This stock’s now below its IPO price

Article Excerpt

OMADA HEALTH INC. $15 is a hold. The company (Nasdaq symbol OMDA; Manufacturing sector; Shares outstanding: 56.9 million; Market cap: $853.5 million; No dividends paid; Takeover Target Rating: Medium; www.omadahealth.com) provides virtual care and monitoring plans for people with diabetes, hypertension and musculoskeletal issues. It currently has over 2,000 U.S.customers, such as health plans and employers, that cover over 20 million individuals. On June 6, 2025, Omada completed an initial public offering of 7.9 million shares at $19.00 each. Demand for Omada’s services continue to improve as they help customers cut their healthcare costs. Its revenue in the first quarter of 2025 jumped 56.6%, to $55.0 million from $35.1 million a year earlier. Losses also improved to $1.15 a share (or a total of $9.4 million) from $2.53 a share (or $19.0 million). Even so, the stock could remain volatile until the company starts reporting positive earnings and cash flow. Omada Health is a hold. hold…