Vitalhub (VHI) AI Stock Analysis

• Market Cap: C$554.50M
• Dividend Yield: N/A
• Average Volume (3M): 105.19K
• Price to Earnings (P/E): 198.1
• Beta (1Y): 0.52
• Revenue Growth: 35.97%
• EPS Growth: -59.04%
• Country: CA
• Employees: 500
• Sector: Healthcare
• Sector Strength: 42
• Industry: Medical - Healthcare Information Services
• EPS (TTM): 0.02
• Shares Outstanding: 53,992,110
• 10 Day Avg. Volume: 96,080
• 30 Day Avg. Volume: 105,191
• PEG Ratio: -4.40
• Price to Book (P/B): 4.02
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 25.84
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$13.75
• Price Target Upside: 29.72% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 73 Outperform
• Price Target: C$11.50 ▲(8.49%Upside)

VitalHub's strong financial performance and strategic corporate events are the most significant factors driving its score. The high P/E ratio suggests overvaluation, which is a key risk. Technical analysis indicates a neutral market sentiment, which neither strongly supports nor detracts from the stock's position.

Vitalhub Business Overview & Revenue Model

Company Description

Vitalhub Corp., together with its subsidiaries, provides technology solutions for health and human service providers in Canada, the United States, the United Kingdom, Australia, Western Asia, and internationally. Its solutions include electronic healthcare record, case management, care coordination, patient flow and operational visibility, and mobile apps. The company was incorporated in 2010 and is based in Toronto, Canada.

How the Company Makes Money

Vitalhub makes money primarily through the sale of its software solutions to healthcare providers. The company's revenue model includes licensing fees, subscription fees, and service contracts for its software products. Key revenue streams involve long-term contracts with hospitals, mental health organizations, and other healthcare facilities that utilize Vitalhub's technology to streamline their operations and improve patient care. Additionally, Vitalhub may generate revenue through strategic partnerships with other technology firms and healthcare providers, which can expand its market reach and offer integrated solutions to clients.

Vitalhub Financial Statement Overview

Summary

Vitalhub exhibits a robust financial profile with strong revenue and cash flow growth, high gross margins, and minimal leverage. The slight decline in net profit margin is a minor concern, but overall financial stability is strong.

Income Statement

Vitalhub shows strong revenue growth with a TTM revenue increase of 17.3% compared to the previous year. Gross profit margin remains high at 77.0% for TTM, indicating efficient cost management. Net profit margin has decreased slightly in TTM to 5.1%, suggesting some pressure on net income. However, EBIT and EBITDA margins are healthy at 11.4% and 21.0%, respectively, reflecting good operational performance.

Balance Sheet

The company maintains a robust balance sheet with a low debt-to-equity ratio of 0.0028, indicating minimal leverage. The return on equity is 2.5% for TTM, which is stable. A high equity ratio of 72.2% suggests strong financial stability and a solid asset base. The company’s cash position is strong, providing flexibility for future growth.

Cash Flow

Vitalhub demonstrates solid cash flow performance with a 5.1% growth in free cash flow in TTM. Operating cash flow to net income ratio is strong at 6.9, suggesting efficient cash conversion. The free cash flow to net income ratio is high at 6.7, indicating effective capital expenditure management and strong cash generation relative to net income.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
61.61M	52.51M	39.97M	24.66M	13.79M	10.23M
	Gross Profit
47.45M	42.81M	32.94M	19.43M	10.29M	7.47M
	EBIT
7.04M	6.86M	4.66M	324.33K	-369.31K	-567.70K
	EBITDA
12.95M	10.38M	5.25M	1.12M	148.12K	649.36K
	Net Income Common Stockholders
3.15M	4.55M	1.21M	-1.95M	-2.17M	-625.53K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
33.32M	33.48M	17.45M	16.39M	23.39M	2.00M
	Total Assets
129.64M	118.78M	106.19M	72.77M	64.08M	24.14M
	Total Debt
521.65K	541.09K	882.20K	792.51K	987.89K	2.48M
	Net Debt
-32.79M	-32.94M	-16.57M	-15.60M	-22.40M	481.05K
	Total Liabilities
45.04M	36.88M	30.79M	17.95M	13.77M	7.46M
	Stockholders Equity
84.60M	81.91M	75.40M	54.82M	50.31M	16.68M
Cash Flow		Free Cash Flow
21.21M	20.18M	5.83M	-309.58K	294.35K	-186.55K
	Operating Cash Flow
21.70M	20.47M	6.12M	-49.97K	405.14K	-107.69K
	Investing Cash Flow
-9.76M	-4.15M	-21.84M	-10.06M	-9.37M	-2.86M
	Financing Cash Flow
38.65M	-287.89K	16.40M	3.17M	30.37M	2.22M

