Viemed Healthcare (VMD-T)
TSE:VMD
10.45
0.29
(2.85%) 1d
Financials
Technical Analysis
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This summary was created by AI, based on 2 opinions in the last 12 months.
Viemed Healthcare (VMD-T) has shown promising performance, with the stock up 10% year-to-date. Recent earnings results highlighted growth, as the company exceeded revenue estimates with $50.6 million, although it missed EPS expectations at $0.04 against the forecasted $0.07. Year-over-year revenue growth stands at an impressive 28%, while adjusted EBITDA increased by 21%. The absence of debt and strong free cash flows contribute to its solid financial position, despite the company being cash flow negative this quarter. Analysts regard the stock as fundamentally sound, with a favorable valuation at 20x to 25x forward earnings considering the anticipated growth, although its volatility remains a point of concern for some investors.
EPS of $0.04 missed estimates of $0.07 and revenues of $50.6M beat estimates of $49.9M. Revenues grew by 28% year-over-year, and its Adjusted EBITDA grew by 21%. It has no debt and management expects to generate revenues of $53.8M to $54.8M for Q2 2024. It was cash flow negative for the quarter, but its margins are good and it has a strong balance sheet. For a company growing fast with good profit margins, it is only trading at 20X forward earnings, but it is highly volatile and a small name. We consider the results overall decent, but investors are likely not pleased with its earnings miss.
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When markets hit 52-week highs and signs point to frothiness, where do you put your money? The safe route is a savings account paying 5%. The riskier one, but could pay you more later, lies in unloved sectors. Healthcare is one. As a ventilator company, Viemed thrived during the pandemic, which explains its 174% rise in the last five years. This year has been a different story as VMD jumped to $16.25 last April, but has sunk to $11.50. (These are its TSX prices. This Louisiana-based company trades on the NYSE as well.)
VMD EPS of 4c beat estimates of 3.5c; Revenue of $39.6M beat estimates of $38.5M. EBITDA of $8.3M beat estimates by 3%. Sales rose 23%; EPS though was flat year over year. EBITDA rose 15%. 2Q Guidance was maintained and another acquisition was announced. Cash rose to $23.5M (no debt). We would consider it a good quarter.
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He didn't like it for a while, but now more than before. The telehealth space is getting crowded and they've had issues with CMS code. It's a good American company, though doesn't receive much attention here. VMS is merely okay. He prefers other names like Knight Therapeutics. It's a decent, second-tier company.
Viemed Healthcare(VMD-T) Rating
Ranking : 3 out of 5
Bullish - Buy Signals / Votes : 0
Neutral - Hold Signals / Votes : 2
Bearish - Sell Signals / Votes : 0
Total Signals / Votes : 2
Viemed Healthcare(VMD-T) Frequently Asked Questions
What is Viemed Healthcare stock symbol?
Viemed Healthcare is a Canadian stock, trading under the symbol VMD-T on the Toronto Stock Exchange (VMD-CT). It is usually referred to as TSX:VMD or VMD-T
Is Viemed Healthcare a buy or a sell?
In the last year, 2 stock analysts published opinions about VMD-T. 0 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Viemed Healthcare.
Is Viemed Healthcare a good investment or a top pick?
Viemed Healthcare was recommended as a Top Pick by on . Read the latest stock experts ratings for Viemed Healthcare.
Why is Viemed Healthcare stock dropping?
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
Is Viemed Healthcare worth watching?
2 stock analysts on Stockchase covered Viemed Healthcare In the last year. It is a trending stock that is worth watching.
What is Viemed Healthcare stock price?
On 2023-12-21, Viemed Healthcare (VMD-T) stock closed at a price of $10.45.
Momentum has been improving recently and VMD is up 10% year-to-date. Recent earnings were positive with the stock beating EPS and revenue estimates and continuing to grow positively. The stock continues to look good fundamentally with positive, growing free cash flows and a net cah balance. Its valuation at 25x forward earnings is also not bad given the strong earnings and revenue growth expected over the next few years. We think it is be worth holding as it is a fundamentally sound business in our opinion.
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