Two Sigma Securities LLC Takes Position in HealthEquity, Inc. $HQY

Key Points

• Two Sigma Securities acquired 11,311 HealthEquity shares worth approximately $1.02 million in the second quarter. Institutional investors own 99.55% of the company, with BlackRock and Wasatch Advisors among major holders.
• HealthEquity exceeded quarterly expectations, reporting $1.24 in earnings per share versus the $1.19 consensus and revenue of $350.73 million. Revenue increased 95.5% year over year, while management issued fiscal 2027 EPS guidance of $4.66–$4.73.
• Analysts maintain a favorable outlook, with 11 Buy ratings, one Hold and one Sell; the consensus rating is “Moderate Buy” with a target price of $111.87, above the reported share price of $96.54.

Two Sigma Securities LLC acquired a new stake in shares of HealthEquity, Inc. (NASDAQ:HQY - Free Report) during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund acquired 11,311 shares of the company's stock, valued at approximately $1,022,000.

Several other hedge funds and other institutional investors have also recently modified their holdings of the business. BlackRock Inc. purchased a new stake in HealthEquity in the second quarter worth $1,018,621,000. Wasatch Advisors LP grew its position in shares of HealthEquity by 10.5% during the 2nd quarter. Wasatch Advisors LP now owns 7,960,735 shares of the company's stock worth $719,014,000 after buying an additional 757,801 shares in the last quarter. Geode Capital Management LLC increased its stake in shares of HealthEquity by 0.3% during the fourth quarter. Geode Capital Management LLC now owns 2,201,232 shares of the company's stock valued at $201,685,000 after buying an additional 5,671 shares during the period. Westfield Capital Management Co. LP increased its stake in shares of HealthEquity by 13.7% during the fourth quarter. Westfield Capital Management Co. LP now owns 1,952,452 shares of the company's stock valued at $178,864,000 after buying an additional 235,794 shares during the period. Finally, William Blair Investment Management LLC bought a new stake in shares of HealthEquity in the fourth quarter valued at about $169,956,000. 99.55% of the stock is currently owned by hedge funds and other institutional investors.

HealthEquity Price Performance

Shares of HQY stock opened at $96.54 on Tuesday. The stock's 50-day moving average is $98.40 and its 200 day moving average is $88.06. HealthEquity, Inc. has a 1-year low of $72.76 and a 1-year high of $107.62. The company has a debt-to-equity ratio of 0.47, a current ratio of 2.99 and a quick ratio of 2.99. The company has a market cap of $7.98 billion, a P/E ratio of 34.85, a PEG ratio of 1.53 and a beta of 0.21.

HealthEquity (NASDAQ:HQY - Get Free Report) last announced its earnings results on Thursday, August 27th. The company reported $1.24 EPS for the quarter, topping analysts' consensus estimates of $1.19 by $0.05. The business had revenue of $350.73 million during the quarter, compared to the consensus estimate of $349.22 million. HealthEquity had a net margin of 17.36% and a return on equity of 15.33%. The firm's quarterly revenue was up 95.5% compared to the same quarter last year. HealthEquity has set its FY 2027 guidance at 4.660-4.730 EPS. Research analysts predict that HealthEquity, Inc. will post 3.92 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of analysts recently weighed in on the stock. Wall Street Zen raised shares of HealthEquity from a "hold" rating to a "buy" rating in a research note on Saturday, August 22nd. KeyCorp reissued an "overweight" rating on shares of HealthEquity in a research report on Tuesday, May 26th. Royal Bank Of Canada boosted their price target on shares of HealthEquity from $100.00 to $108.00 and gave the company an "outperform" rating in a report on Wednesday, June 3rd. Citigroup reaffirmed a "market outperform" rating on shares of HealthEquity in a research report on Friday. Finally, Barrington Research reiterated an "outperform" rating and set a $110.00 price objective on shares of HealthEquity in a research note on Friday, May 22nd. Eleven equities research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $111.87.

Insider Activity at HealthEquity

In other HealthEquity news, Director Adrian T. Dillon sold 7,632 shares of HealthEquity stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $104.61, for a total value of $798,383.52. Following the transaction, the director directly owned 62,395 shares of the company's stock, valued at approximately $6,527,140.95. The trade was a 10.90% 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 the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Michael Henry Fiore sold 2,470 shares of HealthEquity stock in a transaction on Thursday, July 2nd. The stock was sold at an average price of $95.00, for a total transaction of $234,650.00. Following the completion of the transaction, the executive vice president directly owned 56,643 shares in the company, valued at $5,381,085. This represents a 4.18% 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. In the last quarter, insiders have sold 12,456 shares of company stock valued at $1,256,664. 1.60% of the stock is currently owned by company insiders.

HealthEquity Profile

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.

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