Alliance Healthcare Services (AIQ)
Alliance Healthcare Services (AIQ) provides outpatient diagnostic imaging and radiation therapy services to hospitals and other healthcare providers. These services include magnetic resonance imaging (MRI) technology and positron emission tomography and computed tomography (PET/CT) services that generate representations of the internal anatomy and convert them to film or digital media.
As the population ages, the need for these type of diagnostic services are increasing, and the company is seeing explosive earnings growth with profits up more than 90% so far this year. The shares trade at just 5.5 times free cash flow right now in spite of this strong growth.
Portfolio Grader noted the excellent fundamentals at AIQ and upgraded the stock to an “A” back in May of 2013. The company has continued to excel, and the stock remains a “strong buy” at the current price.
Louis Navellier is the editor of Blue Chip Growth.