Is it a good company at a reasonable price? I bought shares in the company last week. I bought them with my fooling around money in the TFSA. It is a small but growing company. It is a high risk. The stock price might be on the cheap side.
I own this stock of Well Health Technologies Corp (TSX-WELL, OTCQX-WHTCF). I was interested in this stock when I heard it was to acquire Toronto based MyHealth Centers. See report on Newswire.
When I was updating my spreadsheet, I noticed that it seems that British Columbia and Quebec seem to be able to grow small companies. Ontario does not. This company is out of British Columbia. I noticed that the Chairman owns some 6% of the outstanding shares. All the officers and directors I follow have bought shares over the past 12 months.
If you had invested in this company in December 2017, for $1,000.12 you would have bought 2,273 shares at $0.44 per share. In December 2024, after 7 years you would have received $0.00 in dividends. The stock would be worth $15,592.78. Your total return would have been $15,592.78. This would be a total return of 14.03% per year with 12.56% from capital gain and 1.47% from dividends.
| Cost | Tot. Cost | Shares | Years | Dividends | Stock Val | Tot Ret |
|---|---|---|---|---|---|---|
| $0.44 | $1,000.12 | 2,273 | 7 | $0.00 | $15,592.78 | $15,592.78 |
This company does not pay a dividend so there is no dividend yield information and no Dividend Payout Ratios (DPR).
Debt Ratios are mostly fine, but they need to improve their Liquidity Ratio. The Long Term Debt/Market Cap Ratio for 2024 is good at 0.20 and currently at 0.32. The Liquidity Ratio for 2024 is far too low at 0.91 and 0.92 currently. If you added in Cash Flow after dividends, the ratios are still far too low at 0.93 and currently at 0.94. The Debt Ratio for 2024 is good at 2.06 and 2.01 currently. The Leverage and Debt/Equity Ratios for 2024 are fine at 2.08 and 1.01 and currently at 2.17 and 1.08.
| Type | Year End | Ratio Curr |
|---|---|---|
| Lg Term R | 0.20 | 0.32 |
| Intang/GW | 0.67 | 0.98 |
| Liquidity | 0.91 | 0.92 |
| Liq. + CF | 0.93 | 0.95 |
| Debt Ratio | 2.06 | 2.01 |
| Leverage | 2.08 | 2.17 |
| D/E Ratio | 1.01 | 1.08 |
The Total Return per year is shown below for years of 5 to 7 to the end of 2024. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.
| From | Years | Div. Gth | Tot Ret | Cap Gain | Div. |
|---|---|---|---|---|---|
| 2019 | 5 | 0.00% | 34.47% | 34.47% | 0.00% |
| 2017 | 7 | 0.00% | 48.05% | 48.05% | 0.00% |
The 5-year low, median, and high median Price/Earnings per Share Ratios are essentially 0 or non-calculable. The corresponding 6 year ratios are negative and so useless. The current P/E Ratio is 118.75 based on a stock price of $4.75 and EPS estimate for $0.04. This is a really high P/E Ratio. This stock price testing suggests that the stock price is relatively expensive.
I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 12.86, 19.50 and 26.14. The corresponding 7 year ratios are 10.96, 16.33 and 21.71. The current P/AEPS Ratio is 12.84 based on a stock price of $4.75 and AEPS estimate for 2025 of $0.37. This is between the low and median ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.
I get a Graham Price of $5.24. The 4-year low, median, and high median Price/Graham Price Ratios are 1.34, 1.26 and 1.35. The current P/GP Ratio is 0.91 based on a stock price of $4.75. This stock price testing suggests that the stock price is relatively cheap. There have only been positive earnings for the last 4 years.
I get a 7-year median Price/Book Value per Share Ratio of 1.43. The current P/B Ratio is 1.44 based on a Book Value $834M, Book Value per Share of $1.67 and a stock price of $4.75. The current ratio is 0.4% above the 7 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and at the median.
I get a 7-year median Price/Cash Flow per Share Ratio of 5.92. The current ratio is 41.10 based on cash flow for the last 12 months of $29.2M, Cash Flow per Share of $0.12 and a stock price of $4.75. The current ratio is 595% above the 7 year median ratio. This stock price testing suggests that the stock price is relatively expensive. The Cash Flow is quite volatile.
I cannot do any dividend yield testing because this stock has no dividend.
The 6-year median Price/Sales (Revenue) Ratio is 2.46. The current P/S Ratio is 0.85 based on Revenue estimate for 2025 of $1,413M, Revenue per Share of $5.59 and a stock price of $4.75. The current P/S Ratio is 65% below the 6 year median ratio. This stock price testing suggests that the stock price is relatively cheap.
Results of stock price testing is that the stock price is probably cheap, but it could just be reasonable. The P/S Ratio test is saying this and this is good test. The P/AEPS Ratio test is saying that the stock price is reasonable and below the median. This is a good test.
When I look at analysts’ recommendations, I find Strong Buy (7), Buy (6), and Hold (1). The consensus is a Strong Buy. The 12 month stock price consensus is $7.65 with a high of $9.00 and low of $5.25. The consensus stock price of $7.65 implies a total return of 61.05% all from capital gains.
There are quite a few entries on Stock Chase in 2025 for this company. Some seem to think it is a buy, but others are cautious. One analyst thought that debt and cash flow need to improve for the stock to go higher. Amy Legate-Wolfe on Motley Fool thinks this stock is due for a comeback. She thinks that it is currently selling at an attractive price. Rajiv Nanjapla on Motley Fool thinks that this company has good growth prospects. The company put out a Press Release about their fourth quarter of 2024. The company put out a Press Release about their first quarter of 2025.
Simply Wall Street via Yahoo Finance likes that there is a 22.6% insider ownership for this company. Simply Wall Street via Yahoo Finance takes a look at this company and thinks that the consensus price target of $7.63 and thinks that this price target might be too pessimistic. Simply Wall Street shows no warnings for this stock.
An article dated October 17, 2024 talks about Hong Kong Billionaire Solian Chau buying a 14% stake in this company. There is an article on CANTECH about Stifel analyst Justin Keywood recommending this stock in June 2025.
WELL Health Technologies Corp is a practitioner-focused digital healthcare company. It has seven reportable segments that are grouped into three key business units: Canadian Patient Services that includes Primary and Specialized MyHealth. WELL Health USA Patient Services includes Primary Circle Medica, Primary WISP, Specialized CRH Medical, and Specialized Provider Staffing and SaaS and Technology Services. It generates the majority of its revenue from Well Health USA Patient and Provider Services. Its web site is here Well Health Technologies Corp.
The last stock I wrote about was about was Stingray Digital Group Inc (TSX-RAY.A, OTC-STGYF) ... learn more. The next stock I will write about will be BlackBerry Ltd (TSX-BB, NYSE-BB) ... learn more on Friday, August 8, 2025 around 5 pm. Tomorrow on my other blog I will write about Something to Buy August 2025.... .... learn more on Thursday, August 7, 2025 around 5 pm.
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