NasdaqGS:HSTM

Stock Analysis Report

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Executive Summary

HealthStream, Inc. provides workforce and provider solutions for healthcare organizations in the United States. More Details


Snowflake Analysis

Flawless balance sheet with solid track record.


Similar Companies

Share Price & News

How has HealthStream's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: HSTM is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: HSTM's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

0.2%

HSTM

6.0%

US Healthcare Services

2.3%

US Market


1 Year Return

-4.0%

HSTM

75.6%

US Healthcare Services

23.8%

US Market

Return vs Industry: HSTM underperformed the US Healthcare Services industry which returned 74.5% over the past year.

Return vs Market: HSTM underperformed the US Market which returned 23.7% over the past year.


Shareholder returns

HSTMIndustryMarket
7 Day0.2%6.0%2.3%
30 Day15.5%8.1%4.8%
90 Day17.6%11.9%14.5%
1 Year-4.0%-4.0%76.1%75.6%26.6%23.8%
3 Year6.7%2.3%161.6%159.5%45.0%35.4%
5 Year19.5%14.6%273.6%269.1%126.2%101.0%

Long-Term Price Volatility Vs. Market

How volatile is HealthStream's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is HealthStream undervalued compared to its fair value and its price relative to the market?

48.29x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HSTM ($25.11) is trading above our estimate of fair value ($22.87)

Significantly Below Fair Value: HSTM is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HSTM is good value based on its PE Ratio (48.3x) compared to the US Healthcare Services industry average (132x).

PE vs Market: HSTM is poor value based on its PE Ratio (48.3x) compared to the US market (21.3x).


Price to Earnings Growth Ratio

PEG Ratio: HSTM's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: HSTM is good value based on its PB Ratio (2.4x) compared to the US Healthcare Services industry average (6.4x).


Next Steps

Future Growth

How is HealthStream forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

-83.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HSTM's earnings are forecast to decline over the next 3 years (-83.5% per year).

Earnings vs Market: HSTM's earnings are forecast to decline over the next 3 years (-83.5% per year).

High Growth Earnings: HSTM's earnings are forecast to decline over the next 3 years.

Revenue vs Market: HSTM's revenue (6% per year) is forecast to grow slower than the US market (10.6% per year).

High Growth Revenue: HSTM's revenue (6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if HSTM's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has HealthStream performed over the past 5 years?

22.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HSTM has high quality earnings.

Growing Profit Margin: HSTM's current net profit margins (6.8%) are higher than last year (5.4%).


Past Earnings Growth Analysis

Earnings Trend: HSTM's earnings have grown significantly by 22% per year over the past 5 years.

Accelerating Growth: HSTM's earnings growth over the past year (23.1%) exceeds its 5-year average (22% per year).

Earnings vs Industry: HSTM earnings growth over the past year (23.1%) exceeded the Healthcare Services industry -29.9%.


Return on Equity

High ROE: HSTM's Return on Equity (5%) is considered low.


Next Steps

Financial Health

How is HealthStream's financial position?


Financial Position Analysis

Short Term Liabilities: HSTM's short term assets ($199.1M) exceed its short term liabilities ($95.0M).

Long Term Liabilities: HSTM's short term assets ($199.1M) exceed its long term liabilities ($45.3M).


Debt to Equity History and Analysis

Debt Level: HSTM is debt free.

Reducing Debt: HSTM had no debt 5 years ago.

Debt Coverage: HSTM has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: HSTM has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is HealthStream current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate HSTM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate HSTM's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if HSTM's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if HSTM's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of HSTM's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.5yrs

Average management tenure


CEO

Bobby Frist (53 yo)

31yrs

Tenure

US$617,448

Compensation

Mr. Robert A. Frist, Jr., also known as Bobby, is a Co-founder of Healthstream, Inc. and has been its Chief Executive Officer and Director since 1990. Mr. Frist has been the Chairman at Healthstream, Inc. ...


CEO Compensation Analysis

Compensation vs Market: Bobby's total compensation ($USD617.45K) is below average for companies of similar size in the US market ($USD2.40M).

Compensation vs Earnings: Bobby's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Robert Frist
Chairman31yrsUS$617.45k17.52%
$ 139.3m
J. Pearson
President & COO2.67yrsUS$757.67k0.53%
$ 4.2m
Scott Roberts
CFO and Senior VP of Accounting & Finance1.92yrsUS$413.67k0.018%
$ 142.4k
Michael Collier
Senior VP of Corporate Development9.42yrsUS$537.93k0.047%
$ 370.8k
Michael Sousa
Senior VP & President of Provider Solutions6.58yrsUS$851.91k0.086%
$ 686.3k
Jeffrey Cunningham
Senior VP & CTO3.5yrsUS$482.35k0.018%
$ 141.5k
Mollie Condra
Vice President of Investor Relations & Communicationsno datano datano data
Scott Fenstermacher
Head of Sales & VP3.5yrsno datano data
Trisha Coady
Senior VP & GM of Clinical Solutions2.17yrsno data0.023%
$ 185.2k
Michael McQuigg
Senior Vice President of hStream Solutions2yrsno data0.0037%
$ 29.0k
Arthur Newman
Senior Executive Advisor5yrsUS$429.29kno data

3.5yrs

Average Tenure

52yo

Average Age

Experienced Management: HSTM's management team is considered experienced (3.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Robert Frist
Chairman31yrsUS$617.45k17.52%
$ 139.3m
Thompson Dent
Lead Independent Director6.08yrsUS$97.63k0.39%
$ 3.1m
Jeffrey McLaren
Independent Director31yrsUS$90.13k0.053%
$ 421.3k
C. Harris
Independent Director11yrsUS$92.63k0.090%
$ 718.4k
William Stead
Independent Director23yrsUS$90.13k0.093%
$ 735.9k
Michael Shmerling
Independent Director16yrsUS$96.38k0.38%
$ 3.0m
Linda Rebrovick
Independent Director20yrsUS$91.65k0.13%
$ 1.0m
Frank Gordon
Independent Director19yrsUS$92.13k0.65%
$ 5.2m
Deborah Tate
Independent Director11yrsUS$90.13k0.059%
$ 471.2k

19.0yrs

Average Tenure

64yo

Average Age

Experienced Board: HSTM's board of directors are seasoned and experienced ( 19 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

HealthStream, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: HealthStream, Inc.
  • Ticker: HSTM
  • Exchange: NasdaqGS
  • Founded: 1990
  • Industry: Health Care Technology
  • Sector: Healthcare
  • Market Cap: US$795.275m
  • Shares outstanding: 31.68m
  • Website: https://www.healthstream.com

Number of Employees


Location

  • HealthStream, Inc.
  • 500 11th Avenue North
  • Suite 1000
  • Nashville
  • Tennessee
  • 37203
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HSTMNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDApr 2000
HL5DB (Deutsche Boerse AG)YesCommon StockDEEURApr 2000

Biography

HealthStream, Inc. provides workforce and provider solutions for healthcare organizations in the United States. It operates through two segments, Workforce Solutions and Provider Solutions. The company off...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/23 23:13
End of Day Share Price2021/01/22 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.