agilon health (AGL)
A Business Model Designed for Abuse. Exploiting short-term loopholes in Medicare /Primary Care…and still can’t make money…..Target Price $5
Last week, Amazon entered the primary care market by purchasing provider 1Life Healthcare (ONEM). As the nation transforms from fee-for-service to value-based Medicare, investors must decipher between the pretenders and the disruptors.
It is the opinion of Citron Research that agilon health (AGL) is the most vulnerable healthcare stock in the market because they have:
- A business model designed for abuse (someone please answer the $270 mil question)
- A business with a history of abuse
- A nosebleed valuation relative to competitors
- Their most exploited “loophole” just got smaller last week thanks to CMS
agilon health’s tagline is “Transforming Primary Care in America”. Pretty broad statement. To be more precise, agilon is a healthcare company established by Private Equity Firm Clayton Dubilier & Rice to help primary care physicians transition their business to more value-based medicine using a proprietary “platform”. agilon is one of many private and nonprofit entities (each with its own platform) finding ways to insert themselves into the transaction between physicians and Medicare.
Cautious Investing to All
