Waystar (NASDAQ:WAY) Shares Gap Up – Still a Buy?

Waystar Holding Corp. (NASDAQ:WAY) shares gapped up prior to trading on Tuesday . The stock had previously closed at $22.41, but opened at $23.50. Waystar shares last traded at $21.72, with a volume of 1,608,766 shares trading hands.

Key Headlines Impacting Waystar

Here are the key news stories impacting Waystar this week:

• Positive Sentiment: Q4 earnings and guidance: Waystar reported revenue above expectations, swung to profitability and set FY2026 guidance that implies double‑digit revenue growth and margin improvement — the primary catalyst for the stock’s upside today. Waystar Holding Corp (WAY) Q4 2025 Earnings Call Highlights
• Positive Sentiment: Analyst upgrade: Freedom Capital upgraded Waystar from “hold” to “strong‑buy,” a near‑term positive for sentiment and buying interest. Zacks.com
• Positive Sentiment: Market reaction to earnings: coverage highlights that investors cheered the swing to profits and upbeat outlook, fueling intraday gains. Waystar (WAY) Climbs 8.5% on Swing to Profits, Double-Digit Outlook
• Neutral Sentiment: Citigroup cut its price target from $46 to $35 but kept a “buy” rating — reduces upside math but leaves institutional endorsement intact. These Analysts Cut Their Forecasts On Waystar After Q4 Results
• Neutral Sentiment: Truist lowered its price target to $38 (from $51) while maintaining a buy rating — another example of tempered expectations alongside continued favorable conviction. Waystar Holding (WAY) PT Lowered to $38 at Truist Securities
• Neutral Sentiment: Mizuho trimmed its price target (to $42) but kept an Outperform/positive stance, signaling competitive/industry concerns but continued upside view. Mizuho Lowers Waystar Holding Corp. (WAY) Price Target to $42
• Neutral Sentiment: Press/analyst roundup notes divergent views across firms — helpful context that explains volatility as investors weigh growth vs. competitive/risk factors. Analysts Have Conflicting Sentiments on These Technology Companies
• Negative Sentiment: Needham cut its price target to $33 — the lowest of recent targets — increasing short‑term downside risk relative to higher PTs from peers. Needham & Company LLC Lowers Waystar (NASDAQ:WAY) Price Target to $33.00
• Negative Sentiment: Several analysts trimmed forecasts and price targets after Q4, reflecting concerns about competitive pressure and margin assumptions — a headwind for longer‑term multiple expansion. These Analysts Cut Their Forecasts On Waystar After Q4 Results
• Negative Sentiment: Stock hit a new 1‑year low in some coverage after the mixed results, underscoring near‑term volatility despite pockets of bullishness. Waystar (NASDAQ:WAY) Hits New 1-Year Low Following Weak Earnings
• Negative Sentiment: Analyst flagged AI/legal/operational risks tied to Waystar’s tech roadmap — a reminder that execution and regulatory/tech risks could pressure sentiment if issues surface. AI Risks Loom Over Waystar Holding Corp.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on WAY shares. Citigroup reduced their price objective on shares of Waystar from $46.00 to $35.00 and set a “buy” rating for the company in a research report on Wednesday. BMO Capital Markets decreased their target price on shares of Waystar from $47.00 to $30.00 and set an “outperform” rating on the stock in a research report on Wednesday. Truist Financial dropped their price objective on Waystar from $51.00 to $38.00 and set a “buy” rating for the company in a report on Wednesday. UBS Group began coverage on shares of Waystar in a research note on Monday, December 15th. They set a “buy” rating and a $41.00 price objective on the stock. Finally, Canaccord Genuity Group decreased their price objective on shares of Waystar from $54.00 to $30.00 and set a “buy” rating on the stock in a research note on Wednesday. Two analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Buy” and a consensus price target of $37.19.

Waystar Stock Up 1.5%

The company has a market capitalization of $4.93 billion, a price-to-earnings ratio of 42.28, a P/E/G ratio of 0.31 and a beta of 0.75. The company has a debt-to-equity ratio of 0.38, a current ratio of 1.41 and a quick ratio of 3.89. The firm’s fifty day moving average price is $29.44 and its 200-day moving average price is $34.14.

Waystar (NASDAQ:WAY) last issued its earnings results on Tuesday, February 17th. The company reported $0.36 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.39 by ($0.03). The firm had revenue of $303.54 million during the quarter, compared to analyst estimates of $294.72 million. Waystar had a return on equity of 6.86% and a net margin of 10.20%.Waystar’s revenue for the quarter was up 24.3% on a year-over-year basis. During the same period in the previous year, the company earned $0.29 EPS. Waystar has set its FY 2026 guidance at 1.590-1.680 EPS. Sell-side analysts expect that Waystar Holding Corp. will post 0.39 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, insider Eric L. (Ric) Sinclair III sold 40,225 shares of the company’s stock in a transaction that occurred on Tuesday, January 20th. The stock was sold at an average price of $30.08, for a total value of $1,209,968.00. Following the sale, the insider directly owned 474,826 shares in the company, valued at $14,282,766.08. This represents a 7.81% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CTO Christopher L. Schremser sold 8,623 shares of the stock in a transaction that occurred on Wednesday, December 10th. The shares were sold at an average price of $30.41, for a total transaction of $262,225.43. Following the sale, the chief technology officer directly owned 422,371 shares of the company’s stock, valued at $12,844,302.11. This represents a 2.00% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 61,949 shares of company stock valued at $1,916,380 over the last 90 days. 4.10% of the stock is owned by insiders.

Hedge Funds Weigh In On Waystar

Several institutional investors have recently added to or reduced their stakes in the business. Nisa Investment Advisors LLC increased its stake in shares of Waystar by 50.6% in the 2nd quarter. Nisa Investment Advisors LLC now owns 1,065 shares of the company’s stock valued at $44,000 after acquiring an additional 358 shares in the last quarter. ANTIPODES PARTNERS Ltd grew its holdings in Waystar by 120.1% in the third quarter. ANTIPODES PARTNERS Ltd now owns 823 shares of the company’s stock worth $31,000 after purchasing an additional 449 shares during the period. Kennedy Capital Management LLC increased its stake in Waystar by 0.5% in the fourth quarter. Kennedy Capital Management LLC now owns 106,207 shares of the company’s stock valued at $3,478,000 after purchasing an additional 559 shares in the last quarter. Pacer Advisors Inc. increased its stake in Waystar by 22.1% in the fourth quarter. Pacer Advisors Inc. now owns 3,144 shares of the company’s stock valued at $103,000 after purchasing an additional 569 shares in the last quarter. Finally, BCS Private Wealth Management Inc. raised its holdings in shares of Waystar by 8.4% during the third quarter. BCS Private Wealth Management Inc. now owns 7,455 shares of the company’s stock valued at $283,000 after purchasing an additional 575 shares during the period.

Waystar Company Profile

Waystar (NASDAQ:WAY) is a leading provider of cloud-based revenue cycle management and payment solutions for healthcare organizations. The company’s unified platform streamlines the entire financial continuum of patient care, from eligibility verification and claim submission to payment reconciliation and patient billing. By automating key processes and improving claim accuracy, Waystar helps providers reduce administrative overhead, accelerate cash flow and enhance overall revenue performance.

At the core of Waystar’s offering is a SaaS-based architecture that integrates seamlessly with existing electronic health record (EHR) systems and payer networks.