HealthEquity, Inc. (NASDAQ:HQY) Given Average Rating of “Moderate Buy” by Analysts

Shares of HealthEquity, Inc. (NASDAQ:HQY) have been given an average recommendation of “Moderate Buy” by the thirteen brokerages that are covering the stock, Marketbeat reports. One investment analyst has rated the stock with a sell recommendation, one has given a hold recommendation and eleven have issued a buy recommendation on the company. The average 1-year price objective among brokers that have covered the stock in the last year is $110.9286.

A number of research firms recently issued reports on HQY. KeyCorp reissued an “overweight” rating on shares of HealthEquity in a research report on Tuesday, May 26th. BTIG Research lifted their price target on shares of HealthEquity from $110.00 to $115.00 and gave the company a “buy” rating in a research report on Friday, July 24th. Wells Fargo & Company set a $111.00 price objective on shares of HealthEquity in a research report on Monday, June 1st. Wall Street Zen raised shares of HealthEquity from a “hold” rating to a “buy” rating in a research note on Saturday, August 22nd. Finally, Citizens Jmp lifted their target price on shares of HealthEquity from $110.00 to $111.00 and gave the company a “market outperform” rating in a report on Monday, June 1st.

Insider Activity

In other HealthEquity news, EVP Michael Henry Fiore sold 2,470 shares of the firm’s stock in a transaction dated Thursday, July 2nd. The stock was sold at an average price of $95.00, for a total value of $234,650.00. Following the transaction, the executive vice president directly owned 56,643 shares of the company’s stock, valued at $5,381,085. This trade represents a 4.18% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Adrian T. Dillon sold 7,632 shares of the company’s stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $104.61, for a total value of $798,383.52. Following the completion of the sale, the director directly owned 62,395 shares of the company’s stock, valued at $6,527,140.95. The trade was a 10.90% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 12,456 shares of company stock worth $1,256,664 over the last three months. 1.60% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On HealthEquity

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Sivia Capital Partners LLC acquired a new stake in HealthEquity in the second quarter valued at approximately $306,000. Arrowstreet Capital Limited Partnership acquired a new position in shares of HealthEquity during the second quarter worth $4,747,000. Marshall Wace LLP acquired a new position in shares of HealthEquity during the second quarter worth $5,483,000. Amundi boosted its stake in shares of HealthEquity by 9.3% in the second quarter. Amundi now owns 30,203 shares of the company’s stock valued at $3,059,000 after purchasing an additional 2,574 shares during the period. Finally, Jump Financial LLC purchased a new position in shares of HealthEquity in the second quarter valued at $449,000. 99.55% of the stock is owned by institutional investors and hedge funds.

HealthEquity Price Performance

HQY stock opened at $93.39 on Friday. The stock’s fifty day simple moving average is $97.93 and its 200-day simple moving average is $87.81. The company has a quick ratio of 3.44, a current ratio of 3.44 and a debt-to-equity ratio of 0.46. HealthEquity has a 52-week low of $72.76 and a 52-week high of $107.62. The stock has a market capitalization of $7.81 billion, a price-to-earnings ratio of 34.98, a price-to-earnings-growth ratio of 1.76 and a beta of 0.21.

HealthEquity (NASDAQ:HQY) last announced its quarterly earnings data on Thursday, August 27th. The company reported $1.24 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.19 by $0.05. The company had revenue of $350.73 million during the quarter, compared to analysts’ expectations of $349.22 million. HealthEquity had a net margin of 17.25% and a return on equity of 14.75%. The firm’s quarterly revenue was up 95.5% compared to the same quarter last year. HealthEquity has set its FY 2027 guidance at 4.660-4.730 EPS. Equities research analysts expect that HealthEquity will post 3.92 EPS for the current year.

Key HealthEquity News

Here are the key news stories impacting HealthEquity this week:

• Positive Sentiment: HealthEquity exceeded expectations with adjusted EPS of $1.24 versus the $1.19 consensus and revenue of $350.7 million versus $349.2 million. Revenue increased 95.5% year over year. HealthEquity Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Profitability improved: net income rose 10% to $65.6 million, net margin expanded to 19% from 18%, and adjusted EBITDA increased 11% to $167 million, with the EBITDA margin rising to 48% from 46%. HealthEquity Reports Second Quarter Financial Results
• Positive Sentiment: Management raised fiscal 2027 adjusted EPS guidance to $4.66–$4.73, above the $4.56 analyst consensus. HSA assets reached a record $37.9 billion, supporting HealthEquity’s long-term growth outlook. HealthEquity Raises Fiscal 2027 Guidance
• Neutral Sentiment: Revenue guidance was approximately $1.4 billion, broadly in line with analysts’ expectations, meaning the guidance increase was concentrated primarily in earnings rather than sales.
• Negative Sentiment: Director Adrian T. Dillon sold 7,632 shares worth approximately $798,000. The transaction occurred under a pre-arranged Rule 10b5-1 plan, reducing its signaling value, but it may still add short-term selling pressure. Adrian T. Dillon Insider Transaction
• Negative Sentiment: At roughly 35 times earnings, HQY remains priced for substantial growth. Investors may be using the strong report as an opportunity to lock in gains, particularly after the shares traded near their 52-week high.

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.