CareCloud (CCLD) AI Stock Analysis

• Market Cap: $100.72M
• Dividend Yield: N/A
• Average Volume (3M): 417.95K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.77
• Revenue Growth: -0.45%
• EPS Growth: 94.32%
• Country: US
• Employees: 3,650
• Sector: Healthcare
• Sector Strength: 37
• Industry: Medical - Healthcare Information Services
• EPS (TTM): -0.04
• Shares Outstanding: 42,321,130
• 10 Day Avg. Volume: 160,597
• 30 Day Avg. Volume: 417,954
• PEG Ratio: 0.10
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.52
• Enterprise Value/Market Cap: 0.44
• Enterprise Value/Revenue: 0.10
• Enterprise Value/Gross Profit: 0.86
• Enterprise Value/Ebitda: 164.69
• 1Y Price Target: $4.13
• Price Target Upside: 73.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 69 Neutral
• Price Target: $2.50 ▲(5.04%Upside)

CareCloud's overall score is driven by strong earnings call results and positive technical analysis. However, valuation concerns due to a negative P/E ratio and lack of dividend yield weigh down the score. The company's solid financial performance and strategic corporate events provide a balanced outlook.

Positive Factors

Artificial Intelligence

Management is rolling out a Healthcare AI Center of Excellence with plans to grow to 500 employees, highlighting a significant focus on AI.

Financial Performance

CareCloud reported 1Q25 results with revenue up 6% year-over-year, and adjusted EBITDA up 52% year-over-year, both topping expectations.

Valuation

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

Negative Factors

Dividend Obligations

The mandatory conversion of Preferred A stock improves FCF and reduces dividend obligations by over $10M.

Revenue Growth

Revenue declines are expected to have bottomed, with guidance calling for modest growth in 2025.

CareCloud Business Overview & Revenue Model

Company Description

CareCloud, Inc. (NASDAQ: CCLD) is a leading provider of cloud-based healthcare solutions and services. The company operates in the health technology sector, delivering innovative software solutions that assist healthcare providers in managing their clinical, administrative, and financial workflows. CareCloud's core products include electronic health records (EHR), practice management software, revenue cycle management, and telehealth services, which are designed to enhance efficiency and improve patient care outcomes.

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 strong financial recovery and stability, particularly in cash flow and profitability. The company has effectively managed costs and improved operational efficiency, as reflected in the margins. While the balance sheet is solid with low debt, a high reliance on equity could be a constraint. Continued focus on revenue growth and strategic financial management will be key to sustaining this positive momentum.

Income Statement

CareCloud's income statement exhibits a positive trajectory, with a significant recovery from a loss in 2023 to a profitable position in TTM 2025. The gross profit margin stands at 45.7% and the net profit margin is at 8.9%, indicating efficient cost management. Despite a slight revenue decline in the past, the EBIT margin has improved to 9.8% in TTM 2025, reflecting better operational performance.

Balance Sheet

The balance sheet shows strong equity with a debt-to-equity ratio of 0.06, indicating low financial leverage. The return on equity (ROE) is 18.5%, demonstrating effective use of shareholders' funds to generate profits. However, the equity ratio of 73.6% suggests a heavy reliance on equity financing, which could limit growth opportunities.

Cash Flow

Cash flow analysis reveals a robust performance with a free cash flow growth rate of 1.1%. The operating cash flow to net income ratio of 2.16 signifies strong cash generation ability relative to net earnings. The free cash flow to net income ratio is 1.91, indicating efficient cash management and potential for reinvestment or debt reduction.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	112.51M	110.84M	117.06M	138.83M	139.60M	105.12M
Gross Profit	51.38M	49.99M	46.24M	54.39M	52.68M	40.30M
EBITDA	24.64M	25.05M	-31.29M	21.02M	19.22M	4.57M
Net Income	10.04M	7.85M	-48.67M	5.43M	2.84M	-8.81M
Balance Sheet
Total Assets	73.56M	71.61M	77.83M	136.17M	140.85M	138.00M
Cash, Cash Equivalents and Short-Term Investments	6.80M	5.14M	3.33M	12.30M	9.34M	20.93M
Total Debt	3.29M	3.47M	14.73M	13.81M	16.87M	11.47M
Total Liabilities	19.38M	21.84M	36.11M	34.48M	42.92M	36.75M
Stockholders Equity	54.18M	49.77M	41.72M	101.69M	97.93M	101.25M
Cash Flow
Free Cash Flow	19.15M	18.95M	3.85M	9.38M	2.77M	-8.64M
Operating Cash Flow	21.69M	20.64M	15.46M	21.15M	13.33M	-892.00K
Investing Cash Flow	-7.05M	-7.41M	-11.61M	-11.77M	-23.15M	-31.47M
Financing Cash Flow	-11.81M	-11.26M	-13.29M	-7.65M	-519.00K	33.42M

CareCloud Technical Analysis

• Technical Analysis Sentiment: Neutral
• 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 Neutral. The current price of 2.38 is above the 20-day moving average (MA) of 2.38, above the 50-day MA of 2.17, and below the 200-day MA of 2.60, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 53.61 is Neutral, neither overbought nor oversold. The STOCH value of 61.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CCLD.

CareCloud Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CCLD	69 Neutral	$100.72M	―	21.00%	―	-0.45%	94.32%
Sector *	59 Neutral	HK$15.54B	5.54	-7.44%	4.07%	11.55%	-28.15%
FORA	52 Neutral	$63.96M	―	-13.02%	―	9.00%	-215.40%
NEUE	51 Neutral	$60.98M	―	84.03%	―	-17.91%	83.17%
BYSI	44 Neutral	$93.13M	―	78.44%	―	―	―
CNTX	37 Underperform	$60.11M	―	-55.59%	―	―	65.02%
UNCY	28 Underperform	$63.97M	―	-2355.27%	―	-100.00%	52.65%

CareCloud Corporate Events

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.

CareCloud Reports Strong Q1 2025 Financial Results

On May 6, 2025, CareCloud reported strong financial results for Q1 2025, with a 6% year-over-year revenue increase to $27.6 million and a GAAP net income of $1.9 million, marking a significant turnaround from a net loss in Q1 2024. The company launched an AI Center of Excellence, completed strategic acquisitions, and converted preferred stock to strengthen cash flow, positioning itself for sustained profitability and growth.

CareCloud Declares May and June 2025 Dividends

On May 2, 2025, CareCloud announced that its Board of Directors declared monthly cash dividends for its 8.75% Series A and Series B Cumulative Redeemable Perpetual Preferred Stock for May and June 2025. The announcement highlights the company’s continued commitment to providing returns to its shareholders, reflecting its stable financial position and strategic focus on maintaining investor confidence.