by Travis Johnson, Stock Gumshoe | August 14, 2020 5:28 pm
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Travis,
Have you done any research on similar Tele-health businesses in Canada, which, are geared towards the public healthcare sector? I have money invested in two companies: CloudMD (DOC) and Well Health Technologies (WELL), both of which have done fantastic over the last 12 months. I personally think there is a lot of room for growth in this sector and these companies address many of the concerns we face in our broken healthcare system.
Nope. Have any in mind?
CloudMD (DOC) or Well Health Technologies (WELL), if it interests you.
Travis, I am interested in these too, if you would provide an opinion on DOC and WELL.
And we just learned that Berkshire Hathaway bought at least half a billion dollars worth of shares in one of the largest gold miners. Will wonders never cease?
Buffet always stated he hated the yellow metal. Up 8% in after hours trading, will pigs fly soon?
Travis,
It was 20.9 m shares about $500 million of GOLD.
I said half a million, didn’t I? Meant half a billion, thanks for the correction.
Nope — you got it right the first time, Travis — you said he “bought at least half a billion dollars worth of shares. . .” We thousandaires will be buying somewhat fewer shares.
With Buffett I’m put in mind on the old rhyme: “Your children more attention pay to what you do than what you say.” He may have been involved with silver manipulation by PhiBro in the early 1990s but PhiBro refused to name their client(s) when the CFTC came calling. He got caught out by the Bank of England in 1997 or 1998 and he sold his $1bn in silver holdings before a meeting with the BofE.
Can you explain why you would rather buy TDOC shares over LVGO? Thanks.
At this point, mostly just because I already owned Teladoc and this makes it simpler… but it’s a cash and stock deal, so part of the argument is also that I would rather be fully invested in the company when it closes (assuming it does) than get part of my money back in cash.
The deal is that Livongo shareholders will get 0.592 shares of TDOC plus $11.33 in cash. Both have bounced back today, but as of Friday’s close TDOC was at $187.50, so that would have been $111 worth of TDOC shares plus $11.33, for a total of $122.33 per Livongo share. LVGO closed the day at $118.34, so it was trading at a 3% discount to the deal price.
I wouldn’t try very hard to talk you out of LVGO if you prefer, which one “wins” will depend where Teladoc prices go in the interim… LVGO will probably fall harder than TDOC if the deal falls apart, and do a little bit less well from here if TDOC surges dramatically, just because of that cash portion, but if the deal goes through and the stock is somewhere in the up 20%/down 20% neighborhood when that happens, it’s likely that the performance will be pretty similar whichever one you hold (today, for example, both were up — 9.33% for TDOC and 9.26% for LVGO, and LVGO is still about $2 shy of the “deal” price). Sometimes it’s not worth splitting hairs, though my tendency is usually to over-analyze.
Travis, have you looked into APPS?
Not that I remember.
So sorry not to be Travis! I wanted to respond since I recently bought APPS
before the market closed on its gap-up, Thursday, 8/6. I was showing my son & grandson some screening processes. & APPS kept popping up. We each micro-dosed a few shares. I bought @ $21.20 & 7 trading days later have a 16.3% gain. Though it hit a high of $26.29 on 8/13, Friday it dropped back to $24.75, not an uncommon move for a new 52W high. With a small stake and due to other priorities, I haven’t looked at the stock in depth, just used some technicals. Unfortunately, they’re at odds. (Another reason AAII is so against them!) At any rate, SMA & EMA indicators suggest buying pressure will carry APPS higher. Yet, its RSI is at a whopping 88 & candlestick formations are negative. I’ve set a stop at $23.18 to come out of the trade positively so that after further review, I can buy it back asap if wanted. I’m impressed with its 316%
growth rate this year, but noticed the company says its 26% for next & that some insiders sold.. I’m curious, iamshibly, if you feel like engaging, what caught your attention?
Love the analysis. Thank you!
