Vitalhub: A Better Business At A Much Better Valuation

Fernanda Galvez Jalil 1.22K Followers Follow Summary Vitalhub continues executing its M&A-driven growth strategy, surpassing $100M ARR and restoring EBITDA margins as integrations near completion. Organic growth remains around 10%, supplemented by acquisitions, while cross-selling integrated solutions is emerging as a key organic driver. The company's valuation at 16x EV/EBITDA, down from 25x, offers an attractive entry point. I maintain my Buy rating with 60-65% upside potential over three years. Solskin/DigitalVision via Getty Images Investment Thesis Vitalhub ( VHI:CA ) ( VHIBF ) has continued to execute on its strategy of using M&A to accelerate growth while improving the profitability of the businesses it acquires. ARR has now surpassed $100 million, EBITDA margins have This article was written by Fernanda Galvez Jalil 1.22K Followers Follow My name is María Fernanda and I'm currently studying an MBA. My inspiration investors are Warren Buffett, Peter Lynch and Terry Smith, so I look for quality companies at a reasonable valuation. I believe that, in the long term, fundamentals are what drive the share price, so I look to predict what a business's earnings per share will do. Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in VHI:CA over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.