Why the Doctor Care Anywhere (ASX:DOC) share price surged to a record high

The Doctor Care Anywhere Ltd (ASX:DOC) share price has continued its positive run and surged to a record high today…

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The Doctor Care Anywhere Ltd (ASX: DOC) share price has been a strong performer on Friday.

In afternoon trade the UK-based telehealth company's shares are up almost 7% to a record high of $1.45.

When the Doctor Care Anywhere share price reached that level, it meant it was up an impressive 81% since listing on the ASX late last year.

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward

Image source: Getty Images

Why is the Doctor Care Anywhere share price on fire?

There have been a couple of catalysts for the strong gain by the Doctor Care Anywhere share price.

One is the belief that the company is well-placed for growth over the short and long term thanks to industry tailwinds which are being brought forward by the pandemic.

Doctor Care Anywhere is a growing UK-based telehealth company aiming to deliver high-quality, effective, and efficient care to its patients, whilst reducing the overall cost of providing clinical services.

With the UK in lockdown, demand for telehealth services is expected to be strong in the country. This could lead to a better than expected result from the company in FY 2021.

Another catalyst for this strong share price gain was an announcement in December of a major agreement with one of the world's largest insurance and assistance companies, Allianz.

The new channel agreement with Allianz Partners will see Doctor Care Anywhere provide the insurer's international private medical insurance policyholders and their dependents based in Europe access to digital health services.

What's next for Doctor Care Anywhere?

The company's founder and CEO, Dr Bayju Thakar, is positive on the future and has bold aspirations to become a global industry leader.

Commenting on its IPO, Dr Thakar said: "Whilst today marks an important milestone in Doctor Care Anywhere's journey, we believe it is only the beginning as we look to become a leader in digital health, not just in the UK but globally, by delivering a joined-up and simple patient journey."

"The capital we've raised via the IPO will allow us to better serve our current patients with a broader range of services and to execute on our clear and ambitious growth plans," he concluded.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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