-- Stifel Canada says Well Health Technologies' (WELL.TO) first-quarter patient metrics for its Canadian clinic network across primary/specialty care, highlight continued strong growth trends.
Analyst Justin Keywood, who is maintaining a buy rating and a $8.00 price target on the shares, said the first-quarter report showed a 33% jump in patient visits, to 1.27 million from 957,000 in the prior year period.
Each Well Health practitioner is now managing an average of ~80 more patients per quarter compared with two years ago, highlighting the company's model of heavy technology implementation, including AI tools, following M&A, Keywood adds.
"The above-average growth, should translate to operating leverage (+200bps Primary care margin expansion y/y to 8.0% in Q1/26; highest in two years) and +20% margins for specialty care," Keywood calculates. The metrics also demonstrate the value of the 250+ Canadian clinics network and scaling opportunity with only ~2% of the market consolidated (Well holds ~1.5%.)
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