For a business like this (or any business really), how do you drive top line growth? By selling right? And this NR tells us that yes, management is taking steps to sell and sell at a faster rate (by sell I mean pipeline conversion). 

At 51,000 people aka no additional growth, this is still a $2.5-3 dollar stock as soon as the pipeline is fully converted.