Q: Financials just out and they look quite good. Do you concur? Comments? What do you see happening to stock over next 6 months. What price might it be at at year end? If there is a negative to the news, what would it be? What might derail performance?
5i Research Answer:
Results at WELL looked good. Revenue of $356.6 mln beat estimates of $354.1 mln. EBITDA of $49.7 mln came in above expectations at $47.17 mln. Revenue guidance was maintained and EBITDA guidance was increased for the year. Revenues increased 57% YoY and gross margins rose to 44.5%. Given the growth and trading at 8X forward EBITDA, we think shares could do well from here but markets will want to see some consistency coming out of their results.