Waystar (NASDAQ:WAY) Shares Gap Down After Analyst Downgrade

Waystar Holding Corp. (NASDAQ:WAY)’s share price gapped down before the market opened on Tuesday after TD Cowen lowered their price target on the stock from $42.00 to $39.00. The stock had previously closed at $28.14, but opened at $25.43. TD Cowen currently has a buy rating on the stock. Waystar shares last traded at $26.7460, with a volume of 411,770 shares traded.

A number of other equities analysts have also weighed in on the company. UBS Group decreased their price target on Waystar from $37.00 to $33.00 and set a “buy” rating for the company in a research report on Thursday, July 30th. Wolfe Research raised Waystar to an “outperform” rating in a research note on Thursday, August 13th. BMO Capital Markets restated an “outperform” rating on shares of Waystar in a report on Thursday, August 27th. Truist Financial reduced their price objective on shares of Waystar from $38.00 to $33.00 and set a “buy” rating for the company in a research note on Thursday, August 13th. Finally, Citigroup reiterated a “buy” rating on shares of Waystar in a report on Monday, July 20th. Two investment analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat, Waystar has a consensus rating of “Moderate Buy” and an average target price of $35.23.

Insider Buying and Selling at Waystar

In related news, CEO Matthew Hawkins sold 82,500 shares of the company’s stock in a transaction on Tuesday, October 6th. The stock was sold at an average price of $26.23, for a total transaction of $2,163,975.00. Following the transaction, the chief executive officer directly owned 1,804,794 shares of the company’s stock, valued at approximately $47,339,746.62. The trade was a 4.37% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 247,500 shares of company stock worth $6,370,499 in the last quarter. Insiders own 3.50% of the company’s stock.

Institutional Investors Weigh In On Waystar

A number of institutional investors have recently bought and sold shares of WAY. Canada Pension Plan Investment Board acquired a new position in Waystar in the second quarter worth approximately $390,593,000. BlackRock Inc. bought a new position in Waystar during the second quarter valued at approximately $357,950,000. Advent International L.P. bought a new position in Waystar during the second quarter valued at approximately $227,060,000. Jupiter Topco LLC bought a new position in Waystar during the second quarter valued at approximately $58,960,000. Finally, Bank of America Corp DE acquired a new stake in Waystar in the second quarter valued at approximately $53,031,000.

Waystar Price Performance

The company has a debt-to-equity ratio of 0.36, a current ratio of 2.10 and a quick ratio of 1.85. The stock has a market capitalization of $5.56 billion, a price-to-earnings ratio of 41.86, a PEG ratio of 1.08 and a beta of 0.11. The stock’s 50 day simple moving average is $26.38 and its 200-day simple moving average is $23.96.

Waystar (NASDAQ:WAY) last posted its earnings results on Monday, November 2nd. The company reported $0.44 EPS for the quarter, topping the consensus estimate of $0.41 by $0.03. The company had revenue of $325.62 million during the quarter, compared to the consensus estimate of $323.43 million. Waystar had a net margin of 10.70% and a return on equity of 6.91%. The company’s revenue for the quarter was up 21.2% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.37 earnings per share. On average, analysts expect that Waystar Holding Corp. will post 1.47 EPS for the current fiscal year.

Waystar Company Profile

Waystar Holding Corp. is a healthcare technology company that provides cloud-based software designed to simplify administrative and financial processes across the healthcare industry. Its platform connects healthcare providers, health plans and patients, helping organizations manage revenue cycle operations and improve the flow of information and payments.

The company’s products and services include electronic claims management, eligibility and benefits verification, prior authorization, payment integrity, denial management, patient estimates and payments, billing automation, and healthcare analytics.