PME

2.66%

$227.64 pro medicus limited

deltatango I like your thinking. PME becomes the Microsoft of...

First 26 Last

Share
Profile

Follow
Downanout

394 Posts.

33

09/11/17

11:26

Post #: 28637736
Share

Originally posted by deltatango ↑

This explanation is purely my opinion.

US medical providers are mandated to be totally digital by the end of next year. I recall reading in an industry report that only 10-20% had signed up by this time last year. Many have been in decision-making hiatus due to a couple of factors; application maker consolidation and Trump being the most significant.

There is likely to be significant catch-up between now and the end of 2018. So, more contracts likely. And given that only a small number of medical providers are signed up to anything from this century, the number to be signed up is significantly greater in orders of magnitude.

There are likely to be consolidations within and between application providers.

And there is likely to be takeover activity from Big Data.

Medical is now 16% of the US economy. That is a low hanging fruit for BD. They have the financial resources to consolidate applications through takeovers. They need to do something with those mountains of cash they have, much of it outside the US. What better way to repatriate it tax-free than through a takeover that yields a significant profit onshore?

I remember 15 years ago, when Yahoo was a big thing, that there was this thingy called Google that was pretty cool, but not profitable.

Assessing PME on fundamentals, past financial performance, will not give any indication of their potential, it will only give an idea of their viability.

My assessment is that medical will become the battlefield for Big Data (Amazon, Alphabet & Apple), and that they will pay a premium to get proven applications in their suite. They will make their money from demand for the pay-for-use model.

As for what they will pay, that is anyones guess.

Purely speculating, I'd say $35 minimum, based on a very basic metric; that is the amount necessary to make the two founders billionaires. At that price the company is a snip at $3.5bn. Cheep cheep in the internet age.

Expand

deltatango

I like your thinking.
PME becomes the Microsoft of the medical imaging.
So ubiquitous that everybody loves to hate them.
$35 would be near as damn it to a nice round number for me also.

But please, please, in the meantime, can we have some sort of announcement to justify the Indian rope trick that the price chart is currently performing?

A contract?
A substantial holder?
That they've accidentally discovered how to turn lead into gold using a kitchen microwave?
That Alphabet wants PME in their soup?
Anything?

The long silence is fraying my nerves.

Cheers

Last edited by Downanout: 09/11/17

PME Price at posting: $6.95 Sentiment: None Disclosure: Held
3 Upvote

0 Great analysis

Reply

Top Stories

MIN

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

ACW

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

AXP

Tambourah chases gold veins and mineralisation extension with drilling

WC8

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

There are more pages in this discussion • 2 more messages in this thread...

First 26 Last

Add PME (ASX) to my watchlist

(20min delay)
Last $227.64		Change 5.890(2.66%)		Mkt cap ! $17.90B

Open	High	Low	Value	Volume
$225.00	$229.57	$223.37	$80.03M	351.6K

Buyers (Bids)

No.	Vol.	Price($)
1	4	$227.60

Sellers (Offers)

Price($)	Vol.	No.
$227.72	3210	3

View Market Depth

No.	Vol.	Price($)
1	1231	14.800
1	1231	14.760
1	293	14.750
1	510	14.730
1	941	14.720

Price($)	Vol.	No.
14.830	466	1
14.840	1685	1
14.860	771	1
14.870	677	1
14.880	941	2

Last trade - 16.10pm 25/11/2024 (20 minute delay)

PME (ASX) Chart

deltatango I like your thinking. PME becomes the Microsoft of...

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

Tambourah chases gold veins and mineralisation extension with drilling

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

deltatango I like your thinking. PME becomes the Microsoft of...

Top Stories

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

Tambourah chases gold veins and mineralisation extension with drilling

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News