CareCloud (CCLD) AI Stock Analysis

• Market Cap: $100.72M
• Dividend Yield: N/A
• Average Volume (3M): 200.41K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.78
• Revenue Growth: 0.04%
• EPS Growth: 98.87%
• Country: US
• Employees: 3,650
• Sector: Healthcare
• Sector Strength: 38
• Industry: Medical - Healthcare Information Services
• EPS (TTM): 0.04
• Shares Outstanding: 42,321,130
• 10 Day Avg. Volume: 203,012
• 30 Day Avg. Volume: 200,406
• PEG Ratio: -0.08
• Price to Book (P/B): 1.19
• Price to Sales (P/S): 0.53
• P/FCF Ratio: 3.12
• Enterprise Value/Market Cap: 0.92
• Enterprise Value/Revenue: 0.83
• Enterprise Value/Gross Profit: 3.52
• Enterprise Value/Ebitda: 3.80
• 1Y Price Target: $4.13
• Price Target Upside: 73.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 67 Neutral
• Price Target: $3.00 ▲(26.05% Upside)

CareCloud's strong financial performance and strategic initiatives in AI and acquisitions are significant strengths. However, challenges in revenue growth and a negative P/E ratio present risks. The technical indicators suggest moderate bullish momentum, but valuation concerns weigh down the overall score.

Positive Factors

Artificial Intelligence

The rollout of a Healthcare AI Center of Excellence with plans to expand to 500 employees highlights a significant focus on AI initiatives.

Earnings

CareCloud reported an impressive 6% increase in revenue and a 52% jump in adjusted EBITDA, both surpassing expectations.

Negative Factors

Mergers and Acquisitions

The strategic refocus on mergers and acquisitions, while promising for growth, introduces potential integration risks.

Valuation

CCLD trades at a 2026 EV/EBITDA multiple of 4.3x, suggesting it may be undervalued compared to a peer group average of 12.5x, potentially indicating market skepticism.

CareCloud Business Overview & Revenue Model

Company Description

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 Software-as-a-Service platform includes revenue cycle management, practice management, electronic health record, business intelligence, telehealth, and patient experience management solutions, as well as complementary software tools and business services for medical groups and health systems. 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.

How the Company Makes Money

CareCloud makes money primarily through the sale and subscription of its cloud-based healthcare solutions. The company's revenue model includes subscription fees for its software-as-a-service (SaaS) products, which encompass electronic health records and practice management systems. Additional revenue streams come from revenue cycle management services, where CareCloud earns a percentage of the collections it processes on behalf of healthcare providers. The company also generates income from telehealth services and value-added offerings, such as analytics and patient engagement tools. Strategic partnerships with healthcare organizations and technology providers further contribute to its revenue, enhancing its market reach and service offerings.

CareCloud Financial Statement Overview

Summary

CareCloud demonstrates a solid financial performance with improving profitability and strong cash flow generation. The company maintains a stable balance sheet with low leverage and strong cash flow, enhancing its financial resilience. While revenue growth has been inconsistent, operational efficiency and profitability have improved.

Income Statement

CareCloud's income statement shows a positive trajectory with improving profitability. The TTM (Trailing-Twelve-Months) gross profit margin stands at 45.7%, indicating efficient cost management. The net profit margin improved to 8.9% in TTM, reflecting better profitability. Revenue growth has been inconsistent, with a recent decline, but the EBIT and EBITDA margins have shown recovery, signaling operational efficiency improvements.

Balance Sheet

The balance sheet reflects a solid financial position with a low debt-to-equity ratio of 0.06 in TTM, suggesting minimal leverage and financial risk. The return on equity (ROE) is strong at 18.5%, indicating effective use of equity to generate profits. The equity ratio is high at 73.6%, underscoring financial stability and low reliance on debt.

