04-02-2011, 01:20 AM
It is quite hard to say.
At a glance, I don't think their businesses do have a very high barrier of entry. Any would-be competitor would find it cheaper to simply build it up from scratch than to acquire an existing rival at a premium. Is it really difficult to lease a clinic and rope in a few doctors ? I say this because branding is a non-issue in any of these companies (unlike Thomson or RMG).
On the flip side, I don't foresee the possibility of earnings or cash-flow deteriorating either since the demand is real. But growth potential - that remains to be seen. Pretty interesting proposition.
Then again, this represents my own POV which may be fatally flawed. Please share your views![Smile Smile](https://www.valuebuddies.com/images/smilies/smile.gif)
(Not vested in any health-care stock)
At a glance, I don't think their businesses do have a very high barrier of entry. Any would-be competitor would find it cheaper to simply build it up from scratch than to acquire an existing rival at a premium. Is it really difficult to lease a clinic and rope in a few doctors ? I say this because branding is a non-issue in any of these companies (unlike Thomson or RMG).
On the flip side, I don't foresee the possibility of earnings or cash-flow deteriorating either since the demand is real. But growth potential - that remains to be seen. Pretty interesting proposition.
Then again, this represents my own POV which may be fatally flawed. Please share your views
![Smile Smile](https://www.valuebuddies.com/images/smilies/smile.gif)
(Not vested in any health-care stock)
Disclaimer: Please feel free to correct any error in my post. I am not liable for anything. Do your own research and analysis. I do NOT give buy or sell calls and stock tips. Buy and sell at your risk. I am not a qualified financial adviser so I do not give any advice. The postings reflects my own personal thoughts which may or may not be accurate.