RE:RE:Comparing DM to other AI and Healthcare Stockstankumo wrote: Stocks trade at anticipation of future.
Cloud MD run rate is $160 million, Q3 guidance is 38 to 40 million, though Q2 is only 2.8 million.
Both Cloud MD and DM are trading cheap, JMHO.
Sorry, my mistake CloudMD has $16 million for Q2, I mistakenly took the 2020 Q2 numbers. They are trading at 19.8x revenue. I certainly agree that stocks trade on anticipation of future earnings, which is why I'm giving 10x on revenue. However, based on CloudMD's Q2 numbers they are currently on a $32 million run rate for the year. You can only determine run rate based on the numbers that you currently have. Now that run rate can change either way based on the numbers that come out in the next few quarters. If CloudMD were to come out with a Q3 of $40 million than their run rate would jump to $74.68 million for the year (16 + 40 = 56 56/3 = 18.67/quarter 18.67 x4 quarters = 74.68). So CloudMD is a long way from the $160 million run rate for the year. they would need to make $85.32 million in Q4. It's not to say a company can't do that, but that's a tall order from Q2 and Q3 (i.e. if they were to hit $40 million).
If DM hits $10 million for Q3 our run rate for the year falls to $53.33 million. However, DM is likely to be around $20 million for Q4 so that's why I continue to use the $60 million for the end of year run rate. DM also put out a $50 million year end guidance for one production company so I feel comfortable saying that DM will make that $60 million run rate for the year at the very least.