WELL Health Technologies Corp T.WELL

US telehealth peers

[monty613]

AMWL stock is up almost 100% in the last month, bouncing back from its 52 week low. TDOC is also showing some relative strength. 

a note for LarryBird - AMWL trades at 5X-6X sales, loses money on a GAAP basis, and is EBITDA / cashflow negative. a bit of a different scale than Circle (WELL's telehealth sub) with Revenues > $250MM and the fact they're sitting on a pile of cash from a Google investment. it's also pure play telehealth. in any event, thought I would bring this to your attention since you seemed skeptical about comparables garnering a 5X Rev valuation. 

as an aside I would note that US institutional investors are usually far more comfortable paying for growth. I don't think a NASDAQ listing is in the cards for WELL, it's too bad they missed their window of opportunity on that.

[LarryBird]

Thanks for this. It is very encouraging to see AMWL do so well in the last 30 days. I hope they WELL's Telehealth part also does similar. I do have to say that a 5x sales valuation is very rich for WELL given it's clinics and CRH. I have read your informative posts about CRH. I hope CRH does become a growth model but given its pre-WELL performance and market lack of love for it... I don

[jdsd0517]

A few comments: - P/S metrics are awful and lazy, but if one insists on using revenue metrics, then the appropriate one is EV/Sales.  If you look at current EV and 2023 estimates, then TDOC is at 2.0X and AMWL is at 1.8X - purely telehealth multiple should be higher than multiples for physical locations because of the inherent business model leverage.  As a result, it is a stretch to

[Noshortsallowed]

For someone who always insists the sky is falling because of inflation I'm surprised you are suggesting AMWELL serves a higher multiple of that they are comparable in terms of EV to sales ratio. Amwell's cash on hand compared to WELLs distorts that ratio comparison.  Also AMWELLs net losses DOUBLED over the last year. Lots of talk about how great Margins are of those "pure"

[bandit69]

you should change your name to nosnortsallowed because it is clearly affecting you. I've never seen jds talk about inflation but I have.  Numerous times.

[LarryBird]

nosnortsallowed   Loooooool 

[bandit69]

Seemed appropriate. Lol

[Noshortsallowed]

You should talk your name sounds like you are doing a 69 with some Mexican bandit. Did you come up with name while picking pubes out of your teeth?

[jdsd0517]

Hey Shorty, right on time! I understand that nuance is not your strong suit, so I will re-post the relevant part of my comment here:  "- purely telehealth multiple should be higher than multiples for physical locations because of the inherent business model leverage.  As a result, it is a stretch to apply the TDOC and AMWL multiples to the physical clinic business" I offer no

[Noshortsallowed]

My argument is that there IS leverage and strength in having the operational advantage of having the physical clinics.  Apart from the fact that the future of telehealth is NOT employer funded health programs but will be a hybrid model because people still want to go to their own doctor. WELL is getting them cheap now when the most important aspect is that they they are building the

[jdsd0517]

so your argument is that people want to go to their own doctor so the physical clinics create leverage? you need to look up the word leverage.  You also need to go talk to some doctors.  Family practice is disappearing and practices that used to sell to the new generation of GPs are now being shutdown or given away.  Seriously.  So paying money for assets that are losing value

[bandit69]

Interesting you noted this.  Interesting because I followed the link to the Globe and Mail article another posted provided and read the article after this yuuuge WELL deal to see what the deal was.  I found it interesting that Coril (the Mannix family) "picked up a stake in one of Canada’s fastest growing companies, virtual health care provider Maple Corp." LMAO https

[Noshortsallowed]

In the same article they talk about Maple making "tens of millions" ..... tens? ..... tens of million? Wow you bashers are so smart you really must know which telehealth companies are the good ones. Ones that make TENS of millions wow amazing. And Amwell there's a real winner with 79 million lost this year compared 40 million lost last year.  Growing by TENS of millions.