Viemed Healthcare Inc VMD

Should read: 5% RATE increase for 2022

[lscfa]

.

[lscfa]

5% x $944 = $47/month x 8000 vent patients ==> $4.5 mil added to bottom line.     $4.5 mil / 40 mil shs = $11.25 eps x 20 = $2.25/sh value added.  

[lscfa]

Should say $0.1125 eps.  

[LongTerm3]

This is a game changer. We should pick up more business also because mom and pop companies can't afford more equipment.

[JackLambert]

Clarify 20 im stupid sorry

[lscfa]

P/e multiple.....

[JackLambert]

Ok.   I guess the multiple is the nut this very good news.   Interesting to see if the Royal will revisit its TP.   Lake street must be smiling.   

[lscfa]

The 5% rate increase is across the board so   $100 mil base revenue x 5% / 40 mil shs x 20 multiple = $2.50/sh value added

[LongTerm3]

I would do it this way, because 78% of income is vents: $78 million base revenue X 5% / 40 million shares X 25 multiple =  $2.43 share value added 25 is a fair multiple for a growth/ technology company.

[besttobe]

Hmmmm..straight to the bottom line? I suppose VMD lives in it;s own little bubble...Too funny.  "While suppliers will welcome these increases, the DME community still needs additional rate adjustments to account for the widespread product price hikes, shipping surcharges, and new operational requirements that have increased costs for our industry," said Tom Ryan, AAHomecare

[lscfa]

the revenue increase requires no additional input costs, dumbass.....

[besttobe]

"While suppliers will welcome these increases, the DME community still needs additional rate adjustments to account for the widespread product price hikes, shipping surcharges, and new operational requirements that have increased costs for our industry," said Tom Ryan, AAHomecare president and CEO. "Suppliers need Medicare reimbursement rates that truly reflect the market realities

[LongTerm3]

Viemed bought 5 million more in equipment last quarter. At this time I think they are fine. You only pay shipping once.  They can Fedex them for $25 each and buy a 1,000 and it would only cost $25,000    With about 25 million in the bank they are just fine.

[JackLambert]

Agree.   But it surprises me there was no PR at open today.   This is something to celebrate.  It often takes two or three days for the word to get out otherwise.  

[JackLambert]

Still no press release?   Disappointing.    

[LongTerm3]

They won't put out a release for this. I don't think any of their competitors did. The low volume, and increase in stock price shows people aren't selling more shares so cheaply. If you want to buy you have to pay up.

[ValueCat]

would seem there is a margin squeeze going on - hence the whining. 

[lscfa]

How freaking dense are you? The whole industry may be experiencing reduced profit margins but the reimbursement increase just eased the reduced margins by 5%. Thus all to the bottom line. 

[Tropicalsun]

Iscfa, pick up a stick, look at it and try and have a conversation. You now have your answer, frick me what a waste of skin that idiot is.

[besttobe]

ISFCA wrote "How freaking dense are you? The whole industry may be experiencing reduced profit margins but the reimbursement increase just eased the reduced margins by 5%." Dense enough to know that given rising costs and the amount of the increase, the effect on net income is net zero and as a result, the effect on the S/P is nil. Not what you indicated.  The market agrees. 

[lscfa]

The market is not aware of this rate increase yet. Hasn't been announced by anyone.