Q: WELL has posted decent numbers in recent quarters yet the valuation continues to contract. This could of course set the stage for a strong rally. The market seems to have lost some confidence in the management of WELL. Has your opinion of management changed over the past few years based on company execution or missteps?
Thanks.
Thanks.
5i Research Answer:
We remain confident in management's plans. They have not been perfect, certainly, but if we look only at the numbers longer term and not the 'hiccups' along the way things seem on track. The accounting issue put WELL in the penalty box, and the negative sentiment to the sector is not helping. The Covid ramp up and decline also did not help much at all. Small caps as a group continue to struggle. But its acquisitions so far have worked, and there is potential for more. A potential split of the company would be positive. The stock is quite cheap. Really all it needs is another good acquisition, or a string of solid quarterly reports without a bump along the way.