Wall Street Zen Upgrades HealthEquity (NASDAQ:HQY) to Buy

HealthEquity (NASDAQ:HQY) was upgraded by equities research analysts at Wall Street Zen from a “hold” rating to a “buy” rating in a report released on Saturday, Wall Street Zen reports.

Several other brokerages also recently issued reports on HQY. Telsey Advisory Group set a $111.00 price target on shares of HealthEquity in a research report on Friday, August 28th. Weiss Ratings lowered shares of HealthEquity from a “buy (b-)” rating to a “hold (c+)” rating in a report on Friday, October 2nd. Raymond James Financial restated a “strong-buy” rating on shares of HealthEquity in a research report on Thursday, September 3rd. BTIG Research reiterated a “buy” rating and set a $115.00 target price on shares of HealthEquity in a research report on Friday, August 28th. Finally, Deutsche Bank Aktiengesellschaft increased their price target on shares of HealthEquity from $135.00 to $142.00 and gave the company a “buy” rating in a research note on Monday, August 31st. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, HealthEquity has a consensus rating of “Moderate Buy” and a consensus target price of $112.20.

HealthEquity Stock Performance

Shares of HQY opened at $92.61 on Friday. The stock has a fifty day moving average price of $97.38 and a two-hundred day moving average price of $91.15. The company has a debt-to-equity ratio of 0.47, a quick ratio of 2.99 and a current ratio of 2.99. HealthEquity has a 52-week low of $72.76 and a 52-week high of $107.62. The company has a market cap of $7.66 billion, a price-to-earnings ratio of 33.43, a PEG ratio of 1.46 and a beta of 0.24.

HealthEquity (NASDAQ:HQY) last posted its quarterly earnings data on Thursday, August 27th. The company reported $1.24 EPS for the quarter, topping analysts’ consensus estimates of $1.19 by $0.05. HealthEquity had a return on equity of 15.33% and a net margin of 17.36%. The company had revenue of $350.73 million for the quarter, compared to analyst estimates of $349.22 million. The company’s quarterly revenue was up 95.5% on a year-over-year basis. HealthEquity has set its FY 2027 guidance at 4.660-4.730 EPS. Analysts predict that HealthEquity will post 3.93 EPS for the current fiscal year.

Insider Buying and Selling at HealthEquity

In other news, Director Adrian Dillon sold 7,632 shares of the company’s stock in a transaction on Tuesday, August 25th. The stock was sold at an average price of $104.61, for a total transaction of $798,383.52. Following the transaction, the director owned 62,395 shares of the company’s stock, valued at $6,527,140.95. This represents a 10.90% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.60% of the stock is currently owned by insiders.

Hedge Funds Weigh In On HealthEquity

Several hedge funds have recently added to or reduced their stakes in HQY. BlackRock Inc. acquired a new position in HealthEquity during the second quarter valued at approximately $1,018,621,000. Wasatch Advisors LP increased its stake in HealthEquity by 10.5% in the second quarter. Wasatch Advisors LP now owns 7,960,735 shares of the company’s stock valued at $719,014,000 after purchasing an additional 757,801 shares in the last quarter. William Blair Investment Management LLC acquired a new stake in HealthEquity in the second quarter worth $160,158,000. Dimensional Fund Advisors LP raised its holdings in HealthEquity by 2.9% in the first quarter. Dimensional Fund Advisors LP now owns 1,627,039 shares of the company’s stock worth $135,957,000 after purchasing an additional 45,287 shares during the period. Finally, Bank of America Corp DE acquired a new stake in HealthEquity in the second quarter worth $103,573,000. Institutional investors own 99.55% of the company’s stock.

HealthEquity Company Profile

HealthEquity, Inc (NASDAQ: HQY) provides technology-enabled services for consumer-directed health and benefits accounts. The company administers health savings accounts (HSAs) and offers related products such as flexible spending accounts, health reimbursement arrangements, commuter benefits and other employee benefit programs.

Its platform is designed to help employers, benefits advisors, health plans and individuals manage benefits, make healthcare payments, access account information and invest eligible HSA funds.