HealthEquity (NASDAQ:HQY) Sets New 1-Year Low on Analyst Downgrade

HealthEquity, Inc. (NASDAQ:HQY)’s share price reached a new 52-week low on Wednesday after BTIG Research lowered their price target on the stock from $130.00 to $110.00. BTIG Research currently has a buy rating on the stock. HealthEquity traded as low as $72.76 and last traded at $74.36, with a volume of 987588 shares changing hands. The stock had previously closed at $73.88.

A number of other research firms have also commented on HQY. KeyCorp increased their price target on HealthEquity from $120.00 to $125.00 and gave the company an “overweight” rating in a research report on Thursday, January 8th. Deutsche Bank Aktiengesellschaft restated a “buy” rating and issued a $120.00 target price on shares of HealthEquity in a research note on Friday, December 5th. The Goldman Sachs Group cut HealthEquity from a “neutral” rating to a “sell” rating and set a $89.00 price objective on the stock. in a research report on Friday, January 9th. Raymond James Financial set a $100.00 price target on shares of HealthEquity in a research report on Tuesday. Finally, BMO Capital Markets restated a “market perform” rating on shares of HealthEquity in a research note on Thursday, December 4th. Two investment analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, HealthEquity presently has an average rating of “Moderate Buy” and an average target price of $116.13.

Insider Activity at HealthEquity

In related news, EVP Elimelech Rosner sold 10,959 shares of HealthEquity stock in a transaction that occurred on Thursday, December 18th. The shares were sold at an average price of $95.45, for a total value of $1,046,036.55. Following the completion of the transaction, the executive vice president directly owned 45,742 shares in the company, valued at approximately $4,366,073.90. The trade was a 19.33% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Delano Ladd sold 1,500 shares of the stock in a transaction on Friday, December 19th. The stock was sold at an average price of $94.72, for a total value of $142,080.00. Following the sale, the executive vice president owned 73,979 shares in the company, valued at approximately $7,007,290.88. This represents a 1.99% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 13,959 shares of company stock valued at $1,344,957. 1.50% of the stock is owned by insiders.

Hedge Funds Weigh In On HealthEquity

A number of institutional investors have recently added to or reduced their stakes in the business. William Blair Investment Management LLC bought a new stake in shares of HealthEquity during the 4th quarter valued at about $169,956,000. Norges Bank purchased a new stake in HealthEquity in the fourth quarter valued at approximately $66,927,000. Westfield Capital Management Co. LP lifted its position in HealthEquity by 124.6% during the second quarter. Westfield Capital Management Co. LP now owns 1,265,208 shares of the company’s stock valued at $132,543,000 after purchasing an additional 701,819 shares during the last quarter. AQR Capital Management LLC lifted its position in HealthEquity by 148.5% during the second quarter. AQR Capital Management LLC now owns 1,107,448 shares of the company’s stock valued at $116,016,000 after purchasing an additional 661,795 shares during the last quarter. Finally, Cadian Capital Management LP purchased a new position in HealthEquity in the 4th quarter worth approximately $51,915,000. 99.55% of the stock is currently owned by institutional investors.

HealthEquity Stock Performance

The company has a debt-to-equity ratio of 0.46, a quick ratio of 4.13 and a current ratio of 4.13. The stock has a market cap of $6.35 billion, a PE ratio of 34.11, a PEG ratio of 0.92 and a beta of 0.24. The company’s 50-day moving average price is $87.65 and its two-hundred day moving average price is $91.95.

HealthEquity (NASDAQ:HQY) last released its earnings results on Wednesday, December 3rd. The company reported $1.01 EPS for the quarter, beating analysts’ consensus estimates of $0.90 by $0.11. HealthEquity had a return on equity of 12.94% and a net margin of 14.86%.The business had revenue of $322.16 million for the quarter, compared to analysts’ expectations of $320.92 million. During the same quarter in the prior year, the firm earned $0.78 earnings per share. The firm’s revenue was up 7.2% on a year-over-year basis. HealthEquity has set its FY 2026 guidance at 3.870-3.950 EPS. On average, equities research analysts forecast that HealthEquity, Inc. will post 2.32 EPS for the current year.

About HealthEquity

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.