Waystar (NASDAQ:WAY) Shares Gap Down – Should You Sell?

Waystar Holding Corp. (NASDAQ:WAY) gapped down prior to trading on Thursday . The stock had previously closed at $24.52, but opened at $21.47. Waystar shares last traded at $21.0720, with a volume of 553,238 shares changing hands.

Key Waystar News

Here are the key news stories impacting Waystar this week:

• Positive Sentiment: Waystar reported Q2 revenue of $319.7 million, up 18% year over year and ahead of the $316.2 million consensus estimate. EPS was $0.43 versus expectations of $0.40 and $0.36 a year earlier. Net income reached $40.9 million, while adjusted EBITDA margin was 43%. Waystar Reports Second Quarter 2026 Results
• Positive Sentiment: Management raised its 2026 outlook to $1.276 billion-$1.294 billion in revenue and $535 million-$545 million in adjusted EBITDA, signaling continued confidence in healthcare payment software demand and operating leverage. Waystar 2026 Guidance
• Positive Sentiment: Needham reaffirmed its Buy rating and assigned a $33 price target, implying substantial upside from recent trading levels. Needham Rating and Price Target
• Neutral Sentiment: Alpana Wegner, an experienced technology-sector CFO, will become Waystar’s finance chief on August 1. The appointment supports the company’s growth strategy, but the leadership change may create short-term uncertainty for investors. Waystar CFO Appointment

Analyst Ratings Changes

A number of equities analysts recently weighed in on the stock. UBS Group set a $34.00 price target on shares of Waystar in a research report on Monday, July 20th. Wall Street Zen downgraded shares of Waystar from a “buy” rating to a “hold” rating in a report on Sunday, May 24th. KeyCorp started coverage on Waystar in a report on Wednesday, July 1st. They set an “overweight” rating and a $30.00 target price on the stock. Raymond James Financial restated a “strong-buy” rating and issued a $32.00 price target on shares of Waystar in a research report on Thursday, April 30th. Finally, Citigroup reaffirmed a “buy” rating on shares of Waystar in a report on Monday, July 20th. Three research analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $35.09.

Waystar Stock Performance

The firm has a 50 day simple moving average of $20.73 and a 200-day simple moving average of $23.31. The company has a debt-to-equity ratio of 0.37, a current ratio of 1.76 and a quick ratio of 1.76. The company has a market cap of $4.00 billion, a price-to-earnings ratio of 30.96, a PEG ratio of 0.93 and a beta of 0.08.

Waystar (NASDAQ:WAY) last announced its quarterly earnings results on Wednesday, July 29th. The company reported $0.43 EPS for the quarter, beating the consensus estimate of $0.40 by $0.03. The business had revenue of $319.67 million for the quarter, compared to analyst estimates of $316.21 million. Waystar had a return on equity of 6.99% and a net margin of 10.90%.The company’s quarterly revenue was up 18.1% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.36 EPS. As a group, analysts predict that Waystar Holding Corp. will post 1.46 EPS for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the stock. Advent International L.P. acquired a new stake in shares of Waystar during the fourth quarter valued at about $362,212,000. Alliancebernstein L.P. lifted its holdings in shares of Waystar by 3,883.4% in the 2nd quarter. Alliancebernstein L.P. now owns 3,268,932 shares of the company’s stock worth $133,601,000 after acquiring an additional 3,186,869 shares during the last quarter. Alyeska Investment Group L.P. boosted its position in shares of Waystar by 4,717.4% during the 3rd quarter. Alyeska Investment Group L.P. now owns 1,814,648 shares of the company’s stock worth $68,811,000 after purchasing an additional 1,776,979 shares during the period. Bamco Inc. NY purchased a new position in shares of Waystar during the 4th quarter worth approximately $45,642,000. Finally, Norges Bank acquired a new stake in Waystar in the 4th quarter valued at approximately $44,627,000.

About Waystar

Waystar (NASDAQ:WAY) is a leading provider of cloud-based revenue cycle management and payment solutions for healthcare organizations. The company’s unified platform streamlines the entire financial continuum of patient care, from eligibility verification and claim submission to payment reconciliation and patient billing. By automating key processes and improving claim accuracy, Waystar helps providers reduce administrative overhead, accelerate cash flow and enhance overall revenue performance.

At the core of Waystar’s offering is a SaaS-based architecture that integrates seamlessly with existing electronic health record (EHR) systems and payer networks.