HealthStream (NASDAQ:HSTM) Shares Down 6.6% Following Analyst Downgrade

HealthStream, Inc. (NASDAQ:HSTM)’s share price traded down 6.6% on Tuesday after Craig Hallum downgraded the stock from a buy rating to a hold rating. Craig Hallum now has a $40.00 price target on the stock. HealthStream traded as low as $33.56 and last traded at $32.2860. 159,033 shares changed hands during mid-day trading, a decline of 36% from the average daily volume of 250,321 shares. The stock had previously closed at $34.58.

HSTM has been the topic of several other research reports. Wall Street Zen upgraded shares of HealthStream from a “hold” rating to a “buy” rating in a report on Saturday, October 31st. Weiss Ratings raised shares of HealthStream from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, October 8th. Freedom Capital upgraded shares of HealthStream to a “hold” rating in a research note on Tuesday, October 13th. Citigroup reiterated a “market perform” rating on shares of HealthStream in a research note on Tuesday, October 27th. Finally, Canaccord Genuity Group lifted their target price on HealthStream from $24.00 to $27.00 and gave the stock a “hold” rating in a research report on Tuesday, July 21st. One investment analyst has rated the stock with a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $36.00.

Insider Buying and Selling

In related news, Director Linda Rebrovick sold 12,000 shares of the business’s stock in a transaction on Friday, October 23rd. The stock was sold at an average price of $35.00, for a total value of $420,000.00. Following the sale, the director owned 39,329 shares of the company’s stock, valued at $1,376,515. The trade was a 23.38% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Robert A. Frist, Jr. sold 144,068 shares of the business’s stock in a transaction on Monday, September 14th. The shares were sold at an average price of $29.50, for a total value of $4,250,006.00. Following the completion of the sale, the chief executive officer directly owned 3,907,038 shares in the company, valued at approximately $115,257,621. This represents a 3.56% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 20.40% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of HSTM. Integrated Wealth Concepts LLC bought a new position in shares of HealthStream in the second quarter valued at approximately $27,000. MassMutual Private Wealth & Trust FSB boosted its holdings in shares of HealthStream by 76.4% in the 2nd quarter. MassMutual Private Wealth & Trust FSB now owns 1,025 shares of the technology company’s stock worth $28,000 after acquiring an additional 444 shares in the last quarter. Global Retirement Partners LLC bought a new stake in HealthStream during the 2nd quarter worth approximately $31,000. Essential Partners LLC bought a new stake in HealthStream during the 1st quarter worth approximately $25,000. Finally, Signaturefd LLC grew its position in HealthStream by 107.9% during the 3rd quarter. Signaturefd LLC now owns 3,194 shares of the technology company’s stock worth $95,000 after acquiring an additional 1,658 shares during the last quarter. 69.58% of the stock is currently owned by institutional investors and hedge funds.

HealthStream Trading Down 8.9%

The stock has a fifty day moving average of $31.20 and a two-hundred day moving average of $25.79. The stock has a market capitalization of $864.91 million, a price-to-earnings ratio of 42.29, a PEG ratio of 3.76 and a beta of 0.45.

HealthStream (NASDAQ:HSTM) last issued its quarterly earnings data on Monday, November 2nd. The technology company reported $0.18 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.16 by $0.02. The firm had revenue of $83.31 million during the quarter, compared to the consensus estimate of $82.24 million. HealthStream had a return on equity of 6.37% and a net margin of 6.25%. Equities analysts expect that HealthStream, Inc. will post 0.72 earnings per share for the current year.

HealthStream Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, November 27th. Stockholders of record on Monday, November 16th will be paid a $0.0350 dividend. The ex-dividend date is Monday, November 16th. This represents a $0.14 dividend on an annualized basis and a dividend yield of 0.5%. HealthStream’s dividend payout ratio (DPR) is 19.44%.

About HealthStream

HealthStream, Inc provides workforce and provider solutions designed for healthcare organizations. Its software and services help hospitals, health systems, medical practices and other healthcare providers manage employee education, training, credentialing, compliance and professional development.

The company’s offerings include learning management and education tools, competency and performance-management solutions, and systems for managing provider credentials, privileging and enrollment.