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Think Research Corporation V.THNK

Think Research Corporation is a Canada-based company that offers digital health software solutions. It is a provider of cloud-based data, knowledge, and software solutions primarily delivered as software-as-a-service (SaaS) to healthcare delivery systems and the practitioners that they support. Its operations are organized into three lines of business: Software and Data Solutions, Clinical Research, and Clinical Services. Its SaaS solutions help patients find, navigate, and connect to health services across large governments and payer clients, while also ensuring safety for prescribed medications at pharmacies. Through its wholly owned subsidiary, BioPharma Services Inc., the Company provides research data and analysis derived from Phase I clinical trials, bioequivalence studies and bioanalytical services. Its clinics act as a test bed for its software and technology, transforming them with digital solutions that optimize clinical outcomes, streamline workflows, and optimize billing.


TSXV:THNK - Post by User

Post by dt_coreon Feb 14, 2024 11:42am
111 Views
Post# 35879861

THNK Peer IQVIA had surprisingly good results

THNK Peer IQVIA had surprisingly good resultsIQVIA isn't a pure peer and they focus on different areas than THNK, however SA has commented in the past that the company is probably the closest peer to THNK. With that said data points were quite positive and the stock is poping today - Book to bill of 1.3x, double digit RFP growth (i.e. pipeline), and management comments saying "As we begin 2024, the fundamentals of our business and the outlook for our end markets is healthy".

I'm not sure how relevant the read-through is for THNK so take it with a grain of salt. We have seen very little in terms of new business press releases ever since SA said that the pipeline was sizeable, lots of big deals, and mature. In other words there has been no evidence to support managements pipeline claim. Hopefully we'll see something soon, and if we do the stock could really pop - I'm bassing this off of someone in the know who's speculating THNK has between $30M and $50M of SaaS annual revenue in the pipeline accross multiple clients/levels of government. That would translate roughly into $20M to $33M in additional EBITDA. While all that sounds great, I'm not holding my breath. Management has yet to deliver or even show evidence (i.e. bookings data) of any sort so investors remain in the dark. Usually companies with good news/pipeline share something, so the fact that THNK hasn't, other than provide qualitative comments, means investors believe management is misleading them or worst yet just outright lying.
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