What do you think of DOC.V?

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Hey guys, in one of your videos you mentioned CloudMD. DOC.V. I’m not sure what the price was at the time but I’m excited about getting into this one. I noticed it has made some big jumps in the last couple weeks so I’m just wondering what you think of it now short and long term? A few analysts gave this a 12 month average of 1.30 which its above now so I’m a little nervous. Also I’m new to your site so if there’s a way for me to have looked this up please give me some pointers. Thanks!

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Asked on August 31, 2020 8:29 am
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Private answer

Hey there! So, there is a way to see if we've commented on a stock before, and we have with DOC.V.

In the "search questions" are on the main question page, you'd just type in CloudMD or even DOC.V. Here is an answer from just 3 days ago:

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Hi there,

We are big fans of CloudMD. It is operating in a space (virtual health) that is experiencing considerable growth. There are a few players in the industry, but CloudMD is quickly establishing itself as a rising start. Oft compared to WELL Health technologies (WELL), one big differentiator between the two companies is that CloudMD has made moves south of the border. This opens up its target market considerably.

At one point, it was trading at a steep discount to WELL, but it has since closed the gap. It is now trading at ~16 time sales (in line with WELL) but that ratio drops considerably when looking at next year's estimates. On a forward basis, DOC is trading at only 3.5 times sales (WELL is at 10.71x) which is cheap. Despite the current price increase, IMO there is still plenty of room to grow.

The company is scheduled to release quarterly results on Aug 31. Be careful here, with companies like DOC, the stock price tends to be highly volatile around earnings. A beat can send its stock price soaring, a miss can send it crashing. Expectations are already lofty, so it will need to deliver in a big way on Monday. As always, we recommend averaging into positions - especially around earnings. This might mean taking half a position before, and half after.

Of note I am long both WELL and DOC.

Mat

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Let me know if you have any other questions!

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Posted by Dan Kent
Answered on August 31, 2020 12:29 pm