DocGo acquires virtual care platform SteadyMD for expansion

NEW YORK - DocGo Inc. (NASDAQ:DCGO), currently trading near its 52-week low of $1.12, has acquired virtual care platform SteadyMD, Inc., combining DocGo’s mobile health delivery capabilities with SteadyMD’s telehealth services, the company announced Monday. According to InvestingPro data, DocGo maintains a strong financial position with more cash than debt on its balance sheet.

SteadyMD is expected to generate approximately $25 million in revenue in 2025 and become EBITDA positive in 2026, according to the announcement. The company currently services over 3 million patients and maintains a network of more than 600 clinicians across all 50 states. Based on InvestingPro analysis, DocGo appears undervalued at current levels, with additional insights available in the comprehensive Pro Research Report covering over 1,400 US stocks.

The acquisition aims to enhance DocGo’s healthcare delivery model by pairing its mobile health clinicians with SteadyMD’s virtual provider network. SteadyMD’s platform provides telehealth services to digital health companies, labs, pharmacies, employers, and healthcare innovators, including multiple Fortune 10 customers.

"By combining SteadyMD’s nationwide virtual care platform with our mobile health services and infrastructure, we can provide our customers with an even more comprehensive platform of last mile care," said Lee Bienstock, CEO of DocGo.

SteadyMD’s leadership team will join DocGo, with CEO and Co-Founder Guy Friedman and COO and Co-Founder Yarone Goren taking positions in DocGo’s leadership structure.

DocGo plans to fund the transaction through existing cash on its balance sheet, supported by a healthy current ratio of 2.36. The company will update its 2025 revenue and adjusted EBITDA guidance to reflect the transaction during its upcoming earnings release in early November. InvestingPro subscribers have access to 13 additional key insights about DocGo’s financial health and future prospects.

TD Securities (USA) LLC served as exclusive financial advisor to DocGo for the transaction, while Goodwin Procter LLP served as legal advisor for SteadyMD.

DocGo will host a conference call and webcast on Tuesday to discuss the acquisition further, according to the company’s press release statement.

In other recent news, DocGo Inc. reported disappointing financial results for the second quarter of 2025. The company posted an earnings per share (EPS) of -$0.11, which was notably below the anticipated -$0.03. Revenue also fell short of expectations, coming in at $80.4 million compared to the forecasted $99.08 million. Despite these setbacks, DocGo has made strides in improving its financial standing. Following significant collections from its New York migrant contract, the company has paid off its credit facility. DocGo now expects to hold over $110 million in cash and investments. In light of this improved cash position, Canaccord Genuity has raised its price target for DocGo to $1.60, while maintaining a Hold rating. These developments provide a mixed picture for investors, highlighting both challenges and progress.

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