Wall Street Zen Downgrades HealthEquity (NASDAQ:HQY) to Hold

HealthEquity (NASDAQ:HQY) was downgraded by equities research analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Saturday, Wall Street Zen reports.

A number of other analysts have also recently weighed in on HQY. KeyCorp reaffirmed an “overweight” rating on shares of HealthEquity in a research report on Tuesday, May 26th. Weiss Ratings restated a “hold (c+)” rating on shares of HealthEquity in a research note on Wednesday. Citigroup reaffirmed a “market outperform” rating on shares of HealthEquity in a report on Friday, August 28th. Citizens Jmp lifted their price objective on shares of HealthEquity from $110.00 to $111.00 and gave the company a “market outperform” rating in a research report on Monday, June 1st. Finally, Royal Bank Of Canada boosted their price objective on shares of HealthEquity from $100.00 to $108.00 and gave the company an “outperform” rating in a research note on Wednesday, June 3rd. One analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, HealthEquity currently has an average rating of “Moderate Buy” and an average target price of $111.87.

HealthEquity Price Performance

Shares of NASDAQ:HQY opened at $96.07 on Friday. HealthEquity has a one year low of $72.76 and a one year high of $107.62. The stock has a market capitalization of $7.95 billion, a price-to-earnings ratio of 34.68, a PEG ratio of 1.52 and a beta of 0.22. The company has a 50-day simple moving average of $99.37 and a 200-day simple moving average of $88.71. The company has a debt-to-equity ratio of 0.47, a quick ratio of 2.99 and a current ratio of 2.99.

HealthEquity (NASDAQ:HQY) last released its quarterly earnings results on Thursday, August 27th. The company reported $1.24 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.19 by $0.05. The firm had revenue of $350.73 million for the quarter, compared to analyst estimates of $349.22 million. HealthEquity had a return on equity of 15.33% and a net margin of 17.36%.The company’s quarterly revenue was up 95.5% on a year-over-year basis. HealthEquity has set its FY 2027 guidance at 4.660-4.730 EPS. On average, analysts predict that HealthEquity will post 3.93 EPS for the current year.

Insider Buying and Selling

In other HealthEquity news, Director Adrian T. Dillon sold 7,632 shares of the business’s stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $104.61, for a total transaction of $798,383.52. Following the sale, the director directly owned 62,395 shares in the company, valued at approximately $6,527,140.95. The trade was a 10.90% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Michael Fiore sold 2,354 shares of the company’s stock in a transaction on Friday, July 10th. The stock was sold at an average price of $95.00, for a total transaction of $223,630.00. Following the transaction, the executive vice president directly owned 52,244 shares in the company, valued at approximately $4,963,180. This trade represents a 4.31% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 12,456 shares of company stock worth $1,256,664. Company insiders own 1.60% of the company’s stock.

Institutional Trading of HealthEquity

A number of institutional investors have recently added to or reduced their stakes in HQY. Oxbow Advisors LLC purchased a new stake in HealthEquity during the 1st quarter worth about $3,147,000. Deutsche Bank AG purchased a new position in HealthEquity in the 2nd quarter valued at about $11,986,000. Maridea Wealth Management LLC purchased a new position in HealthEquity in the 2nd quarter valued at about $2,753,000. Westfield Capital Management Co. LP boosted its stake in shares of HealthEquity by 13.7% during the 4th quarter. Westfield Capital Management Co. LP now owns 1,952,452 shares of the company’s stock worth $178,864,000 after purchasing an additional 235,794 shares during the last quarter. Finally, Sumitomo Mitsui DS Asset Management Company Ltd acquired a new stake in shares of HealthEquity during the 4th quarter worth about $4,381,000. Hedge funds and other institutional investors own 99.55% of the company’s stock.

About HealthEquity

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.