HealthStream (NASDAQ:HSTM) Sets New 12-Month Low – Here’s Why

HealthStream, Inc. (NASDAQ:HSTM) reached a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $26.37 and last traded at $26.82, with a volume of 552824 shares trading hands. The stock had previously closed at $33.24.

Analysts Set New Price Targets

Several research firms have commented on HSTM. William Blair reiterated an “outperform” rating on shares of HealthStream in a research note on Tuesday, February 25th. JMP Securities reissued a “market perform” rating on shares of HealthStream in a research note on Thursday, February 6th. Finally, Canaccord Genuity Group boosted their price target on HealthStream from $29.00 to $30.00 and gave the stock a “hold” rating in a research report on Wednesday, February 26th. Two equities research analysts have rated the stock with a hold rating, three have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat.com, HealthStream currently has a consensus rating of “Moderate Buy” and an average target price of $32.00.

HealthStream Stock Performance

The company has a market cap of $831.35 million, a PE ratio of 41.90, a PEG ratio of 4.37 and a beta of 0.50. The stock has a fifty day moving average of $31.88 and a 200-day moving average of $31.98.

HealthStream (NASDAQ:HSTM) last released its earnings results on Monday, May 5th. The technology company reported $0.14 earnings per share for the quarter, missing the consensus estimate of $0.16 by ($0.02). HealthStream had a return on equity of 5.67% and a net margin of 6.84%. The company had revenue of $73.49 million for the quarter, compared to analysts’ expectations of $74.93 million. During the same period in the prior year, the firm posted $0.17 EPS. As a group, equities analysts anticipate that HealthStream, Inc. will post 0.63 EPS for the current fiscal year.

HealthStream Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, May 30th. Stockholders of record on Monday, May 19th will be issued a dividend of $0.031 per share. This represents a $0.12 annualized dividend and a dividend yield of 0.46%. The ex-dividend date of this dividend is Monday, May 19th. HealthStream’s dividend payout ratio is currently 18.18%.

HealthStream declared that its Board of Directors has authorized a stock buyback program on Thursday, May 8th that authorizes the company to buyback $25.00 million in shares. This buyback authorization authorizes the technology company to reacquire up to 3% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s board of directors believes its stock is undervalued.

Hedge Funds Weigh In On HealthStream

Several institutional investors have recently bought and sold shares of HSTM. Rhumbline Advisers boosted its holdings in shares of HealthStream by 0.6% in the 4th quarter. Rhumbline Advisers now owns 74,468 shares of the technology company’s stock valued at $2,368,000 after buying an additional 412 shares in the last quarter. Franklin Resources Inc. boosted its stake in shares of HealthStream by 0.9% during the 4th quarter. Franklin Resources Inc. now owns 44,672 shares of the technology company’s stock worth $1,421,000 after acquiring an additional 413 shares in the last quarter. Diversified Trust Co increased its position in shares of HealthStream by 5.0% in the first quarter. Diversified Trust Co now owns 9,174 shares of the technology company’s stock valued at $295,000 after buying an additional 441 shares in the last quarter. Sterling Capital Management LLC increased its holdings in HealthStream by 3.0% during the 4th quarter. Sterling Capital Management LLC now owns 15,814 shares of the technology company’s stock valued at $503,000 after acquiring an additional 459 shares in the last quarter. Finally, GAMMA Investing LLC increased its position in HealthStream by 30.8% during the 1st quarter. GAMMA Investing LLC now owns 2,082 shares of the technology company’s stock worth $67,000 after purchasing an additional 490 shares in the last quarter. 69.58% of the stock is owned by institutional investors and hedge funds.

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.