Ques: Aside from the recent weakness in tech growth stocks, what is your take on WELL? It has been consolidating/ weak for almost a year...... You would think the pandemic would expose the need for telehealth and boost the need for healthcare in general. I would have expected WELL to be a little stronger given that backdrop.......Do you consider it to be a potential multi bagger over the next few years and is it a buy at today's price?
We still like it, but it is still early days for the company. We would expect continued acquisitions as it bulks up. The telehealth space ran up hard and is now consolidating. We would see this as fairly normal, and other sector stocks are experiencing the same issues. It should start to be profitable next year, and as the CRH acquisition proves itself out, we would expect more interest. We do think it could double or more over time, if it can execute as planned. We would consider it a buy, but it does need to be considered higher risk.
So said 5iResearch last week. GLTA