CareCloud (NASDAQ:CCLD) Releases Quarterly Earnings Results, Hits Expectations

CareCloud (NASDAQ:CCLD) announced its earnings results on Thursday. The company reported $0.11 EPS for the quarter, hitting analysts’ consensus estimates of $0.11, FiscalAI reports. The company had revenue of $34.42 million for the quarter, compared to analysts’ expectations of $32.10 million. CareCloud had a return on equity of 24.31% and a net margin of 9.80%. CareCloud updated its FY 2026 guidance to 0.200-0.23 EPS.

Here are the key takeaways from CareCloud’s conference call:

• For 2025 CareCloud delivered a financial turnaround — $120.5M revenue (≈9% YoY), GAAP net income $10.8M (first full-year positive EPS since IPO, $0.10), $20.5M free cash flow, and 2026 guidance of $128–130M revenue and EPS $0.20–$0.23.
• Strategic M&A expanded the addressable market — the Medsphere and MAP App deals added inpatient/hospital products (Wellsoft, HealthLine) and >100 hospitals, were funded from free cash flow at <1x revenue and caused no common-share dilution, creating a cross-sell runway for RCM and AI.
• AI is now core to the go‑forward plan — the AI Center of Excellence and product launches (notably stratusAI Desk Agent, Voice Audit, cirrusAI Notes) are in production with early customer traction (one client reports ~80% of inbound scheduling calls handled) and roadmap items (coding, prior auth, “zero‑touch” claims) targeted for 2026 monetization.
• Liquidity and execution risks remain — year‑end cash was modest (~$3.6M) despite strong free cash flow, the company resumed and will double Series B preferred dividends to clear arrearages, guidance excludes any unannounced material M&A, and broader market skepticism of AI/SaaS valuations could weigh on the stock until consistent AI revenue/metrics are proven.

CareCloud Price Performance

CCLD stock traded up $0.18 during trading on Friday, reaching $3.09. The company’s stock had a trading volume of 826,005 shares, compared to its average volume of 335,950. The company has a quick ratio of 1.24, a current ratio of 1.26 and a debt-to-equity ratio of 0.12. The company’s fifty day moving average is $2.67 and its 200-day moving average is $3.06. The company has a market capitalization of $130.80 million, a P/E ratio of 77.14 and a beta of 2.09. CareCloud has a 1 year low of $1.14 and a 1 year high of $4.01.

Hedge Funds Weigh In On CareCloud

Hedge funds have recently made changes to their positions in the business. Essex Investment Management Co. LLC bought a new stake in CareCloud during the 4th quarter valued at approximately $2,000,000. Renaissance Technologies LLC grew its holdings in CareCloud by 96.1% during the 4th quarter. Renaissance Technologies LLC now owns 446,030 shares of the company’s stock valued at $1,302,000 after buying an additional 218,530 shares in the last quarter. Bridgeway Capital Management LLC grew its holdings in CareCloud by 18.3% during the 4th quarter. Bridgeway Capital Management LLC now owns 380,823 shares of the company’s stock valued at $1,112,000 after buying an additional 58,805 shares in the last quarter. Geode Capital Management LLC raised its position in shares of CareCloud by 235.4% during the second quarter. Geode Capital Management LLC now owns 359,486 shares of the company’s stock valued at $848,000 after buying an additional 252,299 shares during the last quarter. Finally, Dimensional Fund Advisors LP raised its position in shares of CareCloud by 127.6% during the fourth quarter. Dimensional Fund Advisors LP now owns 252,132 shares of the company’s stock valued at $736,000 after buying an additional 141,343 shares during the last quarter. Institutional investors own 10.16% of the company’s stock.

More CareCloud News

Here are the key news stories impacting CareCloud this week:

• Positive Sentiment: Reported record net income, first full-year positive EPS since IPO, exceeded prior revenue guidance and announced new generative AI product initiatives — a material proof point for growth and margin improvement. Read More.
• Positive Sentiment: Q4 results: EPS of $0.11 matched consensus while revenue of $34.42M topped estimates (~$32.1M). The quarter showed healthy margins and ROE, supporting the company’s profitability story. Read More.
• Positive Sentiment: Zacks Research revised up its FY‑2026 estimate (from $0.43 to $0.45), indicating some analyst confidence in the company’s improving profitability trends. Read More.
• Neutral Sentiment: Earnings matched consensus (EPS $0.11), which removes a miss-driven downside but also limits an upside catalyst from an earnings beat. Read More.
• Neutral Sentiment: Zacks published a set of quarterly and FY estimates for 2026–2027 (Q2/Q3/Q4 at ~$0.11–0.12; FY2027 ~$0.53). These provide a near-term model but are below market consensus, so they temper enthusiasm until more upward revisions arrive.
• Neutral Sentiment: Short‑interest data reported appears to be erroneous or zeroed out (shows 0 shares / NaN changes), so it offers no reliable signal on bearish positioning at present.
• Negative Sentiment: FY‑2026 guidance: CareCloud set EPS guidance of $0.20–$0.23, which is modestly below the consensus (~$0.24) and introduces uncertainty on near‑term upside vs. expectations. Revenue guidance of $128M–$132M sits near Street estimates but leaves limited surprise potential.
• Negative Sentiment: Despite better margins, consensus full‑year earnings (~$0.58) remain well above some analyst models (Zacks’ FY‑2026 at $0.45), indicating potential for downward revisions or disappointment if growth/AI monetization ramps slower than hoped.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on the company. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of CareCloud in a research note on Monday, December 29th. Wall Street Zen upgraded CareCloud from a “buy” rating to a “strong-buy” rating in a research note on Saturday, February 14th. Finally, ThinkEquity began coverage on shares of CareCloud in a report on Monday, November 24th. They issued a “buy” rating for the company. One analyst has rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $3.25.

About CareCloud

CareCloud, Inc is a healthcare technology company that provides cloud-based practice management, electronic health record (EHR) and revenue cycle management (RCM) solutions to medical practices and health systems. Its flagship offering, the CareCloud Central platform, combines clinical, financial and administrative workflows into a single, unified system. The platform includes modules for scheduling, billing, coding, patient engagement and telehealth, enabling practices to streamline front- and back-office operations and improve overall practice performance.

Founded in 2009 and headquartered in Miami Beach, Florida, CareCloud serves small to mid-size physician groups and specialty clinics across the United States.