HealthStream (NASDAQ:HSTM) Reaches New 12-Month Low - Should You Sell?

HealthStream, Inc. (NASDAQ:HSTM - Get Free Report)'s share price hit a new 52-week low on Friday . The company traded as low as $25.78 and last traded at $26.10, with a volume of 292036 shares traded. The stock had previously closed at $27.42.

Wall Street Analysts Forecast Growth

Several research analysts have recently weighed in on the company. 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 report on Thursday, May 15th. William Blair reaffirmed an "outperform" rating on shares of HealthStream in a research note on Tuesday, February 25th. Two research analysts have rated the stock with a hold rating, three have issued a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, HealthStream presently has a consensus rating of "Moderate Buy" and an average price target of $31.50.

HealthStream Price Performance

The firm has a market capitalization of $831.98 million, a price-to-earnings ratio of 43.27, a PEG ratio of 3.44 and a beta of 0.43. The business's fifty day simple moving average is $29.43 and its 200 day simple moving average is $31.26.

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

HealthStream Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, May 30th. Stockholders of record on Monday, May 19th were issued a dividend of $0.031 per share. The ex-dividend date was Monday, May 19th. This represents a $0.12 annualized dividend and a dividend yield of 0.45%. HealthStream's dividend payout ratio is 19.05%.

HealthStream declared that its Board of Directors has initiated a share repurchase program on Thursday, May 8th that permits the company to repurchase $25.00 million in outstanding shares. This repurchase authorization permits the technology company to purchase up to 3% of its stock through open market purchases. Stock repurchase programs are generally an indication that the company's leadership believes its shares are undervalued.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. First Horizon Advisors Inc. increased its position in shares of HealthStream by 99.6% during the first quarter. First Horizon Advisors Inc. now owns 1,056 shares of the technology company's stock worth $34,000 after acquiring an additional 527 shares in the last quarter. GAMMA Investing LLC boosted its stake in HealthStream by 30.8% during the 1st quarter. GAMMA Investing LLC now owns 2,082 shares of the technology company's stock valued at $67,000 after purchasing an additional 490 shares during the last quarter. New Age Alpha Advisors LLC bought a new stake in HealthStream during the 4th quarter worth approximately $80,000. PNC Financial Services Group Inc. increased its holdings in HealthStream by 62.5% during the 1st quarter. PNC Financial Services Group Inc. now owns 2,625 shares of the technology company's stock worth $84,000 after purchasing an additional 1,010 shares in the last quarter. Finally, Meeder Asset Management Inc. purchased a new stake in shares of HealthStream in the fourth quarter worth approximately $114,000. Institutional investors and hedge funds own 69.58% of the company's stock.

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.