The cycle is right as demand for health care staffing was rising even before the pandemic. As a result of COVID, the demand is even greater. With elective procedures postponed, there will be a backlog of post-pandemic surgeries; this, in turn, will support even greater demand for staffing long after the pandemic slows. Since hospitals have substantial financial incentives to perform these surgeries, the conditions may support higher pricing. The pool of temporary providers will also swell as COVID fearing would-be caregivers return to the market and exhausted providers eschew full-time work for temporary positions. This tells us revenues, margins, and valuations will spike and are sustainable. We suggest buyers and sellers watch this space.
