- A recent report by CB Insights looked at the 16 digital-health companies that have gone public or been acquired since 2011.
- In 2018, digital-health startups raised $14.8 billion in funding across almost 1,500 deals, the report said.
- Looking at the eight US companies that held initial public offerings, Business Insider evaluated each company's stock-market performance. Some have surged, rewarding investors. Others have tumbled.
- Take a look at the performance of companies like Fitbit, which is down 80% since its IPO in 2015, and 10x Genomics, which is up 35%.
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Digital health has been a hot spot for investors.
Innovation in the space includes cancer treatments, telehealth, and digitizing health data. In 2018, digital-health startups raised $14.8 billion, and funding has increased almost every year since 2014, CB Insights said.
Eventually, though, startup investors want to see a return on their investment. For that to happen, the startups need to go public or get acquired by another company. Since 2011, 16 digital-health companies valued at at least $1 billion have gone public or been acquired, according to CB Insights. Nine of those deals happened in 2018.
Looking at the eight US companies that held initial public offerings, Business Insider evaluated the companies' stock-market performances. Four of the companies have gained since their IPOs, and four have declined.
Take a look at the list from the best to worst performing digital health companies.
Veeva, 677%
Veeva offers cloud-based software for life-science companies, including pharmaceutical and biotech companies.
Year of exit: 2013
Valuation at time of IPO: $4.4 billion
Share price at IPO: $20
Shares price now: $155.30
Teladoc, 263%
Teladoc uses telephone and videoconferencing technology to provide on-demand remote medical care.
Year of exit: 2015
Valuation at time of IPO: $1.04 billion
Share price at IPO: $19
Share price now: $69
Guardant Health, 253%
Guardant Health focuses on oncology research by collecting vast data sets, advanced data analytics, and proprietary blood tests.
Year of exit: 2018
Valuation at time of IPO: $1.59 billion
Share price at IPO: $19
Share price now: $67
10x Genomics, 35%
The biotech company 10x Genomics designs and makes gene-sequencing technology for scientific research.
Year of exit: 2019
Valuation at time of IPO: $3.28 billion
Share price at IPO: $39
Share price now: $52.76
Livongo, -32%
Livongo creates devices to help people with chronic health conditions manage their health.
Year of exit: 2019
Valuation at time of IPO: $2.49 billion
Share price sold at IPO: $28
Share price now: $19
Fitbit, -80%
Fitbit makes wearable devices that monitor and track a person's health and fitness.
Year of exit: 2015
Valuation at time of IPO: $4.1 billion
Share price at IPO: $20
Share price now: $3.96
Castlight, -91%
Castlight offers price transparency by showing patients cost comparisons for medical procedures and services from different providers.
Year of exit: 2014
Valuation at time of IPO: $1.4 billion
Share price at IPO: $16
Share price now: $1.40
NantHealth, -95%
NantHealth is a personalized-healthcare company helping to provide effective treatment decisions for critical illnesses to improve patient outcomes.
Year of exit: 2016
Valuation at time of IPO: $1.69 billion
Share price at IPO: $14
Share price now: $0.75