Conor's avatar
$23.5m follower assets
Update: Two Healthcare Companies A and B: Which has a Larger Market Cap?
One of these companies has a market cap 5 times larger than the other. Which one do you think it is (using only the below information)?

Company A
Cano Health $CANO Market Cap $929 million


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Company B
Oak Street Health $OSH $5.44 billion


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Conclusion:

We have some smart investors on Commonstock! It's hard to value a company on the one-quarter report with not a lot of other information, but I feel Cano might be trading at a discount.

The biggest difference is the net change in cash. Cano has negative cash and Oak Street Health has positive cash.

That is actually the biggest reason why the stocks are trading at such a parity. However, Cano's CEO, Dr. Marlow Hernandez, said they will be focusing on free cash flow and limiting expenses on their latest earnings report.

I wonder if it's too late...
Which company has a larger market cap?
25%Company A
75%Company B
8 VotesPoll ended on: 11/18/2022
Nathan Worden's avatar
Feels like a trick question— I voted but I’m not confident 🥲
Christian's avatar
Interested to hear who these two companies are
StockOpine's avatar
Voted but hard to tell with available data. Went for B.
Conor Mac's avatar
Agree with @nathanworden that it feels like a trick question and @stockopine that it feels like it might be B.
Joey Hirendernath's avatar
I am going for option B , I can see that in the blacked out bit there might be subsidiaries* but as Nathan said I am not confident with my answer.
Devin LaSarre's avatar
Absolutely not enough information.
Conor's avatar
@devinlasarre it's hard to provide enough without prejudicing who each company is. Since so many people have biases (including myself), it's helpful to look at companies without knowing the market cap, name, rumors, gossip, etc.

Not sure how to do that exactly.

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