DA Davidson Reiterates "Buy" Rating for Phreesia (NYSE:PHR)

Key Points

• DA Davidson reiterated a Buy rating on Phreesia and kept a $14 price target, implying about 45.5% upside from the prior close.
• Phreesia recently beat Q1 expectations, reporting EPS of $0.05 versus $0.02 expected and revenue of $130.94 million versus $130.08 million expected, with revenue up 12.9% year over year.
• The stock was trading around $9.62, below the analyst average target of $17.76, while insider sales and class-action litigation add some near-term overhang to sentiment.

Phreesia (NYSE:PHR - Get Free Report)'s stock had its "buy" rating reissued by stock analysts at DA Davidson in a report released on Thursday,Benzinga reports. They presently have a $14.00 price objective on the stock. DA Davidson's price objective would indicate a potential upside of 45.52% from the company's previous close.

Several other equities analysts have also weighed in on the company. Stephens cut their price target on Phreesia from $32.00 to $20.00 and set an "overweight" rating for the company in a research note on Tuesday, March 31st. Canaccord Genuity Group set a $16.00 price target on Phreesia in a research report on Thursday. Robert W. Baird restated a "neutral" rating and issued a $10.00 price target (down from $25.00) on shares of Phreesia in a research report on Tuesday, March 31st. KeyCorp dropped their price target on shares of Phreesia from $15.00 to $12.00 and set an "overweight" rating for the company in a research note on Monday, April 13th. Finally, Citigroup reissued a "neutral" rating on shares of Phreesia in a research note on Thursday. Ten investment analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $17.76.

Phreesia Stock Performance

NYSE PHR traded up $0.49 on Thursday, reaching $9.62. 1,628,343 shares of the company's stock traded hands, compared to its average volume of 1,804,871. The firm has a market cap of $594.29 million, a price-to-earnings ratio of 319.63 and a beta of 0.89. The stock has a 50 day moving average price of $9.53 and a 200-day moving average price of $13.69. Phreesia has a fifty-two week low of $7.77 and a fifty-two week high of $32.76. The company has a debt-to-equity ratio of 0.41, a quick ratio of 1.53 and a current ratio of 1.53.

Phreesia (NYSE:PHR - Get Free Report) last posted its earnings results on Wednesday, May 27th. The company reported $0.05 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.02 by $0.03. The company had revenue of $130.94 million during the quarter, compared to the consensus estimate of $130.08 million. Phreesia had a net margin of 0.48% and a return on equity of 3.23%. The firm's quarterly revenue was up 12.9% on a year-over-year basis. During the same period in the previous year, the firm posted ($0.07) earnings per share. Equities research analysts predict that Phreesia will post 0.28 EPS for the current fiscal year.

Insider Activity

In related news, insider David Linetsky sold 8,332 shares of the stock in a transaction on Friday, April 10th. The stock was sold at an average price of $8.07, for a total value of $67,239.24. Following the transaction, the insider owned 224,056 shares of the company's stock, valued at $1,808,131.92. This represents a 3.59% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, General Counsel Allison C. Hoffman sold 6,176 shares of the stock in a transaction on Monday, April 20th. The shares were sold at an average price of $9.06, for a total value of $55,954.56. Following the completion of the transaction, the general counsel directly owned 157,309 shares in the company, valued at $1,425,219.54. This trade represents a 3.78% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 50,493 shares of company stock valued at $461,983 over the last quarter. Company insiders own 5.20% of the company's stock.

Institutional Investors Weigh In On Phreesia

Hedge funds and other institutional investors have recently bought and sold shares of the stock. EverSource Wealth Advisors LLC raised its stake in Phreesia by 1,119.8% during the 1st quarter. EverSource Wealth Advisors LLC now owns 3,269 shares of the company's stock worth $27,000 after acquiring an additional 3,001 shares in the last quarter. Federated Hermes Inc. acquired a new position in shares of Phreesia during the third quarter worth about $32,000. Van ECK Associates Corp increased its stake in shares of Phreesia by 78.7% during the fourth quarter. Van ECK Associates Corp now owns 2,502 shares of the company's stock worth $42,000 after acquiring an additional 1,102 shares during the period. New York State Teachers Retirement System acquired a new position in shares of Phreesia during the first quarter worth about $44,000. Finally, Rockefeller Capital Management L.P. increased its stake in shares of Phreesia by 354.6% during the fourth quarter. Rockefeller Capital Management L.P. now owns 2,755 shares of the company's stock worth $47,000 after acquiring an additional 2,149 shares during the period. 92.10% of the stock is currently owned by institutional investors and hedge funds.

Phreesia News Summary

Here are the key news stories impacting Phreesia this week:

• Positive Sentiment: Phreesia beat Wall Street estimates for Q1 fiscal 2027, reporting adjusted EPS of $0.05 versus $0.02 expected and revenue of $130.94 million versus $130.08 million anticipated, with revenue up 12.9% year over year. Article link
• Positive Sentiment: The company also guided to FY2027 revenue of $510 million to $520 million while maintaining adjusted EBITDA of $125 million to $135 million, which signals continued growth and stable profitability expectations. Article link
• Neutral Sentiment: Multiple law firms announced or reiterated class-action litigation tied to alleged misstatements about Phreesia’s growth outlook and Network Solutions segment, with lead-plaintiff deadlines set for July 13, 2026. These notices do not change fundamentals immediately, but they can weigh on investor sentiment. Article link
• Negative Sentiment: The lawsuit claims Phreesia allegedly made misleading statements about long-term growth and demand in its Network Solutions business, creating legal uncertainty and potential distraction for management. Article link

Phreesia Company Profile

Phreesia, Inc NYSE: PHR is a provider of patient intake management solutions designed to streamline front-office workflows for healthcare organizations. The company's cloud-based platform digitizes patient registration, appointment scheduling, insurance verification, consent documentation and payment collection through touchscreen kiosks, tablets and mobile devices. By replacing paper forms and manual processes, Phreesia enhances data accuracy, reduces administrative burden and improves the patient experience.

Founded in 2000 by Chaim Indig and headquartered in Burlington, Massachusetts, Phreesia offers a modular software suite that integrates with electronic medical record (EMR) and practice management systems.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.