epic systems stock

Epic Systems Stock IPO: Can You Invest in this Healthcare Software?

The following guide answers the question: Can you Buy Epic Systems Stock?

Just like Undervalued Stocks, this healthcare software company could be an enormously profitable investment center.

As healthcare has become an even more important part of society due to the pandemic, so has the need for accurate and efficient scheduling and documentation.

Gone are the days of relying on manilla folders and bulky filing cabinets to house patient records.

Today, these files are digitized and can be accessed with a few clicks of a mouse on a computer and are able to be quickly shared amongst healthcare professionals to determine the correct treatment options to best benefit the patient.

Although Epic Systems Corporation is not the only healthcare software company, they have become the most dominant company in this industry.

Their rapid growth and expansion can be attributed to the high-quality software products they sell, 24/7 support provided to its users, and a supportive culture the company has cultivated for its employees.

We explore this question of buying Epic Systems Stock below. If IPOs interest you, check out our list of the Best Upcoming IPOs.

What is Epic Systems?

Epic Systems Corporation is a healthcare software company that has become the commanding organization in its market.

epic systems stock ipo

Medical records of 54 percent of patients in the United States and 2.5 percent of patients worldwide are handled by Epic.

Since the company serves such a vast number of patients and healthcare providers, they have established offices around the world, including the United States, United Kingdom, Netherlands, United Arab Emirates, Saudi Arabia, Finland, Australia, Singapore, Norway, and Denmark.

The company has a multifaceted approach regarding its products. It handles all aspects associated with its software, including developing, manufacturing, licensing, supporting, and selling its proprietary electronic medical record software applications.

invest in epic systems stock

The company’s applications serve a variety of functions in the health industry.

These include registration and scheduling for patients; clinical systems for doctors, nurses, emergency personnel, and other care providers; systems for lab technologists, pharmacists, and radiologists; and billing systems for insurers.

epic systems headquarters

Epic’s software is used by numerous organizations in the medical field.

These include academic medical centers, community hospitals, hospice, integrated delivery networks, multi-specialty groups, rehabilitation centers, safety net providers, children’s organizations, dental clinics, independent practices, mental health clinics, retail clinics, and skilled nursing clinics.

 

Epic Systems History

Judith R. Faulkner founded Epic Systems Corporation in 1979 with a $70,000 investment.

Initial headquarters were set up in Madison, Wisconsin, but were eventually moved to Verona, Wisconsin.

Judith R. Faulkner ceo

Advantages of Epic Systems

Epic goes beyond just selling its proprietary software to various organizations in the healthcare industry. They provide 24/7 support, system monitoring, and regular check-ups to ensure their products are as productive and efficient as possible.

The Epic campus is just as unique as the products in which it develops and supports. There are areas and buildings on the Epic campus that have their own theme. These include a structure that resembles a castle, “Wizard Campus” based on Harry Potter and a dining facility that is modeled after a train station.

The company also devotes considerable time and resources to its employees. Various resource groups include groups advocating for disabilities, employees of color, LGBTQIA+, parents, veterans, and women.

A dedication to mental health, education, and traveling are central to the philosophy of the company. Every five years employees and one other guest are eligible for a one-month sabbatical.

advantages

Criticisms and Controversies

The company has been criticized for the fees it charges to send information to non Epic systems.

This business practice was modified following congressional hearings. Epic now only charges its customers a one-time fee for linking Epic to each non-Epic system.

In October of 2014, an Epic electronic health record system was installed at Cambridge University Hospitals Foundation Trust.

The system became unstable after two million files were transferred to it. Ambulances were diverted to the wrong hospitals, issues arose with blood transfusion and pathology services, emergency room and appointment delays took place, and inaccurate test results were found.

Epic was implemented into the healthcare system in Denmark in 2016.

Healthcare providers quickly realized that certain aspects of the system were not properly translated from English to Danish.

During the pandemic, Epic was criticized for its plan to have its 10,000 employees return to work on the company’s campus as early as August.

In a survey conducted with Epic employees, 89 percent expressed dissatisfaction with the way the company was handling the pandemic.

