NEW YORK - DocGo Inc. (NASDAQ:DCGO), a provider of mobile health services, announced today the formation of its Medical Advisory Board (MAB). The board comprises experts from diverse healthcare fields and is tasked with guiding the company's executive team in advancing its mission to provide virtual, in-person, and mobile healthcare services in the US and UK.
The MAB is chaired by Ben Bobrow, MD, a Professor of Emergency Medicine at McGovern Medical School at UTHealth Houston, known for his efforts in improving medical care quality and outcomes. The board includes professionals like Jagmeet P. Singh, MD, of Harvard Medical School, Andy S. Jagoda, MD, from the Icahn School of Medicine at Mount Sinai, Clive Kevan Fields, MD, Co-Founder of VillageMD, and Ries Robinson, MD, CEO of Rodin Scientific.
The advisory board's establishment reflects DocGo's commitment to enhancing healthcare delivery through innovative solutions, especially for vulnerable populations. The MAB members' expertise is expected to contribute significantly to the company's strategic initiatives, including healthcare redesign, digital health, medical device innovations, and improving patient outcomes in various medical specialties.
DocGo's CEO, Lee Bienstock, expressed pride in the initiative, emphasizing the expected benefits of the board's counsel in the company's growth and expansion. The MAB will meet regularly to discuss and advise on healthcare programs and strategies.
DocGo is known for its care delivery platform, which includes mobile health services, remote patient monitoring, and ambulance services. The company aims to reshape traditional healthcare by providing accessible care outside conventional settings, supported by its proprietary technology and certified health professionals.
This press release statement is based on information provided by DocGo Inc. and does not include any independent verification of the claims made. The formation of the MAB is a strategic move by DocGo to leverage expert advice in the pursuit of its business objectives and to potentially improve the quality of healthcare services it offers.
In other recent news, DocGo has reported a strong Q1 performance for 2024, with revenues surging by 70% to reach $192.1 million and a record adjusted EBITDA of $24.1 million. The company's net income also rose, reaching $10.6 million, a significant improvement from the net loss reported in the previous year.
DocGo has adjusted its 2024 guidance due to the accelerated wind-down of certain migrant services projects, projecting revenues between $600 million to $650 million and adjusted EBITDA of $65 million to $75 million. Despite these changes, the healthcare services provider is planning to expand its non-migrant Mobile Health and Transportation services in 2025.
The company's growth strategy includes expanding care gap closure programs and population health services. Still, it is important to note that the company is experiencing a decline in revenue from migrant-related contracts and is projecting flat growth for non-migrant revenue in 2024 due to the completion of certain projects. Despite these challenges, DocGo remains optimistic about its operational cash flow and the expansion of its core services.
InvestingPro Insights
Amidst the strategic advancement of forming its Medical Advisory Board, DocGo Inc. (NASDAQ:DCGO) has shown a dynamic financial landscape that investors may find compelling. With a market capitalization of $293.52 million, DocGo is trading at a low revenue valuation multiple, which could indicate a potentially undervalued stock. This is supported by the company's price-to-book ratio of 0.94 as of the last twelve months leading up to Q1 2024, suggesting that the stock may be trading below its net asset value.
Significantly, DocGo's revenue growth has been robust, with a 61.46% increase over the last twelve months as of Q1 2024. This impressive growth trajectory is further illustrated by the quarterly revenue growth of nearly 70% in Q1 2024, highlighting the company's potential in scaling its operations and expanding its market reach. An InvestingPro Tip notes that analysts predict the company will be profitable this year, which aligns with the company's positive gross profit margin of 32.83% in the same period.
Despite the stock taking a hit over the last week, with a 1-week price total return of -9.69%, the company's fundamentals may offer a silver lining to long-term investors. The InvestingPro Tips also highlight that management has been actively buying back shares, which could signal confidence in the company's future prospects. Moreover, DocGo's liquid assets exceed its short-term obligations, providing financial stability and the ability to weather potential headwinds.
For investors seeking deeper insights and additional tips on DocGo, including whether now might be an opportune time to consider this healthcare innovator, more InvestingPro Tips are available. There are 11 additional tips listed on InvestingPro for DocGo, accessible at https://www.investing.com/pro/DCGO. Interested parties can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, offering valuable investment guidance and analysis.
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