Wall Street Zen Downgrades HealthEquity (NASDAQ:HQY) to Hold

Key Points

• Wall Street Zen downgraded HealthEquity (NASDAQ:HQY) from a buy to a hold rating in a report released Saturday.
• Other analysts remain mostly positive overall, with HealthEquity holding a Moderate Buy consensus and an average target price of $111.79, though several firms recently trimmed or raised their price targets.
• HealthEquity reported better-than-expected quarterly results, posting EPS of $0.95 versus $0.90 expected and revenue of $334.59 million, up 7.3% year over year.

HealthEquity (NASDAQ:HQY - Get Free Report) was downgraded by analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a report released on Saturday.

A number of other research firms have also recently weighed in on HQY. JPMorgan Chase & Co. cut their price objective on shares of HealthEquity from $129.00 to $123.00 and set an "overweight" rating for the company in a report on Wednesday, March 18th. Deutsche Bank Aktiengesellschaft lifted their price objective on shares of HealthEquity from $120.00 to $128.00 and gave the company a "buy" rating in a report on Thursday, March 19th. Barclays cut their price objective on shares of HealthEquity from $118.00 to $110.00 and set an "overweight" rating for the company in a report on Wednesday, February 18th. UBS Group set a $110.00 target price on shares of HealthEquity in a research note on Tuesday, February 17th. Finally, Weiss Ratings reissued a "hold (c+)" rating on shares of HealthEquity in a research note on Thursday, January 22nd. One analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus target price of $111.79.

HealthEquity Stock Up 1.0%

HQY opened at $84.84 on Friday. HealthEquity has a fifty-two week low of $72.76 and a fifty-two week high of $116.65. The company has a debt-to-equity ratio of 0.45, a quick ratio of 3.27 and a current ratio of 3.27. The company has a fifty day moving average of $81.30 and a two-hundred day moving average of $87.78. The stock has a market capitalization of $7.17 billion, a price-to-earnings ratio of 34.49, a PEG ratio of 1.53 and a beta of 0.19.

HealthEquity (NASDAQ:HQY - Get Free Report) last released its quarterly earnings data on Tuesday, March 17th. The company reported $0.95 earnings per share for the quarter, beating analysts' consensus estimates of $0.90 by $0.05. HealthEquity had a net margin of 16.39% and a return on equity of 13.86%. The company had revenue of $334.59 million during the quarter, compared to analysts' expectations of $332.48 million. The company's revenue was up 7.3% compared to the same quarter last year. On average, research analysts expect that HealthEquity will post 3.84 earnings per share for the current year.

Institutional Trading of HealthEquity

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Xponance Inc. increased its stake in shares of HealthEquity by 0.8% during the third quarter. Xponance Inc. now owns 12,265 shares of the company's stock worth $1,162,000 after purchasing an additional 102 shares in the last quarter. Fifth Third Wealth Advisors LLC increased its stake in shares of HealthEquity by 4.2% during the first quarter. Fifth Third Wealth Advisors LLC now owns 2,872 shares of the company's stock worth $240,000 after purchasing an additional 116 shares in the last quarter. Truist Financial Corp boosted its position in HealthEquity by 4.9% during the fourth quarter. Truist Financial Corp now owns 2,537 shares of the company's stock worth $232,000 after acquiring an additional 119 shares during the last quarter. Fiduciary Trust Co boosted its position in HealthEquity by 3.4% during the third quarter. Fiduciary Trust Co now owns 3,669 shares of the company's stock worth $348,000 after acquiring an additional 120 shares during the last quarter. Finally, Larson Financial Group LLC boosted its position in HealthEquity by 24.4% during the third quarter. Larson Financial Group LLC now owns 628 shares of the company's stock worth $60,000 after acquiring an additional 123 shares during the last quarter. Hedge funds and other institutional investors own 99.55% of the company's stock.

HealthEquity Company 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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