Oncology Institute (NASDAQ:TOI) Announces Earnings Results

Oncology Institute (NASDAQ:TOI) issued its quarterly earnings data on Thursday. The company reported ($0.08) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.07) by ($0.01), FiscalAI reports. The business had revenue of $161.28 million during the quarter, compared to analysts’ expectations of $155.28 million.

Here are the key takeaways from Oncology Institute’s conference call:

• Q2 revenue rose 34.6% year over year to $161.3 million, while adjusted EBITDA reached $0.2 million, marking the company’s second profitable quarter as a public company. Gross margin improved to 16.8% from 14.6% a year ago.
• Starling completed a refinancing that replaced its $86 million convertible note with a $75 million term loan, using $11 million of cash and avoiding shareholder dilution. The transaction extends debt maturities from 2027 to 2031 and improves liquidity.
• The company expects three new delegated capitation contracts in Q4 representing approximately 80,000 lives and $50 million in annualized capitated revenue, while a California exclusivity win adds roughly 230,000 lives and an estimated $6 million in annualized capitation revenue.
• Full-year guidance was raised to $650 million-$670 million of revenue, $105 million-$110 million of gross profit, and $2 million-$7 million of adjusted EBITDA; positive free cash flow guidance of $5 million-$15 million was maintained.
• Patient-services gross profit fell 57% year over year to $2.1 million, and capitated medical loss ratio increased to 85.5% from 71% a year ago as new members ramp. Management expects MLR to fluctuate within an 80%-90% range over the next 12 months, while the Florida contract launch was delayed from Q3 to Q4.

Oncology Institute Stock Performance

Oncology Institute has a 1-year low of $2.32 and a 1-year high of $6.67. The business has a 50-day moving average of $5.23 and a 200 day moving average of $3.96. The company has a market cap of $512.58 million, a P/E ratio of -14.02 and a beta of 0.39.

Insider Buying and Selling at Oncology Institute

In other news, insider Yale Podnos sold 23,451 shares of the company’s stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $5.38, for a total transaction of $126,166.38. Following the completion of the transaction, the insider owned 259,527 shares of the company’s stock, valued at approximately $1,396,255.26. This represents a 8.29% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, major shareholder Jorey Chernett bought 33,500 shares of Oncology Institute stock in a transaction that occurred on Wednesday, May 20th. The stock was bought at an average price of $4.07 per share, with a total value of $136,345.00. Following the purchase, the insider owned 10,567,858 shares of the company’s stock, valued at $43,011,182.06. This trade represents a 0.32% increase in their position. The SEC filing for this purchase provides additional information. Over the last quarter, insiders have purchased 131,500 shares of company stock valued at $609,265. Corporate insiders own 4.40% of the company’s stock.

Hedge Funds Weigh In On Oncology Institute

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Kestra Advisory Services LLC bought a new stake in shares of Oncology Institute during the fourth quarter valued at approximately $31,000. Prelude Capital Management LLC acquired a new position in shares of Oncology Institute in the third quarter valued at $41,000. BNP Paribas Financial Markets lifted its position in Oncology Institute by 141.0% in the third quarter. BNP Paribas Financial Markets now owns 12,119 shares of the company’s stock worth $42,000 after purchasing an additional 7,091 shares during the period. Caitong International Asset Management Co. Ltd lifted its position in Oncology Institute by 344.0% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 14,545 shares of the company’s stock worth $52,000 after purchasing an additional 11,269 shares during the period. Finally, Sherbrooke Park Advisers LLC acquired a new stake in Oncology Institute during the third quarter worth $51,000. 36.86% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of research firms have commented on TOI. Needham & Company LLC increased their price objective on shares of Oncology Institute from $5.00 to $7.00 and gave the company a “buy” rating in a research note on Wednesday, June 17th. Weiss Ratings restated a “sell (d-)” rating on shares of Oncology Institute in a research note on Friday, July 17th. Lake Street Capital assumed coverage on shares of Oncology Institute in a research report on Monday, July 6th. They set a “buy” rating and a $10.00 price target on the stock. Finally, BTIG Research lifted their price target on Oncology Institute from $8.00 to $9.00 and gave the stock a “buy” rating in a research note on Thursday, July 9th. Four analysts have rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, Oncology Institute presently has a consensus rating of “Moderate Buy” and a consensus target price of $8.50.

Oncology Institute Company Profile

The Oncology Institute, Inc, an oncology company, provides various medical oncology services in the United States. The company operates through three segments: Dispensary, Patient Services, and Clinical Trials & Other. It offers physician services, in-house infusion and dispensary, clinical trial, radiation, outpatient blood product transfusion, and patient support services, as well as educational seminars, support groups, and counseling services. The company also provides managing clinical trials, palliative care programs, stem cell transplants services, and other care delivery models associated with non-community-based academic and tertiary care settings; and conducts clinical trials for a range of pharmaceutical and medical device companies.