In a survey conducted with Epic employees, 89 percent expressed dissatisfaction with the way the company was handling the pandemic.

Epic Systems Stock IPO?

As Epic Systems Corporation is a private company, you cannot purchase shares of stock in the company.

Epic Systems Stock – Estimated Value

Since Epic Systems Corporation is not currently a publicly-traded company, there is not a price to report on how much a single stock in the company would cost.

The most accurate way to determine an initial IPO price would be to compare it to other publicly traded medical software companies.

We can use the IPO opening price of similar medical software companies to get a range of what to expect for a price when the company does go public.

McKesson Corporation

  • Opening Price of Stock: $31.38
  • Previous 52 Week High: $232.14

McKesson Corporation

Cerner Corporation

  • Opening Price of Stock: $0.24
  • Previous 52 Week High: $84.20

cerner stock

Allscripts Healthcare Solutions

  • Opening Price of Stock: $17.75
  • Previous 52 Week High: $19.01

Allscripts Healthcare Solutions

Computer Programs & Systems

  • Opening Price of Stock: $16.50
  • Previous 52 Week High: $37.62

Computer Programs & Systems

With a business model that differentiates itself from its competition through offering 24/7 support and monitoring to its clients and the inclusive and nurturing environment it offers its employees, one could infer that if Epic Systems Corporation ever does go public, the price of its IPO could fall somewhere within the opening prices above.

Therefore, it would be safe to assume that its IPO opening price could range from $16.50 – $31.

Whereas the potential growth of a single share of stock could reach between $19 – $232 when analyzing the previous 52-week highs of companies operating in the same sector.

Notable Organizations Served

mayo clinic

Below is a list of notable organizations that Epic Systems Corporation serves:

  • Kaiser Permanente
  • Cedars-Sinai Medical Center – Los Angeles, California
  • Cleveland Clinic
  • Johns Hopkins Hospital
  • UC Davis Medical Center – Sacramento, California
  • Mayo Clinic – All Campuses
  • Partners HealthCare

Alternative Investments

So, you can’t buy stock in Epic Systems Corporation, but you’re determined to buy equity in a publicly-traded medical software company.

What are some of your alternative options?

  • McKesson Corporation (MCK)
  • Cerner Corporation (CERN)
  • Allscripts Healthcare Solutions (MDRX)
  • Computer Programs & Systems (CPSI)
  • Benefitfocus Inc. (BNFT)
  • Careview Communications Inc. (CRVW)
  • Epocrates Inc. (EPOC)
  • HealthStream, Inc. (HSTM)
  • iCad Inc. (ICAD)
  • MedAssets, Inc. (MDAS)
  • Medidata Solutions (MDSO)
  • Omnicell, Inc. (OMCL)
  • Quality Systems, Inc. (QSII)
  • Simulations Plus Inc. (SLP)
  • Streamline Health Solutions Inc. (STRM)
  • Vocera Communications Inc. (VRA)
  • WebMD (WBMD)

Can You Buy Stock in Epic Systems?

It is a great question to ask because this healthcare software company could be an enormously profitable investment center.

Especially when you take into account the popularity its services have garnered from around the world, the assortment of high-quality products offered, 24/7 technical support provided to customers, and the exceptional on-campus support and vacation time for employees.

Ultimately, no, you cannot buy stock in Epic Systems Corporation.

But with its already vast number of patients and organizations it already serves, combined with the rapid growth and expansion into countries around the world, the company could go public very soon.

Frequently Asked Questions

Can You Buy Epic Systems Stock?

No, you can’t buy stock in Epic Systems as they are a privately owned company.

When is the Epic Systems Stock IPO?

Epic Systems has not yet filed for an IPO, but with its dominance in the healthcare industry, they could in the near future.

How Much Will Epic Systems Stock Cost?

Although Epic Systems has not filed for an IPO, would be safe to assume that its IPO opening price would fall somewhere in the $16 to $31 range.

Who Owns Epic Systems?

Epic Systems was founded by Judy Faulkner in 1979. Faulkner is still the active CEO.