HEALTHSTREAM INC (HSTM) Stock Fundamental Analysis

NASDAQ:HSTM • US42222N1037

21.23 USD
-0.1 (-0.47%)
At close: Feb 27, 2026
21.23 USD
0 (0%)
After Hours: 2/27/2026, 4:30:02 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

HSTM gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 35 industry peers in the Health Care Technology industry. While HSTM belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. HSTM is valued correctly, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • HSTM had positive earnings in the past year.
  • HSTM had a positive operating cash flow in the past year.
  • Of the past 5 years HSTM 4 years were profitable.
  • Of the past 5 years HSTM 4 years had a positive operating cash flow.
HSTM Yearly Net Income VS EBIT VS OCF VS FCFHSTM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M

1.2 Ratios

  • With an excellent Return On Assets value of 4.14%, HSTM belongs to the best of the industry, outperforming 94.29% of the companies in the same industry.
  • With an excellent Return On Equity value of 5.93%, HSTM belongs to the best of the industry, outperforming 94.29% of the companies in the same industry.
  • HSTM's Return On Invested Capital of 4.73% is fine compared to the rest of the industry. HSTM outperforms 77.14% of its industry peers.
  • HSTM had an Average Return On Invested Capital over the past 3 years of 3.49%. This is below the industry average of 6.63%.
  • The last Return On Invested Capital (4.73%) for HSTM is above the 3 year average (3.49%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 4.14%
ROE 5.93%
ROIC 4.73%
ROA(3y)3.13%
ROA(5y)2.68%
ROE(3y)4.55%
ROE(5y)3.92%
ROIC(3y)3.49%
ROIC(5y)3.11%
HSTM Yearly ROA, ROE, ROICHSTM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2 4 6 8 10

1.3 Margins

  • HSTM has a Profit Margin of 6.93%. This is amongst the best in the industry. HSTM outperforms 91.43% of its industry peers.
  • HSTM's Profit Margin has improved in the last couple of years.
  • HSTM's Operating Margin of 7.54% is fine compared to the rest of the industry. HSTM outperforms 80.00% of its industry peers.
  • In the last couple of years the Operating Margin of HSTM has grown nicely.
  • HSTM has a Gross Margin of 65.35%. This is comparable to the rest of the industry: HSTM outperforms 60.00% of its industry peers.
  • HSTM's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 7.54%
PM (TTM) 6.93%
GM 65.35%
OM growth 3Y32.25%
OM growth 5Y4.76%
PM growth 3Y44.8%
PM growth 5Y1.98%
GM growth 3Y0.96%
GM growth 5Y2.36%
HSTM Yearly Profit, Operating, Gross MarginsHSTM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), HSTM is destroying value.
  • HSTM has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
HSTM Yearly Shares OutstandingHSTM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 10M 20M 30M
HSTM Yearly Total Debt VS Total AssetsHSTM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M 500M

2.2 Solvency

  • An Altman-Z score of 3.69 indicates that HSTM is not in any danger for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 3.69, HSTM is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
  • HSTM has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 3.69
ROIC/WACC0.51
WACC9.27%
HSTM Yearly LT Debt VS Equity VS FCFHSTM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M

2.3 Liquidity

  • A Current Ratio of 1.31 indicates that HSTM should not have too much problems paying its short term obligations.
  • With a Current ratio value of 1.31, HSTM is not doing good in the industry: 68.57% of the companies in the same industry are doing better.
  • A Quick Ratio of 1.31 indicates that HSTM should not have too much problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 1.31, HSTM is doing worse than 68.57% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.31
Quick Ratio 1.31
HSTM Yearly Current Assets VS Current LiabilitesHSTM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • HSTM shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.06%.
  • The Earnings Per Share has been growing by 16.23% on average over the past years. This is quite good.
EPS 1Y (TTM)6.06%
EPS 3Y21.53%
EPS 5Y16.23%
EPS Q2Q%12.5%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%7.38%

3.2 Future

  • Based on estimates for the next years, HSTM will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.41% on average per year.
  • The Revenue is expected to grow by 4.81% on average over the next years.
EPS Next Y11.03%
EPS Next 2Y16.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.89%
Revenue Next 2Y4.87%
Revenue Next 3Y4.19%
Revenue Next 5Y4.81%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
HSTM Yearly Revenue VS EstimatesHSTM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 100M 200M 300M 400M
HSTM Yearly EPS VS EstimatesHSTM Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0.2 0.4 0.6 0.8

More info and screens

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4

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 30.33 indicates a quite expensive valuation of HSTM.
  • 71.43% of the companies in the same industry are more expensive than HSTM, based on the Price/Earnings ratio.
  • When comparing the Price/Earnings ratio of HSTM to the average of the S&P500 Index (27.11), we can say HSTM is valued inline with the index average.
  • Based on the Price/Forward Earnings ratio of 27.31, the valuation of HSTM can be described as expensive.
  • HSTM's Price/Forward Earnings ratio is in line with the industry average.
  • HSTM's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.13.
Industry RankSector Rank
PE 30.33
Fwd PE 27.31
HSTM Price Earnings VS Forward Price EarningsHSTM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, HSTM is valued cheaply inside the industry as 88.57% of the companies are valued more expensively.
  • Based on the Price/Free Cash Flow ratio, HSTM is valued a bit cheaper than 68.57% of the companies in the same industry.
Industry RankSector Rank
P/FCF 21.68
EV/EBITDA 7.66
HSTM Per share dataHSTM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8 10