Cash Flow

CareCloud's cash flow statement shows robust free cash flow growth and strong cash generation capabilities. The free cash flow to net income ratio is healthy, indicating efficient conversion of profits into cash. The operating cash flow to net income ratio is strong, suggesting good cash flow management. Overall, cash flow metrics highlight a solid liquidity position.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	111.79M	110.84M	117.06M	138.83M	139.60M	105.12M
Gross Profit	26.36M	49.99M	46.24M	54.39M	52.68M	40.30M
EBITDA	24.41M	25.05M	-31.29M	21.02M	19.22M	4.57M
Net Income	11.27M	7.85M	-48.67M	5.43M	2.84M	-8.81M
Balance Sheet
Total Assets	75.24M	71.61M	77.83M	136.17M	140.85M	138.00M
Cash, Cash Equivalents and Short-Term Investments	10.44M	5.14M	3.33M	12.30M	9.34M	20.93M
Total Debt	3.39M	3.47M	14.73M	13.81M	16.87M	11.47M
Total Liabilities	19.17M	21.84M	36.11M	34.48M	42.92M	36.75M
Stockholders Equity	56.08M	49.77M	41.72M	101.69M	97.93M	101.25M
Cash Flow
Free Cash Flow	22.72M	18.95M	3.85M	9.38M	2.77M	-8.64M
Operating Cash Flow	24.82M	20.64M	15.46M	21.15M	13.33M	-892.00K
Investing Cash Flow	-7.44M	-7.41M	-11.61M	-11.77M	-23.15M	-31.47M
Financing Cash Flow	-9.44M	-11.26M	-13.29M	-7.65M	-519.00K	33.42M

CareCloud Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.38
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CCLD, the sentiment is Positive. The current price of 2.38 is below the 20-day moving average (MA) of 2.39, above the 50-day MA of 2.31, and below the 200-day MA of 2.59, indicating a neutral trend. The MACD of 0.01 indicates Positive momentum. The RSI at 51.08 is Neutral, neither overbought nor oversold. The STOCH value of 35.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CCLD.

CareCloud Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CCLD	67 Neutral	$100.72M	―	22.69%	―	0.04%	98.87%
AMWL	52 Neutral	$134.07M	―	-38.52%	―	2.79%	58.22%
FORA	52 Neutral	$60.22M	―	-13.02%	―	9.00%	-215.40%
Sector *	51 Neutral	kr5.99B	9.30	-57.89%	2.12%	23.80%	21.79%
ONMD	―	$15.44M	―		―	―	―
BEAT	34 Underperform	$33.71M	―	-202.58%	―	―	22.50%
EUDA	―	$113.33M	―		―	―	―

CareCloud Corporate Events

CareCloud Reports First Positive GAAP EPS in Q2 2025

On August 5, 2025, CareCloud announced strong financial results for the second quarter of 2025, marking its first quarter of positive GAAP EPS since going public. The company reported a GAAP net income of $2.9 million, a 73% increase from Q2 2024, and highlighted significant achievements including the launch of an AI Center of Excellence and two recent acquisitions. These strategic moves position CareCloud at the forefront of healthcare transformation, aiming for sustained profitability and long-term growth.

The most recent analyst rating on (CCLD) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on CareCloud stock, see the CCLD Stock Forecast page.

CareCloud Declares Dividends for Preferred Stock

On July 25, 2025, CareCloud announced that its Board of Directors declared monthly cash dividends for its Series A and Series B Cumulative Redeemable Perpetual Preferred Stock for July, August, and September 2025. This decision reflects the company’s commitment to providing returns to its shareholders and may influence its market positioning by demonstrating financial stability and shareholder value.

The most recent analyst rating on (CCLD) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on CareCloud stock, see the CCLD Stock Forecast page.

CareCloud Joins Russell Microcap Index Amid Stock Surge

CareCloud announced its inclusion in the Russell Microcap Index as of June 30, 2025, following a 70% rise in its common stock price during the second quarter of 2025. This milestone highlights the company’s growing momentum in the healthcare technology sector, driven by strategic initiatives such as launching an AI Center of Excellence, resuming acquisition activities, and maintaining a strong cash position.

The most recent analyst rating on (CCLD) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on CareCloud stock, see the CCLD Stock Forecast page.

CareCloud Holds Annual Shareholders Meeting on May 27

CareCloud held its Annual Meeting of Shareholders on May 27, 2025, in Somerset, New Jersey, where key decisions were made regarding the company’s governance and financial oversight. During the meeting, three directors were elected to the Board, executive compensation was approved, and Rosenberg Rich Baker Berman, P.A. was appointed as the independent registered public accounting firm for the year ending December 31, 2025.

The most recent analyst rating on (CCLD) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on CareCloud stock, see the CCLD Stock Forecast page.