There is little question that the best way to generate wealth is to invest in quality stocks and plan them for years and decades. By the way, there is the possibility of finding a company that can be “multi-beggar”, or an investment that is many times more than its original value. There are several contributing factors that can help make the stock philanthropic and likely make it one of the rarest breeds of investment.
Find companies that offer innovative answers to the problem of aging, have a large number of secular tailwinds, or have a big address in the right market, and you’ll be on the right track. In very rare cases, you may find a company that ticks all three BXs, dramatically increasing the likelihood of your investment being multiplied many times over. The investment of any or all of these companies will fit the bill.
Image Source: Getty Images.
Teladok and Livongo: Powerful one-to-punch
Teladok Health (NYSE: TDOC) Coronavirus was in a jealous state even before it started. Without the need for a trip to the clinic, patients were gravitating towards the ease of virtual care provided by an application-based doctor’s visit. With the advent of epidemics and as a result of home orders, the company was in the perfect position to provide patients with a safe and convenient option.
As a result, as the number of virtual office fee visits increased, so did Teladok’s financial performance. The numbers so far this year tell the story. In the first quarter, Teladok’s total patient visits jumped 92%, boosting revenue growth by 41%. Things really took off in the second quarter, with total patient visits increasing by 203%, revenue rising by 85%.
Livongo Health (Nasdaq: LVGO) Even riding was a high-end ride, providing innovative solutions to patients and healthcare providers alike. The company’s inings again help patients manage long hours between regular scheduled checkups with their physicians. Estimates vary, but according to Livongo’s management there are many 147 million Americans with at least one long-term position. These can include a variety of issues such as diabetes, hypertension, weight management, diabetes prevention, and behavioral health.
Through the use of connected devices, Livongo provides an ongoing and timely response to help manage patients ’condition, thus improving their lifestyle while also reducing the cost of their healthcare, resulting in a rare case that is truly a win-win.
Image Source: Livongo Health. https://www.livongo.com/press.html
Livongo for the Diabetes Program was the one who started all this. It reported a 113% increase in enrollment year-over-year in the second quarter, leading to a 125% higher annual revenue. The company is already giving star results, with 100% enrollment growth in the first quarter and revenue up 115%.
The companies announced in early August that Teladok Health and Livongo Health would join forces, “the only customer-centric virtual care platform for the full spectrum of health, which needs to take into account faster consumer and consumer demand.”
Investors were skeptical at the start of the announcement, and both stocks fell 14% in the wake of the announcement. After investors digested the news, however, stocks resumed their upward momentum.
Add to the market with a huge address, and Teladok and Livongo really check out all three checks. Teledock Health estimates its total addressable market is 30 30 billion. The management of Livongo Health estimates that the market for diabetes management is only 16 16 billion, while solutions for other long-term conditions offer an additional 18 18 billion. This puts a combined બજાર 64 billion market for these companies. To understand the magnitude of the opportunity, consider this: the combined revenue of the two companies was $ 724 million last year, indicating that they only scratched the surface of the appropriate markets at their respective addresses.
Image Source: Document Sign.
Document sign
As the epidemic gained social distance, the time-honored tradition of signing contracts with individuals was exposed to the old practice. Document sign (Nasdaq: DOCU) The electronic signature space was already the undisputed leader, controlling an estimated 70% of the market. But as businesses sought ways to terminate contracts at a distance, Doksuin was the most obvious choice.
Moving beyond simple signatures, the company has also developed a cloud-based suite of applications to automate the entire lifecycle of the contract process, known as the Document Agreement Cloud. The platform provides businesses with all the tools they need to prepare, sign, process and manage their contracts. This could be something as simple as a letter fur letter arising in the HR department, or more complex, like a multi-page sales agreement between a buyer and a seller. It also integrates with a host of existing applications Salesforce.com And Micro .ft, Among others, allows use to create a signature ready contract with a few keystrokes.
Duquin’s revenue rose 45% in the second quarter, accelerating to 39% growth in Q1. Most importantly, about 95% of its revenue comes from subscriptions, providing a solid base of recurring revenue that will only grow from here. At the same time, its billings grew 61% year-over-year, while its systematic profit increased 17-fold.
The company’s address fills a trio of appropriate market factors that could help feed this future multi-beggar. DuCoin estimates that the market for digital signatures alone falls within 25 25 billion. The addition of the contract cloud effectively doubles its effective market to 50 50 billion. Duquin’s total revenue last year dropped to 74 74,774 million compared to the opportunity left.
Data by vicharts.
Fine print
Investing in these potential multi-beggars is a trade-off, as each of these companies is a high-risk, high-reward stock that many other high-growth companies come up with at similarly high prices. Teladok, Docusign and Livongo sell 19 times, 30 times and 40 times ahead, respectively, while there is usually a reasonable price between one and two. Additionally, these companies are still left to make a profit as they are hired to gain market share.
Investors are willing to pay for the impressive top-line growth so far and the long-term huge contribution of each of these high flyers. Given their impressive growth rate, that doesn’t seem to be the case Approximately As expensive.
They don’t even bother thinking they’ll be multi-beggars three to five years down the road – because they’ve already achieved a lot this year.
