Hi there,
First off - it is important I disclose that I own both companies. I think it is also important to note that both operate in different industries. CloudMD is a telehealth stock with clinics, and a virtual health platform whereas VitalHub is more of a tech company that operates in the health industry. It's SaaS platform improves patient flow in large health centers, hospitals, etc. - this is its focus.
Personally, I believe last week's drops could present an opportunity in both stocks. VitalHub is now trading below its recent bought deal offering price of $2.90 per share. Although this may hold the company back in the short term, once the deal closes it has the potential to do well. DOC has been on an acquisition streak and is now consolidating - if you look at its chart, this is par for the course for CloudMD.
VHI is trading at only 3,9 times forward sales, while DOC is trading at 8.9 times forward sales. Worth noting, that is based on analysts estimates for next year's revenue. However, in DOC's case the current expectation is for revenue of $42M which is actually low. Estimates have not caught up with all the acquisitions and on a forward run-rate, they are looking at hitting closer to $50M in sales. This would give it a forward P/S of only 7.52. Although VHI is cheaper here, it is worth noting that DOC has the higher growth rate (152% vs 51%). Given this, DOC should be trading at a premium.
Honestly, the both look quite good and both are firmly in neutral position (neither overbought, nor oversold). I suppose it would come down an individual's exposure to the current sub-industries. Of note, I only recently took a position (last week) in VHI because I already had a full position in DOC and WELL, and I wanted exposure to a different health sub-industry.
Mat