Talkspace (NASDAQ:TALK) Announces Quarterly Earnings Results

Talkspace (NASDAQ:TALK) announced its quarterly earnings data on Thursday. The company reported $0.03 earnings per share for the quarter, beating the consensus estimate of $0.02 by $0.01, FiscalAI reports. The firm had revenue of $63.00 million during the quarter, compared to the consensus estimate of $61.91 million. Talkspace had a return on equity of 3.75% and a net margin of 1.98%.

Here are the key takeaways from Talkspace’s conference call:

• Strong payer-driven growth — Talkspace reported ~ $229M revenue for 2025 (+22% YoY) with payer revenue up 38% (Q4 payer +41%), sessions +36% YoY and 124k active payer members in Q4, and it guided 2026 revenue to $275M–$290M (20%–27% growth).
• Improving profitability and operating leverage — adjusted EBITDA more than doubled to $15.8M in 2025 (7% margin), Q4 adj. EBITDA was $6.6M (10.4% margin), and 2026 adj. EBITDA is guided to $30M–$35M with exit margins targeting the mid-teens.
• Payer product and distribution momentum — the company highlighted directory integrations, single sign-on, embedded scheduling, psychiatry expansion (>400 providers) including Amazon Pharmacy integration, growing military and Medicare enrollment, the Wisdo acquisition, and successful TeenSpace scale (45k NYC teens, 66% clinical improvement) to drive utilization and payer adoption.
• Talk AI agent in beta — Talkspace is developing a HIPAA-protected, clinician‑supervised mental‑health LLM with beta engagement described as promising and a planned market rollout late in Q2; commercial impact and regulatory/safety outcomes remain uncertain and are not a material part of 2026 guidance.

Talkspace Stock Performance

Talkspace stock traded up $0.81 during midday trading on Thursday, hitting $4.74. 6,503,209 shares of the company’s stock were exchanged, compared to its average volume of 1,563,486. Talkspace has a 12-month low of $2.22 and a 12-month high of $5.13. The firm’s 50 day simple moving average is $3.80 and its 200 day simple moving average is $3.18. The stock has a market cap of $784.90 million, a price-to-earnings ratio of 158.29 and a beta of 1.20.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of TALK. AQR Capital Management LLC grew its stake in shares of Talkspace by 963.3% in the first quarter. AQR Capital Management LLC now owns 464,599 shares of the company’s stock valued at $1,189,000 after buying an additional 420,906 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in shares of Talkspace by 2.8% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 142,143 shares of the company’s stock worth $364,000 after buying an additional 3,924 shares during the period. Strs Ohio bought a new position in shares of Talkspace in the first quarter valued at approximately $58,000. Creative Planning lifted its holdings in Talkspace by 24.4% in the 2nd quarter. Creative Planning now owns 80,904 shares of the company’s stock valued at $225,000 after acquiring an additional 15,881 shares during the last quarter. Finally, Rhumbline Advisers raised its position in shares of Talkspace by 15.9% during the second quarter. Rhumbline Advisers now owns 171,477 shares of the company’s stock worth $477,000 after purchasing an additional 23,497 shares during the period. Institutional investors and hedge funds own 57.37% of the company’s stock.

Analysts Set New Price Targets

Several brokerages recently weighed in on TALK. Zacks Research raised shares of Talkspace from a “strong sell” rating to a “hold” rating in a research report on Friday, October 31st. UBS Group reiterated a “buy” rating on shares of Talkspace in a report on Tuesday, December 30th. Needham & Company LLC reissued a “buy” rating and issued a $5.00 price objective on shares of Talkspace in a research note on Tuesday, December 2nd. KeyCorp lifted their price objective on shares of Talkspace from $4.00 to $5.00 and gave the stock an “overweight” rating in a research note on Thursday, January 8th. Finally, Barclays began coverage on Talkspace in a research note on Monday, December 8th. They issued an “equal weight” rating and a $3.50 price target for the company. Four research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Talkspace presently has an average rating of “Moderate Buy” and an average target price of $4.88.

Key Talkspace News

Here are the key news stories impacting Talkspace this week:

• Positive Sentiment: Q4 EPS beat — Talkspace reported $0.03 EPS for Q4 vs. the Zacks consensus of $0.02 and $0.01 a year ago, signaling improving profitability per share. Read More.
• Positive Sentiment: Revenue beat and investor materials — Revenue came in at $63.0M vs. ~$61.9M expected; the company released a press release, slide deck and hosted a conference call for details (useful for evaluating growth drivers). Read More.
• Neutral Sentiment: FY2026 revenue guidance range issued — Talkspace gave revenue guidance of $275.0M–$290.0M vs. consensus ~$281.5M; the range overlaps consensus but the midpoint is slightly below, leaving guidance somewhat mixed. (EPS guidance was not clearly specified in the initial release.) Read More.
• Neutral Sentiment: High-volume move — Trading volume is materially above average, indicating strong investor attention; that can amplify price moves in either direction as the story and guidance are digested. Read More.
• Negative Sentiment: Valuation & profitability caveats — Net margin remains low (~1.98%) and ROE modest (3.75%); the stock carries a high trailing P/E (~158x), which means expectations are elevated and could lead to greater downside if growth slows or guidance disappoints.

Talkspace Company Profile

Talkspace, Inc (NASDAQ:TALK) is a digital mental health company that provides online therapy and psychiatry services through a secure, cloud-based platform. Headquartered in New York City, Talkspace enables individuals and couples to connect with licensed therapists and psychiatrists via text messaging, live audio, and video sessions. The company’s platform is accessible through web and mobile applications, allowing clients to seek professional support anytime and from any location with an internet connection.

The company’s core offerings include therapy plans that range from unlimited text-based messaging with a dedicated therapist to scheduled live video sessions.