Financial Review: CareCloud (CCLD) & Its Rivals

CareCloud (NASDAQ:CCLD) is one of 93 public companies in the “Healthcare Technology” industry, but how does it contrast to its competitors? We will compare CareCloud to similar companies based on the strength of its risk, dividends, earnings, valuation, analyst recommendations, profitability and institutional ownership.

Volatility and Risk

CareCloud has a beta of 1.57, meaning that its share price is 57% more volatile than the S&P 500. Comparatively, CareCloud’s competitors have a beta of 1.13, meaning that their average share price is 13% more volatile than the S&P 500.

Earnings & Valuation

This table compares CareCloud and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
CareCloud	$120.50 million	$10.80 million	32.86
CareCloud Competitors	$342.08 million	-$24.15 million	12.97

CareCloud’s competitors have higher revenue, but lower earnings than CareCloud. CareCloud is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Insider & Institutional Ownership

10.2% of CareCloud shares are owned by institutional investors. Comparatively, 42.3% of shares of all “Healthcare Technology” companies are owned by institutional investors. 14.8% of CareCloud shares are owned by insiders. Comparatively, 16.0% of shares of all “Healthcare Technology” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and recommmendations for CareCloud and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CareCloud	0	1	1	0	2.50
CareCloud Competitors	451	1530	2740	88	2.51

As a group, “Healthcare Technology” companies have a potential upside of 44.68%. Given CareCloud’s competitors stronger consensus rating and higher possible upside, analysts plainly believe CareCloud has less favorable growth aspects than its competitors.

Profitability

This table compares CareCloud and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CareCloud	6.21%	27.07%	14.56%
CareCloud Competitors	-778.93%	-33.97%	-15.65%

Summary

CareCloud competitors beat CareCloud on 7 of the 13 factors compared.

CareCloud Company Profile

CareCloud, Inc., a healthcare information technology (IT) company, provides a suite of cloud-based solutions and related business services to healthcare providers and hospitals primarily in the United States. It operates in two segments, Healthcare IT and Medical Practice Management. The company's portfolio of proprietary software and business services includes technology-enabled business solutions; cloud-based software; digital health services; healthcare IT professional services and staffing; and medical practice management services. Its technology-enabled business solutions comprise revenue cycle management services, healthcare claims clearinghouse, and medical coding and credentialing services; electronic health records, practice management software and related capabilities, patient experience management solutions, business intelligence and healthcare analytics platforms, and customized applications, interfaces, and various other technology solutions, as well as artificial intelligence, such as CareCloud cirrusAI, AI-powered clinical decision support, AI-powered virtual support assistant, AI-driven appeals, and CareCloud cirrusAI. In addition, the company provides chronic care management, remote patient monitoring, and telemedicine solutions; and professional and consulting services, workforce augmentation and on-demand staffing, and strategic advisory services. Further, it offers medical practice management services to medical practices comprising appropriate facilities, equipment, supplies, support services, nurses, and administrative support staff, as well as management, bill-paying, and financial advisory services. It serves physicians, nurses, nurse practitioners, physician assistants, and other clinicians that render bills for their services. The company was formerly known as MTBC, Inc. and changed its name to CareCloud, Inc. in March 2021. CareCloud, Inc. was founded in 1999 and is headquartered in Somerset, New Jersey.