HealthEquity (NASDAQ:HQY) Releases Quarterly Earnings Results, Beats Expectations By $0.13 EPS

HealthEquity (NASDAQ:HQYGet Free Report) posted its quarterly earnings data on Thursday. The company reported $1.24 earnings per share for the quarter, beating analysts’ consensus estimates of $1.11 by $0.13, FiscalAI reports. The business had revenue of $354.64 million during the quarter, compared to the consensus estimate of $352.02 million. HealthEquity had a return on equity of 13.86% and a net margin of 16.39%.HealthEquity’s revenue was up 7.2% compared to the same quarter last year. HealthEquity updated its FY 2027 guidance to 2.880-2.950 EPS.

Here are the key takeaways from HealthEquity’s conference call:

  • HealthEquity said first-quarter results showed strong execution, with revenue up 7% year over year, Adjusted EBITDA margin expanding to 46%, and fiscal 2027 guidance raised across revenue and profitability metrics.
  • The company highlighted solid account and asset growth, including total HSA assets up 19% and total HSA growth of 8%, outpacing Devenir’s reported market growth of 6% for calendar 2025.
  • Management emphasized growing member engagement through investing and Marketplace, noting HSA investors rose 18%, invested assets grew 38%, and mobile monthly active usage increased 90% year over year.
  • HealthEquity said AI and automation are lowering service costs and improving efficiency, including a 25% reduction in manual handling of service emails and more than 90% automation in certain workflows.
  • The company increased its share repurchase authorization by $1 billion and said it remains confident in long-term cash generation, while also preserving flexibility for debt reduction and potential acquisitions.

HealthEquity Stock Performance

HQY opened at $90.52 on Friday. HealthEquity has a 1-year low of $72.76 and a 1-year high of $116.65. The company has a market cap of $7.59 billion, a price-to-earnings ratio of 36.80, a PEG ratio of 1.57 and a beta of 0.19. The company’s fifty day moving average price is $83.27 and its two-hundred day moving average price is $86.76. The company has a current ratio of 3.27, a quick ratio of 3.27 and a debt-to-equity ratio of 0.45.

Hedge Funds Weigh In On HealthEquity

Several large investors have recently added to or reduced their stakes in the business. Sivia Capital Partners LLC purchased a new stake in shares of HealthEquity in the second quarter worth approximately $306,000. Arrowstreet Capital Limited Partnership purchased a new stake in HealthEquity in the 2nd quarter valued at $4,747,000. Marshall Wace LLP bought a new position in HealthEquity during the 2nd quarter valued at $5,483,000. Amundi boosted its holdings in HealthEquity by 9.3% during the 2nd quarter. Amundi now owns 30,203 shares of the company’s stock worth $3,059,000 after acquiring an additional 2,574 shares during the last quarter. Finally, Jump Financial LLC purchased a new stake in shares of HealthEquity in the second quarter valued at about $449,000. Institutional investors own 99.55% of the company’s stock.

Wall Street Analyst Weigh In

HQY has been the topic of a number of recent analyst reports. Wall Street Zen lowered HealthEquity from a “buy” rating to a “hold” rating in a research note on Saturday, May 9th. BTIG Research dropped their price target on shares of HealthEquity from $130.00 to $110.00 and set a “buy” rating on the stock in a research report on Tuesday, February 17th. UBS Group set a $110.00 target price on shares of HealthEquity in a research note on Tuesday, February 17th. Deutsche Bank Aktiengesellschaft upped their price target on shares of HealthEquity from $120.00 to $128.00 and gave the company a “buy” rating in a research report on Thursday, March 19th. Finally, BMO Capital Markets raised HealthEquity from a “market perform” rating to an “outperform” rating and boosted their price objective for the company from $85.00 to $105.00 in a research note on Thursday, April 9th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $111.79.

Check Out Our Latest Analysis on HQY

HealthEquity News Summary

Here are the key news stories impacting HealthEquity this week:

HealthEquity Company Profile

(Get Free Report)

HealthEquity, Inc (NASDAQ: HQY) is a leading administrator of consumer-directed health accounts and related benefit solutions in the United States. Founded in 2002 and headquartered in Draper, Utah, the company specializes in health savings accounts (HSAs) and offers complementary services such as flexible spending accounts (FSAs), health reimbursement arrangements (HRAs), COBRA administration and commuter benefits. Through its technology-driven platform, HealthEquity enables employers, health plans and individuals to streamline account management, improve cost transparency and encourage more informed healthcare spending.

Serving millions of members across all 50 states, HealthEquity leverages an open-architecture ecosystem that integrates with health plans, payroll providers and financial institutions.

Further Reading

Earnings History for HealthEquity (NASDAQ:HQY)

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