In his latest Forbes column, 7wire’s Managing Partner Glen Tullman talks about the palpable excitement in the investment community about the emerging combination of health care technology and disease/cost management.

Read the full column here and an excerpt below:

“There is palpable excitement in the investment community about the emerging combination of health care technology and disease/cost management. We saw it bubble over in March, when software maker Castlight Health pulled off one of the most successful — and controversial — IPOs in recent memory.

Castlight, which helps consumers see how much health care services cost, went public on March 14 at $16 per share and immediately shot up to nearly $40 per share. That valued the company at $3 billion —more than 230 times its 2013 revenue. Castlight shares have recently come back to around $16 per share, pegging the company’s value in the $1.4 billion neighborhood, but still valuing it at more than 100 times last year’s sales.

Castlight’s initial run-up has prompted a lot of bubble talk among skeptics. Aaron Pressman from Yahoo Finance noted, “It’s pretty clear a bubble is inflating in this sub-sector of Internet stocks and Castlight makes that incredibly obvious.” Ted Tobiason of Deutsche Bank said the IPO should give investors “sufficient reason” to question whether a bubble exists in health care technology in particular.”

Click here to read the full column