Maxim Group analyst Allen Klee has reiterated their bullish stance on WELL stock, giving a Buy rating on May 16.
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Allen Klee has given his Buy rating due to a combination of factors including WELL Health Technologies Corp’s strong revenue growth and strategic focus on its core Canadian operations. The company reported a 32% year-over-year increase in revenue for the first quarter, surpassing both Klee’s and market expectations, although there was a minor shortfall in adjusted EBITDA due to delayed revenue recognition.
Additionally, WELL Health is strategically divesting its U.S. businesses, which could enhance its financial position and allow it to concentrate on expanding its primary care clinics and AI initiatives in Canada. The company’s valuation appears attractive, trading below the peer group average, and Klee’s price target reflects confidence in WELL Health’s ability to achieve its growth objectives through organic expansion and strategic acquisitions.
In another report released on May 16, Raymond James also maintained a Buy rating on the stock with a C$8.00 price target.
Based on the recent corporate insider activity of 39 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of WELL in relation to earlier this year.