Carrera Capital Advisors Invests $1.40 Million in HealthStream, Inc. (NASDAQ:HSTM)

Key Points

• Carrera Capital Advisors made a new investment in HealthStream, Inc., acquiring 43,371 shares valued at approximately $1.40 million, representing 0.14% of the company.
• HealthStream reported a Q1 earnings miss, with earnings per share of $0.14 compared to the expected $0.16, alongside revenue of $73.49 million, falling short of the consensus estimate of $74.93 million.
• The company has announced a stock buyback program worth $25 million, indicating that the board believes the stock is currently undervalued.

Carrera Capital Advisors bought a new position in HealthStream, Inc. (NASDAQ:HSTM - Free Report) in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 43,371 shares of the technology company's stock, valued at approximately $1,396,000. Carrera Capital Advisors owned about 0.14% of HealthStream at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also recently made changes to their positions in HSTM. Copeland Capital Management LLC lifted its holdings in shares of HealthStream by 101.3% in the first quarter. Copeland Capital Management LLC now owns 763,690 shares of the technology company's stock worth $24,576,000 after acquiring an additional 384,384 shares during the last quarter. Cerity Partners LLC increased its stake in shares of HealthStream by 3,889.2% in the fourth quarter. Cerity Partners LLC now owns 300,070 shares of the technology company's stock valued at $9,534,000 after buying an additional 292,548 shares during the period. Norges Bank acquired a new position in shares of HealthStream in the fourth quarter valued at approximately $3,649,000. Vanguard Group Inc. increased its stake in shares of HealthStream by 3.1% in the fourth quarter. Vanguard Group Inc. now owns 3,055,060 shares of the technology company's stock valued at $97,151,000 after buying an additional 92,067 shares during the period. Finally, Envestnet Asset Management Inc. increased its stake in shares of HealthStream by 186.3% in the first quarter. Envestnet Asset Management Inc. now owns 125,457 shares of the technology company's stock valued at $4,037,000 after buying an additional 81,644 shares during the period. Institutional investors own 69.58% of the company's stock.

Wall Street Analysts Forecast Growth

Separately, Canaccord Genuity Group lowered their price objective on HealthStream from $30.00 to $29.00 and set a "hold" rating for the company in a research note on Thursday, May 15th. Two research analysts have rated the stock with a hold rating, two have given a buy rating and one has given a strong buy rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $31.50.

HealthStream Stock Performance

Shares of HealthStream stock traded down $0.16 on Thursday, hitting $26.16. The stock had a trading volume of 97,691 shares, compared to its average volume of 176,378. The stock has a 50 day moving average of $27.46 and a 200 day moving average of $30.36. HealthStream, Inc. has a twelve month low of $25.72 and a twelve month high of $34.24. The firm has a market capitalization of $798.46 million, a P/E ratio of 41.59, a PEG ratio of 3.43 and a beta of 0.42.

HealthStream (NASDAQ:HSTM - Get Free Report) last released its earnings results on Monday, May 5th. The technology company reported $0.14 earnings per share for the quarter, missing analysts' consensus estimates of $0.16 by ($0.02). The firm had revenue of $73.49 million for the quarter, compared to analyst estimates of $74.93 million. HealthStream had a net margin of 6.54% and a return on equity of 5.36%. During the same period in the prior year, the company posted $0.17 EPS. Equities analysts expect that HealthStream, Inc. will post 0.63 earnings per share for the current year.

HealthStream Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, May 30th. Shareholders of record on Monday, May 19th were given a dividend of $0.031 per share. This represents a $0.12 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date of this dividend was Monday, May 19th. HealthStream's dividend payout ratio is currently 19.05%.

HealthStream announced that its board has authorized a share repurchase plan on Thursday, May 8th that permits the company to buyback $25.00 million in shares. This buyback authorization permits the technology company to reacquire up to 3% of its shares through open market purchases. Shares buyback plans are often a sign that the company's board believes its stock is undervalued.

HealthStream Company Profile

HealthStream, Inc provides Software-as-a-Service (SaaS) based applications for healthcare organizations in the United States. The company's solutions help healthcare organizations in meeting their ongoing clinical development, talent management, training, education, assessment, competency management, safety and compliance, and scheduling, as well as provider credentialing, privileging, and enrollment needs.