A $28M Healthcare Company Growing 26%, Trading at Half Its Peers, w/ 12+ Acquisitions on Deck
27 Consecutive Quarters of Profit - and Nobody's Watching
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Note: The scenarios, probabilities, and potential return estimates discussed in this post reflect my personal assumptions and framework for thinking about risk-reward. They are not guarantees, predictions, or investment advice. Always do your own research.
One in five adults lives with chronic pain.
Not a headache. Not a sore back after a long flight. The kind of pain that doesn’t stop - nerve damage, failed surgeries, degenerative spinal conditions, injuries that never fully healed. The kind that pulls people out of the workforce, off their feet, and into a cycle of opioid prescriptions because nothing else is available fast enough.
In Canada, the wait to see a pain specialist can stretch 18 months. In some cities, over a thousand patients sit on a single clinic’s waitlist.
The healthcare system can’t keep up. And one company built the infrastructure to fill the gap.
It operates Canada’s largest network of chronic pain clinics - regulated medical facilities staffed by specialists, funded almost entirely by government health insurance. Not a startup. Not a concept. A real business with real patients walking through the door every day.
Last quarter, revenue grew 26%. Adjusted EBITDA nearly doubled. Capacity utilization climbed to 84%. The balance sheet is clean - net debt under $2 million, no warrants, no convertibles, no messy capital structure. The company has posted positive EBITDA for 27 consecutive quarters.
And the stock trades at roughly 5x trailing EV/EBITDA.
For context, comparable Canadian healthcare clinic operators trade at 7-11x. Some well above that.
Here’s what makes this interesting:
Valuation gap: 5x trailing EV/EBITDA vs. 7-11x for peers - at the low end of the peer range alone, that implies 44% upside. At 10x, the stock more than doubles.
Growth trajectory: 26% revenue growth, 98% EBITDA growth, and management guiding for high single- to low double-digit organic growth ahead.
Acquisition pipeline: 10-12 targets under evaluation, with financing already secured through National Bank.
Insider conviction: The CEO is buying shares personally. The company launched a buyback. All warrants were retired. Management has said publicly they believe the stock is undervalued.
Structural demand: 1,200+ patients on waitlists. 18-month specialist wait times. An aging population. This isn’t cyclical demand - it’s a healthcare system that structurally cannot serve the need.
I think the market is overlooking this one. It’s small, it’s quiet, and it doesn’t screen well. But the fundamentals have been improving for seven straight years, and the valuation hasn’t caught up.
The company is...