Agoracom Blog

Is Nightingale Informatix (NGH: TSXV) A Triple From Here?

Posted by AGORACOM at 2:29 PM on Thursday, August 16th, 2007

If you’ve been watching AGORACOM TV, then you’ve seen me talk about Nightingale Informatix with great enthusiasm a couple of times over the past couple of weeks thanks to some great contract announcements.

I covered them again today (watch the show) (read my show notes) thanks to a great Q1 that included the following:

  • Revenues of $6.1 million, up 105% over last year
  • Recurring Revenue was $4.0 million – wow!
  • Net loss decreased to $1.8 million vs. $2.3 million last year

I love NGH because – amongst other things – they are a provider of Electronic Medical Records (EMR) and Internet-based Electronic Health Records (EHR) to governments, hospitals, health centers, etc. Given the fact they are replacing the sophisticated paper based records that sit in massive filing cabinets at the back of your doctor’s office, it doesn’t take a genius to figure out this is the future.

Why? Beyond better looking offices, EMR and EHR lead to substantially better health care when any doctor can access your file at any time from anywhere. Today, I still have my doctors faxing my stuff between them. That means they have to call each other, get someone to retrieve my file, find the right report, fax it to the other doctor, who then has to do the reverse to get it into my file. WTF?!?

The future of Nightingale looks nice.

Now, how do we value them? Ask and you shall receive my child. Thanks to the wonderful people over at Wellington Financial (I really don’t know anyone there other than Mark Wilk) we now know that Nightingale – currently trading at .35 – is easily valued at $1.10 per. The target price comes from research out of Clarus Securities.

If you have 60 seconds to invest into a potential triple, then read the following post that neatly summarizes the Clarus report.

And you thought AGORACOM TV was just about my pretty face 🙂


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