Financial Analysis: CareCloud (NASDAQ:CCLD) and Klaviyo (NYSE:KVYO)

CareCloud (NASDAQ:CCLD) and Klaviyo (NYSE:KVYO) are both medical companies, but which is the better business? We will compare the two companies based on the strength of their profitability, institutional ownership, valuation, risk, analyst recommendations, earnings and dividends.

Profitability

This table compares CareCloud and Klaviyo’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CareCloud	-35.25%	-87.98%	-50.79%
Klaviyo	-4.92%	0.89%	0.75%

Insider & Institutional Ownership

10.2% of CareCloud shares are held by institutional investors. Comparatively, 45.4% of Klaviyo shares are held by institutional investors. 38.4% of CareCloud shares are held by company insiders. Comparatively, 53.2% of Klaviyo shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares CareCloud and Klaviyo”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CareCloud	$111.01 million	0.23	-$48.67 million	($3.20)	-0.50
Klaviyo	$937.46 million	10.10	-$308.23 million	($0.18)	-192.61

CareCloud has higher earnings, but lower revenue than Klaviyo. Klaviyo is trading at a lower price-to-earnings ratio than CareCloud, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

CareCloud has a beta of 1.55, meaning that its share price is 55% more volatile than the S&P 500. Comparatively, Klaviyo has a beta of 0.86, meaning that its share price is 14% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations for CareCloud and Klaviyo, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CareCloud	0	2	2	0	2.50
Klaviyo	0	5	14	0	2.74

CareCloud presently has a consensus target price of $3.67, suggesting a potential upside of 129.17%. Klaviyo has a consensus target price of $49.44, suggesting a potential upside of 42.62%. Given CareCloud’s higher possible upside, equities research analysts plainly believe CareCloud is more favorable than Klaviyo.

Summary

Klaviyo beats CareCloud on 10 of the 14 factors compared between the two stocks.

About CareCloud

CareCloud, Inc., a healthcare information technology (IT) company, provides a suite of cloud-based solutions and related business services to healthcare providers and hospitals primarily in the United States. It operates in two segments, Healthcare IT and Medical Practice Management. The company's portfolio of proprietary software and business services includes technology-enabled business solutions; cloud-based software; digital health services; healthcare IT professional services and staffing; and medical practice management services. Its technology-enabled business solutions comprise revenue cycle management services, healthcare claims clearinghouse, and medical coding and credentialing services; electronic health records, practice management software and related capabilities, patient experience management solutions, business intelligence and healthcare analytics platforms, and customized applications, interfaces, and various other technology solutions, as well as artificial intelligence, such as CareCloud cirrusAI, AI-powered clinical decision support, AI-powered virtual support assistant, AI-driven appeals, and CareCloud cirrusAI. In addition, the company provides chronic care management, remote patient monitoring, and telemedicine solutions; and professional and consulting services, workforce augmentation and on-demand staffing, and strategic advisory services. Further, it offers medical practice management services to medical practices comprising appropriate facilities, equipment, supplies, support services, nurses, and administrative support staff, as well as management, bill-paying, and financial advisory services. It serves physicians, nurses, nurse practitioners, physician assistants, and other clinicians that render bills for their services. The company was formerly known as MTBC, Inc. and changed its name to CareCloud, Inc. in March 2021. CareCloud, Inc. was founded in 1999 and is headquartered in Somerset, New Jersey.

About Klaviyo

Klaviyo, Inc., a technology company, provides a software-as-a-service platform in the United States, other Americas, the Asia-Pacific, Europe, the Middle East, and Africa. The company offers Klaviyo, a cloud-native platform for data store, segmentation engine, campaigns and flows, and messaging infrastructure. It also provides email to send personalized marketing emails, including drag-and-drop email templates to edit and customize pre-built templates; email campaigns and automations with smart send time features, generative artificial intelligence for subject line creation, A/B testing tools, and consumer list segmentation; short message services to send targeted marketing text messages to consumers, as well as built-in contact cards to ensure that texts does not appear as random numbers; and push, a personalized push notification to engage with consumer. In addition, the company offers other applications, such as reviews, which collect product reviews; and customer data platform that allows to manage, deploy, transform, and sync data. It serves its products to entrepreneurs, small and medium-sized businesses to mid-market businesses, and enterprises. The was incorporated in 2012 and is headquartered in Boston, Massachusetts.