Vitalhub Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:VHI, the sentiment is Positive. The current price of 10.6 is above the 20-day moving average (MA) of 10.33, above the 50-day MA of 10.35, and above the 200-day MA of 10.18, indicating a bullish trend. The MACD of -0.08 indicates Positive momentum. The RSI at 55.04 is Neutral, neither overbought nor oversold. The STOCH value of 64.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:VHI.

Vitalhub Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VHI	73 Outperform	C$554.50M	198.13	2.15%	―	35.97%	-59.04%
KSI	66 Neutral	C$613.58M	―	-4.56%	―	42.93%	85.95%
AIML	55 Neutral	C$15.60M	―	-244.35%	―	-71.31%	-53.11%
Sector *	54 Neutral	$5.31B	3.29	-45.39%	2.79%	16.77%	-0.07%
ADK	24 Underperform	C$20.88M	―	366.78%	―	-35.15%	-6.59%
TREIF		$15.67M	―	-507.20%	―	―	―
UDOCF		$14.48M	―	-9999.00%	―	―	―

Vitalhub Corporate Events

VitalHub Achieves Robust Q1 2025 Growth and Eyes Strategic Acquisition

VitalHub Corp. reported significant financial growth in the first quarter of 2025, with a 54% year-over-year increase in Annual Recurring Revenue (ARR) to $73.7 million and a 42% rise in total revenue to $21.7 million. The company is strengthening its infrastructure and exploring strategic acquisitions, including a potential cash acquisition of UK-based Induction Healthcare Group, expected to close in the third quarter of 2025. This acquisition, along with other opportunities in the pipeline, is anticipated to provide strong synergistic value and enhance VitalHub’s market positioning.

VitalHub to Release Q1 2025 Financial Results and Host Conference Call

VitalHub Corp. has announced it will release its Q1 2025 financial results on May 8, 2025, followed by a conference call on May 9, 2025. This announcement is part of VitalHub’s ongoing efforts to engage with stakeholders and provide transparency about its financial performance, which could impact its market positioning and investor relations.

VitalHub Announces Acquisition of Induction Healthcare Group

VitalHub Corp. has announced a recommended cash acquisition of Induction Healthcare Group PLC, valuing the company at approximately £9.7 million. This strategic move aims to integrate Induction’s Zesty platform with VitalHub’s existing offerings, enhancing product efficiency and user experience. The acquisition is expected to expand VitalHub’s geographic reach and improve patient outcomes across key markets. Induction’s directors have unanimously recommended shareholders to vote in favor of the acquisition, which requires court approval and shareholder agreement.

VitalHub Reports Strong Financial Growth in 2024 with Strategic Acquisitions

VitalHub Corp. reported a significant increase in its financial performance for the year 2024, with annual recurring revenue rising by 59% to $71.1 million and total revenue up by 51% to $20.6 million. The company achieved a 27% year-over-year growth in adjusted EBITDA, reaching $5.0 million, driven by both organic growth and strategic acquisitions. VitalHub’s CEO, Dan Matlow, highlighted the company’s momentum in platform functionality and reputational awareness, with a balanced growth across its EHR suite in Canada and patient flow solutions in the UK. The company completed four acquisitions in 2024, adding $17.9 million in acquisition ARR, and is focused on integrating these acquisitions to enhance revenue growth and operational efficiency. With a strong cash balance of approximately $90 million, VitalHub is well-positioned for continued mergers and acquisitions activity in 2025.

VitalHub Schedules Q4 2024 Financial Results Release and Conference Call

VitalHub Corp. has announced the release of its Q4 2024 financial results, scheduled for March 27, 2025, with a subsequent conference call on March 28, 2025. This announcement reflects VitalHub’s ongoing commitment to transparency and engagement with stakeholders, potentially impacting its market positioning and investor relations.