In a report released yesterday, Allen Klee from Maxim Group reiterated a Buy rating on CareCloud, with a price target of $8.00.
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Allen Klee has given his Buy rating due to a combination of factors including CareCloud’s strong financial performance and strategic initiatives. The company reported impressive third-quarter results with revenue and adjusted EBITDA exceeding expectations, showcasing a 9% and 13% year-over-year increase, respectively. This financial strength is further highlighted by a significant rise in free cash flow, which nearly quadrupled compared to the previous year.
Moreover, CareCloud’s strategic focus on AI and mergers and acquisitions has expanded its market reach, particularly into the hospital sector, offering substantial cross-selling and upselling opportunities. The company’s commitment to innovation and operational discipline, along with its ability to consistently beat estimates and raise revenue guidance, enhances confidence in its growth trajectory. Additionally, CareCloud’s valuation appears attractive as it trades at a discount compared to its peers, making it a top healthcare IT pick for 2025.
CCLD’s price has also changed dramatically for the past six months – from $1.880 to $3.465, which is a 84.31% increase.