Thanks for your comprehensive analysis, Travis. I’m the one that jumps to the bottom to read the recommendations, as you are mostly spot on. Is anyone aware of the Motley Fool tease about a small California company set to benefit from Apple on Sep 8?? Not OLED, as they are NJ based.
Haven’t noticed that recently, but it’s probably a repeat of their Skyworks (SWKS) tease
TY
“It has developed an assay for antibodies to peak proteins, the mechanism the coronavirus uses to hijack cells. DiaSorin’s assay is likely to be of particular value in analyzing the many vaccines in development that mimic peak proteins. to elicit an antibody response. “
Travis,
Diasorin (DIA.MI / DSR.LF) seems to be well positioned, according to European analystrs, for booming in the after Covid period.
“It has developed an assay for antibodies to peak proteins, the mechanism the coronavirus uses to hijack cells. DiaSorin’s assay is likely to be of particular value in
analyzing the many vaccines in development that mimic peak proteins. to elicit an antibody response. “ Any thoughts?
Bob from Belgium
Hi Travis, been an irregular for a few years now and I like your service! A little off topic, but I’ve been flooded recently by Bob Keppel and Tom Gentile about a $4 Cannabis stock that has 871 patents, etc. Any idea what this is? Thank you!
Thanks! Just posted that moments ago — article is here: https://www.stockgumshoe.com/reviews/danny-brodys-cannabis-inner-circle/tiny-company-extracting-worlds-most-valuable-commodity/
Hi Travis as another one of the (should be) boring stocks whats your latest thoughts on fairfax india? I know the bangalore airport and insurance investments will have been hit hard by the pandemic but its still trading below its NAV and i would have thought india in general would have benefited from the China/US situation as they should be a viable low labour cost alternative. The stock however just seems to consistantly bounce around its lows.
Bad timing for the airport, to be sure, but it’s mostly just investor sentiment I imagine. Will dig into the financials again soon.
Hello Travis. Have you heard of this small cap tech company called Microvision? What are the chances of Microsoft buying them out?
I’ve heard the rumors, but from what little I’ve seen Microsoft wouldn’t be a likely acquirer. The CEO hinted that some companies are exploring a bid for the business, in response to short attacks, but didn’t say who… or at what price.
This is the kind of story I’d stay way from entirely — driven by rumor and day trading and self-promotional longs and shorts. The rational assumption should always be that when the attention dies down, the stock price also dies down… not because it always happens, but because it’s impossible for any individual investor to have an “edge” in predicting what might happen. Any investor who wins on MVIS stock at this point is very likely just playing a slot machine — you win or lose, but you don’t know why… and the odds of a loss are a lot better than a win.
I don’t know much about the fundamentals at MVIS, but it looks like they have never had a meaningful level of revenue in 20 years, and over just the past ten years they’ve gone from 12 million shares outstanding to 140+ million — which is a signal that the business was probably never ready to be self-sustaining. Usually when a stock slowly dies over 5-10 years, there’s a good reason. Not always, and sometimes they come back to live, but usually.
Trade Note
As I mentioned in an article about the tower companies a few weeks ago, I’ve had a limit order in to top up my position in Crown Castle a little bit if those shares fall… and they hit my limit order this morning, so that position has been increased by about 10-15% at $160 a share. This is the highest price I’ve paid for Crown Castle since I started buying it about two years ago, but I continue to think they’re well-situated for increasing 5G demand, including the small cell network that is fed by fiber (which is what Elliott Management is pressuring them to minimize or sell). At this price, the dividend yield is about 3%, with a dividend that should grow by 7-8% per year and could in the face of activist pressure, be boosted a little more aggressively in the short term if they decide to meet Elliott partway on their demands. You can click that Crown Castle name below to see all my past notes and articles mentioning the stock.
Hey Travis,
Have a look at CloudMD (Doc) and Invitae (NVTA)…
Future is bright in this telemedecine and biotech stock respectively!
Wish you good investments 🙂
CloudMD will Explode! It is buying up a lot of company’s in the health care business. The price is staying between $170 and $2.00. This company is well funded and looking to grow.
$1.70