CareCloud Inc. Common Stock (CCLD)

FairStock Score: 51/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for understandable businesses with durable advantages, conservative balance sheets, and a price below intrinsic value. CareCloud sells software and business services to healthcare providers and hospitals. The top line has grown: revenue was $110.8M in FY2024 and $120.5M in FY2025. It also returned to profit, with FY2024 net income of $7.9M and FY2025 net income of $10.8M, after a FY2023 net loss of $48.7M. But the latest figures are mixed. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $31.9M and net income was $1.1M, with diluted EPS $0.00. In fiscal Q2 2025, revenue was $27.4M and net income was $2.9M, with diluted EPS $0.04. So sales rose but profit fell. FairStock calculations show a P/E of 27.86, P/B of 4.76, Graham Number of $0.80, and a margin of safety of -143.75%, so price is not cheap versus earnings or book. Yet TTM free cash flow is $19.6M, a 23.7% FCF yield, and EV/EBITDA is 4.53, which look inexpensive. The balance sheet is the worry: D/E is 3.10, Altman Z-Score is 0.26, and Piotroski is 4/9. ROE is 21.75%, but ROCE is only 6.82%, suggesting leverage flatters returns. The FairStock Score is 51/100. The Lynch category given is TURNAROUND, returned to profit after a loss within three years. At $1.95 on 2026-10-13, with an $82.9M market cap, Mr. Market is pricing a recovery. I would want consistent earnings and lower debt before calling this a margin-of-safety bargain.

In plain English: CareCloud provides software and business services to healthcare providers and hospitals. It has grown revenue and generates strong cash flow, but profits are small and fell in the latest quarter, and the company uses a lot of debt. At $1.95, the price looks full compared with reported profits and book value, while cash flow makes it look cheaper, so the picture is mixed.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K/A (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer