Post by
retiredcf on Aug 15, 2024 6:49am
Another View
The first is the initial impression followed by some answers to follow up questions. GLTA
Revenue was $243.1M, higher than estimates of $236.7M. EPS was 5c vs 4c estimated. Sales guidance was raised to $970M to $990M for the year. EBITDA guidance was maintained. Sales rose 42% with strong 21% organic growth. Patient visits were 1.4M, up 38%. The conference call is later Wednesday but these results look fine based on the press release.
---------------------------------------------------------------
Stocks do not always move the way one wants on earnings. WELL rose 2.9% yesterday in anticipation. It is essentially the same price now as it was seven days ago. It is up 15% YTD and ahead of the market. We thought the quarter was fine, with impressive organic growth.
There are some fund/institutions that do not like buying shares below $5. There are also more that have market cap restrictions such as not buying anything less than $1B. A share consolidation would help out in the first instance but not the second. But the CEO's former company traded below $10 when it was taken out, and we doubt the actual share price is of much concern, as long as business is going well. The shares will follow (eventually) if earnings rise. (5iResearch)