TruBridge (NASDAQ:TBRG) Posts Quarterly Earnings Results, Beats Estimates By $0.38 EPS

TruBridge (NASDAQ:TBRG) announced its quarterly earnings results on Tuesday. The company reported $0.79 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.41 by $0.38, FiscalAI reports. The firm had revenue of $87.79 million for the quarter, compared to the consensus estimate of $87.60 million. TruBridge had a net margin of 0.85% and a return on equity of 12.23%.

Here are the key takeaways from TruBridge’s conference call:

• The company filed its 10‑K after identifying out‑of‑period, non‑cash adjustments (revenue timing, capitalized software, other items) during its first audit with a new external auditor; management says the adjustments are not material but the delay highlights prior reporting weaknesses and ongoing remediation.
• The board is conducting a formal strategic review to “maximize shareholder value” (no timeline); management expects modest revenue growth in 2026 and ~200 bps of Adjusted EBITDA margin improvement, supported by a targeted four‑pillar AI strategy to drive efficiency and product innovation.
• FY2025 results showed modest top‑line growth (total revenue $346.8M, +1.4% YoY) with stronger profitability—Adjusted EBITDA $68.7M (+23% YoY) and free cash flow $20M (+$5M); liquidity and leverage improved (cash $24.9M, net debt ≈$139.8M, net leverage ~2x) and the company secured an amended credit facility up to $250M through 2030.
• Commercial momentum strengthened—overall sales pipeline is the highest in nine quarters (up 53% since early Q3), with recurring deals >70% of pipeline, larger opportunities (>100 beds) rising to ~30% of pipeline, and Encoder pipeline growth of ~74%, suggesting improved revenue quality and upside to bookings.
• Operational execution remains a near‑term headwind as a global workforce transition caused CBO/RCM customer retention issues; management has implemented a structured transition model and opened a Global Capacity Center in Chennai, but expects consistent quarterly performance may be a quarter or two away and some 2025 attrition will carry into 2026.

TruBridge Stock Performance

TBRG opened at $14.64 on Wednesday. The firm’s fifty day simple moving average is $18.52 and its two-hundred day simple moving average is $20.17. TruBridge has a 52-week low of $13.88 and a 52-week high of $28.11. The company has a market cap of $219.75 million, a price-to-earnings ratio of 77.06 and a beta of 0.63. The company has a quick ratio of 1.90, a current ratio of 1.91 and a debt-to-equity ratio of 0.89.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Paradigm Capital Management Inc. NY boosted its holdings in TruBridge by 175.9% in the 4th quarter. Paradigm Capital Management Inc. NY now owns 339,000 shares of the company’s stock worth $7,482,000 after buying an additional 216,144 shares during the last quarter. Nellore Capital Management LLC raised its holdings in shares of TruBridge by 22.5% during the fourth quarter. Nellore Capital Management LLC now owns 915,034 shares of the company’s stock valued at $20,195,000 after acquiring an additional 168,002 shares during the last quarter. Geode Capital Management LLC lifted its position in shares of TruBridge by 77.6% in the second quarter. Geode Capital Management LLC now owns 268,548 shares of the company’s stock valued at $6,291,000 after acquiring an additional 117,298 shares in the last quarter. Dimensional Fund Advisors LP lifted its position in shares of TruBridge by 15.5% in the third quarter. Dimensional Fund Advisors LP now owns 470,593 shares of the company’s stock valued at $9,492,000 after acquiring an additional 63,112 shares in the last quarter. Finally, JPMorgan Chase & Co. boosted its stake in shares of TruBridge by 128.2% in the second quarter. JPMorgan Chase & Co. now owns 101,107 shares of the company’s stock worth $2,368,000 after acquiring an additional 56,805 shares during the last quarter. 88.64% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

A number of brokerages have weighed in on TBRG. Weiss Ratings reiterated a “sell (e+)” rating on shares of TruBridge in a research report on Wednesday, January 28th. Zacks Research upgraded TruBridge from a “strong sell” rating to a “hold” rating in a research note on Friday, January 30th. Royal Bank Of Canada assumed coverage on TruBridge in a report on Friday, January 9th. They issued a “sector perform” rating and a $23.00 price target for the company. Finally, Wall Street Zen upgraded TruBridge from a “buy” rating to a “strong-buy” rating in a research report on Sunday, January 18th. Four research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Reduce” and a consensus price target of $23.50.

About TruBridge

TruBridge, Inc is a technology solutions provider specializing in digital transformation and managed services for enterprise clients. The company focuses on helping organizations modernize and optimize their IT environments by leveraging cloud technologies, collaboration platforms, and security solutions. TruBridge’s core business activities include consulting, implementation, migration, training and ongoing support for Microsoft 365, Azure and related cloud services.

TruBridge offers a comprehensive suite of services designed to guide clients through every stage of their cloud adoption journey.