Saturday, November 14, 2026

@calvinblissett Nov 6

Calvin Blissett on X

$CCLD: They can reach it in the public markets with continued execution imo as they show AI resilience and benefits as well as continued software development, tuck in acquisitions and integration of Medsphere without too much churn . They have before achieved those multiples in the public markets. That said I would love to be the one to take them private, I think anyone doing so gets a “platform” and a steal and want that to happen because I have so many opportunities I could easily redeploy the cash in names where I have just as high conviction.

@calvinblissett Nov 6 1 click

Calvin Blissett on X

Great question. My short answer is that CareCloud ($CCLD) sells an outcome and selling that outcome requires trust and experience: getting doctors paid. Commoditizing AI makes that cheaper for CareCloud to deliver, not easier for someone else to copy. I also think they are very well positioned to deliver AI and keep reaping its benefits an they alluded to as much on the Q3 call. RCM is the bloodflow of a medical practice. It’s how the practice gets paid, and nobody experiments with their cash flow to save a few dollars on a cheaper AI tool, especially when small practices are hesitant to adopt AI to begin with. One missed month of collections can sink a small practice, so trust and a track record matter more than the newest model. Practices sign multi-year contracts, and a CareCloud rep told me the most common objection he hears is that prospects are “locked in a contract” with someone else. The stickiness that keeps practices from leaving their current vendor works for CareCloud once it has them. Hospitals are stickier still: the rep put hospital sales cycles at 1–3 years. The data from doing the work is part of the moat and not replicable at least quickly. They process claims for thousands of practices. On the Q3 call, management said denial rates fell from about 8% to under 4% in a year, against the 6–8% the large RCM firms publish and the 7–8% benchmark for physician practices. Zero-touch claim processing rose from 74% to 84%. A startup can buy the same model. It can’t buy the claims history, the payer-specific rules or the people who handle the exceptions that lead to Carecloud being MUCH better than industry benchmarks Cheaper AI widens their cost advantage. They already run a large team in Pakistan at a fraction of US labor cost, and AI is now cutting manual claim touches by 44%. In the CEO’s words: “Our team now handles more volume with the same headcount.” It shows in the margins. Revenue minus direct operating costs went from 47.8% to 50.5% of revenue, and adjusted EBITDA margin hit 29%, against about 13% in 2023. When AI gets cheaper for everyone, the operator with the most volume to run it on wins the most. It’s like Walmart with barcode scanners: everyone could buy one, but Walmart got the most out of it. They also said software development is a growth engine (I plan on asking about economics which they said were good and given their track record I believe), my take is this is a way for them to utilize that cost advantage and monetize that while it is still very potent relative to the industry. What is a risk here is the Warren Buffett tiptoes at the parade analogy and the Charlie Munger distinguish when the economics stick to your ribs versus just go all to the customer, I think that is a real risk but over a time frame long enough that in today's price it isn't super concerning. Follow up to above: RCM is usually priced as a percentage of what the practice collects (a royalty like what Bill Ackman loves as mentioned recently in his Oct 26 Equity Mates interview which I enjoyed:). When AI cuts denials from about 8% to under 4% (Q3 call), the practice collects more, and CareCloud’s fee rises with it. The client is better off and so is CareCloud. This is Charlie Munger's win-win business model (more data in writeup on this), what lead him to $COST and away from Valeant and $CACC. The core moat is the relationships and the volume of work that already exists. At about 5x EBITDA (see writeup for what peers trade at in TRANSACTIONS (13.6x for one set and 18x for another), the market is pricing CareCloud as an AI loser when it’s one of the bigger beneficiaries IN MY OPINION

@Mr_Neutral_Man Nov 6

Mr Neutral Man aka "Howard Marks of REITs” on X

Got the $3.00 in distribution last night Stub casually up 25% today $SITC

@Fierce__beast Nov 6

Fierce_beast on X

i wonder if this trades a bit in sympathy with $airs but since it has so much net cash probably not too much.

@Fierce__beast Nov 6

Fierce_beast on X

well the $airs short is working. beware of position sizing, stock went up a lot before eventually crashing

@DOMOCAPITAL Nov 6

DOMO Capital Management, LLC on X

Over the next three years $GPRE earnings are going to exceed its entire enterprise value.... That's insane and it isn't based on any temporary factor such as the Iran war. These are durable, sustainable earnings. How does the market possibly come to a $14 valuation on this? Insane.

@KEDM_COM Nov 6 2 clicks

KEDM.com on X

Ex-SPAC Holley $HLLY announced a $25m buyback, ~8% of its current market cap. Not exactly huge, but interesting signal nonetheless here. Holley is still ways from recovering from its deSPAC correction. It listed during the SPAC craze at pretty lofty valuations and with quite some debt. This auto parts company doesn’t have huge growth, but a very loyal customer base. That results in >20% EBITDA margins and ~50% FCF conversion. Debt is being worked down, and sooner or later this one will find the way up again ioo.