It’s not just dabbling in a hot sector, WELL Health (WELL Health Stock Quote, Chart, News, Analysts, Financials TSX:WELL) is a legitimate player in the AI space.
That’s the take from Raymond James analyst Michael W. Freeman, who on October 18 reviewed WELL’s latest news; a product called “WELL AI Decision Support” a collaboration between WELL and HEALWELL AI.
On October 18, WELL and HEALWELL AI announced a collaboration called “WELL AI DECISION SUPPORT”.
The companies say the product, which they say was “rigorously” tested and developed by HEALWELL will lead to better and faster patient outcomes, particularly in the diagnosis of more than 100 complex or rare diseases.
“WELL isn’t just dabbling in AI – it’s firmly in the game,” the analyst argued. “And, HEALWELL AI is integral to the strategy: Following the launch of WELL AI Voice in May—already active across WELL’s entire BC-based primary care network—WELL AI Decision Support is WELL’s second core AI offering to be rolled out, this time with the help of its strategic technology development partner, HEALWELL AI (previously MCI OneHealth). HEALWELL AI’s team of developers and data scientists are now fully and exclusively plugged into WELL’s vast database of electronic medical records (EMRs) and other data from WELL’s >5 mln annual patient visits, uniquely situating the companies with ample datasets to build, deploy, and dynamically upgrade powerful AI-driven healthcare tools across WELL’s international healthcare networks. WELL, and, importantly, its patient data, is now firmly in the AI game.
In a research update to clients October 18, Freeman maintained his “Outperform 2” rating on WELL.
The analyst thinks WELL will post Adjusted EBITDA of $127-million on revenue of $899-million in fiscal 2024.
“We believe WELL tapping HEALWELL’s team for the important job of putting its troves of patient data to work is a deft move, enabling WELL to focus on building profitable international practitioner networks vs. deploying resources toward internal algorithm development,” the analyst concluded. “We also see HEALWELL as a big winner in this arrangement, gaining exclusive access to what is likely Canada’s largest proprietary patient dataset and a neatly aligned, well-capitalized distribution/deployment partner. We like the outcome of this WELL x HEALWELL alliance, and will be following each company closely as they grow their datasets, product offerings, and respective businesses. (NB: As part of the deal, WELL owns a call option for ~70% of HEALWELL.)”
We Hate Paywalls Too!
At Cantech Letter we prize independent journalism like you do. And we don't care for paywalls and popups and all that noise That's why we need your support. If you value getting your daily information from the experts, won't you help us? No donation is too small.