HealthStream (NASDAQ:HSTM) Downgraded by Wall Street Zen to "Hold"

Key Points

• Wall Street Zen downgraded HealthStream from “Buy” to “Hold.” Analyst sentiment is broadly cautious: MarketBeat’s consensus is “Hold,” with a $36 average price target.
• HealthStream beat quarterly estimates, reporting earnings of $0.18 per share versus $0.16 expected and revenue of $83.31 million versus $82.24 million expected.
• Company insiders have sold shares recently, including an EVP’s sale of 21,300 shares on November 5; insiders sold 194,149 shares worth about $5.8 million over the past 90 days.

HealthStream (NASDAQ:HSTM - Get Free Report) was downgraded by Wall Street Zen from a "buy" rating to a "hold" rating in a note issued to investors on Sunday, Wall Street Zen reports.

Other analysts have also issued reports about the company. Citigroup reissued a "market perform" rating on shares of HealthStream in a report on Tuesday, October 27th. Craig Hallum downgraded HealthStream from a "buy" rating to a "hold" rating and set a $40.00 price target for the company. in a research note on Tuesday, November 3rd. Weiss Ratings upgraded shares of HealthStream from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Thursday, October 8th. Canaccord Genuity Group lifted their price target on HealthStream from $29.00 to $32.00 and gave the company a "hold" rating in a research note on Wednesday. Finally, Freedom Capital raised HealthStream to a "hold" rating in a report on Tuesday, October 13th. One research analyst has rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, HealthStream has a consensus rating of "Hold" and a consensus target price of $36.00.

HealthStream Stock Down 2.4%

Shares of HealthStream stock opened at $28.89 on Friday. The stock has a market capitalization of $844.17 million, a P/E ratio of 41.27, a price-to-earnings-growth ratio of 3.01 and a beta of 0.45. HealthStream has a 12-month low of $19.50 and a 12-month high of $35.60. The company has a 50-day simple moving average of $31.20 and a 200 day simple moving average of $25.83.

HealthStream (NASDAQ:HSTM - Get Free Report) last released its quarterly earnings results on Monday, November 2nd. The technology company reported $0.18 EPS for the quarter, beating the consensus estimate of $0.16 by $0.02. HealthStream had a net margin of 6.25% and a return on equity of 6.37%. The business had revenue of $83.31 million for the quarter, compared to the consensus estimate of $82.24 million. On average, equities analysts anticipate that HealthStream will post 0.80 earnings per share for the current year.

Insider Transactions at HealthStream

In other HealthStream news, EVP Michael Manning Collier sold 21,300 shares of the stock in a transaction dated Thursday, November 5th. The stock was sold at an average price of $29.97, for a total value of $638,361.00. Following the completion of the transaction, the executive vice president directly owned 59,260 shares in the company, valued at approximately $1,776,022.20. This trade represents a 26.44% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Robert Frist, Jr. sold 144,068 shares of HealthStream stock in a transaction dated Monday, September 14th. The shares were sold at an average price of $29.50, for a total value of $4,250,006.00. Following the sale, the chief executive officer directly owned 3,907,038 shares in the company, valued at $115,257,621. The trade was a 3.56% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 194,149 shares of company stock valued at $5,844,892. 20.40% of the stock is currently owned by corporate insiders.

Institutional Trading of HealthStream

A number of institutional investors and hedge funds have recently bought and sold shares of HSTM. Essential Partners LLC acquired a new position in HealthStream during the 1st quarter worth about $25,000. Integrated Wealth Concepts LLC bought a new stake in shares of HealthStream in the 2nd quarter valued at about $27,000. MassMutual Private Wealth & Trust FSB increased its stake in shares of HealthStream by 76.4% in the second quarter. MassMutual Private Wealth & Trust FSB now owns 1,025 shares of the technology company's stock valued at $28,000 after buying an additional 444 shares during the period. Global Retirement Partners LLC acquired a new stake in shares of HealthStream in the second quarter valued at about $31,000. Finally, Meeder Asset Management Inc. acquired a new stake in shares of HealthStream in the first quarter valued at about $81,000. 69.58% of the stock is currently owned by institutional investors and hedge funds.

Key HealthStream News

Here are the key news stories impacting HealthStream this week:

• Positive Sentiment: Buy rating upgrade: Zacks upgraded HSTM to Rank #2 (Buy), citing improving earnings prospects, which could support investor optimism. Zacks article
• Positive Sentiment: Raised guidance: HealthStream lifted its outlook, a potentially positive sign for expected business performance, although the article raises the question of whether prior gains already reflect the news. Yahoo Finance article
• Neutral Sentiment: Analyst views remain cautious: Canaccord Genuity raised its price target to $32 from $29 but maintained a Hold rating; Craig Hallum also moved its rating to Hold. These calls suggest limited conviction despite the higher target. Canaccord rating information Craig Hallum rating article
• Negative Sentiment: Multiple insider sales: On November 5, EVP Michael Manning Collier, CFO Scott Alexander Roberts, Director Deborah Tate and EVP Kevin O’Hara sold a combined 38,081 shares. Each reduced their individual holdings, a cluster of transactions that may weigh on sentiment, though insider sales alone do not establish a change in the company’s outlook. Collier SEC filing Roberts SEC filing Tate SEC filing O’Hara SEC filing

HealthStream Company Profile

HealthStream, Inc provides workforce and provider solutions designed for healthcare organizations. Its software and services help hospitals, health systems, medical practices and other healthcare providers manage employee education, training, credentialing, compliance and professional development.

The company's offerings include learning management and education tools, competency and performance-management solutions, and systems for managing provider credentials, privileging and enrollment.

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