JPMorgan Chase & Co. Purchases 184,917 Shares of HealthStream, Inc. $HSTM

Key Points

• JPMorgan Chase & Co. increased its stake in HealthStream by 74.6%, buying 184,917 shares to hold 432,822 shares (about 1.46% of the company) valued at $12.2 million.
• HealthStream's board raised the quarterly dividend to $0.035 (annualized $0.14, ~0.7% yield) and approved a $10.0 million share buyback program to repurchase up to about 1.7% of outstanding shares.
• Despite a recent quarter that beat estimates (EPS $0.18 vs. $0.16; revenue $79.71M vs. $76.21M), analysts' consensus is a "Reduce" rating with a $25 price target (two Holds, one Sell).

JPMorgan Chase & Co. grew its position in HealthStream, Inc. (NASDAQ:HSTM - Free Report) by 74.6% during the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 432,822 shares of the technology company's stock after purchasing an additional 184,917 shares during the quarter. JPMorgan Chase & Co. owned about 1.46% of HealthStream worth $12,223,000 as of its most recent SEC filing.

Other hedge funds have also added to or reduced their stakes in the company. Geode Capital Management LLC boosted its stake in HealthStream by 5.3% in the 2nd quarter. Geode Capital Management LLC now owns 766,193 shares of the technology company's stock valued at $21,202,000 after purchasing an additional 38,868 shares during the period. First Eagle Investment Management LLC increased its holdings in shares of HealthStream by 0.7% during the third quarter. First Eagle Investment Management LLC now owns 409,398 shares of the technology company's stock worth $11,561,000 after purchasing an additional 2,900 shares during the period. Qube Research & Technologies Ltd raised its position in shares of HealthStream by 9.0% in the third quarter. Qube Research & Technologies Ltd now owns 274,548 shares of the technology company's stock valued at $7,753,000 after buying an additional 22,595 shares in the last quarter. Arrowstreet Capital Limited Partnership raised its position in shares of HealthStream by 1.0% in the second quarter. Arrowstreet Capital Limited Partnership now owns 251,287 shares of the technology company's stock valued at $6,953,000 after buying an additional 2,387 shares in the last quarter. Finally, Ameriprise Financial Inc. boosted its stake in shares of HealthStream by 7.7% in the second quarter. Ameriprise Financial Inc. now owns 198,023 shares of the technology company's stock valued at $5,479,000 after buying an additional 14,093 shares during the period. 69.58% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on HSTM. Citigroup reaffirmed a "market perform" rating on shares of HealthStream in a research report on Tuesday, January 6th. Weiss Ratings cut HealthStream from a "hold (c-)" rating to a "sell (d+)" rating in a report on Wednesday, March 18th. Finally, Canaccord Genuity Group set a $25.00 price objective on HealthStream in a research report on Thursday, January 8th. Two investment analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, HealthStream has an average rating of "Reduce" and a consensus target price of $25.00.

HealthStream Price Performance

Shares of NASDAQ HSTM opened at $21.10 on Friday. The stock has a market capitalization of $626.04 million, a P/E ratio of 34.59, a P/E/G ratio of 2.44 and a beta of 0.45. The company has a 50-day moving average price of $21.06 and a 200-day moving average price of $23.92. HealthStream, Inc. has a 1 year low of $19.50 and a 1 year high of $34.13.

HealthStream (NASDAQ:HSTM - Get Free Report) last announced its earnings results on Monday, February 23rd. The technology company reported $0.18 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.16 by $0.02. HealthStream had a return on equity of 5.98% and a net margin of 6.03%.The company had revenue of $79.71 million for the quarter, compared to analysts' expectations of $76.21 million. As a group, equities research analysts anticipate that HealthStream, Inc. will post 0.63 earnings per share for the current fiscal year.

HealthStream Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 20th. Stockholders of record on Monday, March 9th were paid a $0.035 dividend. This represents a $0.14 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date was Monday, March 9th. This is a boost from HealthStream's previous quarterly dividend of $0.03. HealthStream's dividend payout ratio (DPR) is presently 22.95%.

HealthStream announced that its board has approved a stock buyback plan on Friday, March 13th that allows the company to buyback $10.00 million in outstanding shares. This buyback authorization allows the technology company to repurchase up to 1.7% of its shares through open market purchases. Shares buyback plans are usually an indication that the company's leadership believes its shares are undervalued.

About HealthStream

HealthStream, Inc is a Nashville, Tennessee–based provider of workforce development and learning management solutions for healthcare organizations. Since its founding in 1990, the company has focused on helping hospitals, clinics and other care providers streamline staff training, ensure regulatory compliance and monitor employee performance. HealthStream's platform integrates online courses, skill competency assessments and credential management tools to support workforce readiness across the healthcare continuum.

The company's core offerings include a learning management system (LMS) designed specifically for clinical and nonclinical personnel, a competency management suite that tracks skill acquisition and validation, and a content library featuring evidence-based clinical and compliance training modules.

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