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • The decent profitability rating of HSTM may justify a higher PE ratio.
  • A more expensive valuation may be justified as HSTM's earnings are expected to grow with 16.41% in the coming years.
PEG (NY)2.75
PEG (5Y)1.87
EPS Next 2Y16.41%
EPS Next 3YN/A

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. Dividend

5.1 Amount

  • With a yearly dividend of 0.59%, HSTM is not a good candidate for dividend investing.
  • HSTM's Dividend Yield is rather good when compared to the industry average which is at 0.59. HSTM pays more dividend than 91.43% of the companies in the same industry.
  • With a Dividend Yield of 0.59, HSTM pays less dividend than the S&P500 average, which is at 1.80.
Industry RankSector Rank
Dividend Yield 0.59%

5.2 History

  • On average, the dividend of HSTM grows each year by 126.03%, which is quite nice.
  • HSTM has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)126.03%
Div Incr Years1
Div Non Decr Years1
HSTM Yearly Dividends per shareHSTM Yearly Dividends per shareYearly Dividends per share 2023 2024 2025 0.02 0.04 0.06 0.08 0.1

5.3 Sustainability

  • 17.69% of the earnings are spent on dividend by HSTM. This is a low number and sustainable payout ratio.
  • The dividend of HSTM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP17.69%
EPS Next 2Y16.41%
EPS Next 3YN/A
HSTM Yearly Income VS Free CF VS DividendHSTM Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 10M 20M 30M
HSTM Dividend Payout.HSTM Dividend Payout, showing the Payout Ratio.HSTM Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

HEALTHSTREAM INC

NASDAQ:HSTM (2/27/2026, 4:30:02 PM)

After market: 21.23 0 (0%)

21.23

-0.1 (-0.47%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)02-23
Earnings (Next)05-04
Inst Owners73.96%
Inst Owner Change-1.97%
Ins Owners18.69%
Ins Owner Change-22.51%
Market Cap629.89M
Revenue(TTM)N/A
Net Income(TTM)20.70M
Analysts78.18
Price Target33.15 (56.15%)
Short Float %3.98%
Short Ratio3.31
Dividend
Industry RankSector Rank
Dividend Yield 0.59%
Yearly Dividend0.11
Dividend Growth(5Y)126.03%
DP17.69%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.27%
Min EPS beat(2)11.41%
Max EPS beat(2)13.12%
EPS beat(4)3
Avg EPS beat(4)6.14%
Min EPS beat(4)-12.02%
Max EPS beat(4)13.12%
EPS beat(8)7
Avg EPS beat(8)23.32%
EPS beat(12)11
Avg EPS beat(12)28.45%
EPS beat(16)15
Avg EPS beat(16)69.02%
Revenue beat(2)0
Avg Revenue beat(2)-1.34%
Min Revenue beat(2)-1.96%
Max Revenue beat(2)-0.73%
Revenue beat(4)0
Avg Revenue beat(4)-1.89%
Min Revenue beat(4)-3.85%
Max Revenue beat(4)-0.73%
Revenue beat(8)0
Avg Revenue beat(8)-2.28%
Revenue beat(12)0
Avg Revenue beat(12)-2.02%
Revenue beat(16)0
Avg Revenue beat(16)-2.2%
PT rev (1m)0%
PT rev (3m)-4.41%
EPS NQ rev (1m)-16.67%
EPS NQ rev (3m)-35.29%
EPS NY rev (1m)-2.76%
EPS NY rev (3m)-4.66%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.21%
Valuation
Industry RankSector Rank
PE 30.33
Fwd PE 27.31
P/S 2.11
P/FCF 21.68
P/OCF 10.28
P/B 1.8
P/tB 9.47
EV/EBITDA 7.66
EPS(TTM)0.7
EY3.3%
EPS(NY)0.78
Fwd EY3.66%
FCF(TTM)0.98
FCFY4.61%
OCF(TTM)2.07
OCFY9.73%
SpS10.06
BVpS11.77
TBVpS2.24
PEG (NY)2.75
PEG (5Y)1.87
Graham Number13.61
Profitability
Industry RankSector Rank
ROA 4.14%
ROE 5.93%
ROCE 5.81%
ROIC 4.73%
ROICexc 6.22%
ROICexgc 150.89%
OM 7.54%
PM (TTM) 6.93%
GM 65.35%
FCFM 9.73%
ROA(3y)3.13%
ROA(5y)2.68%
ROE(3y)4.55%
ROE(5y)3.92%
ROIC(3y)3.49%
ROIC(5y)3.11%
ROICexc(3y)4.37%
ROICexc(5y)3.79%
ROICexgc(3y)138.4%
ROICexgc(5y)96.34%
ROCE(3y)4.28%
ROCE(5y)3.82%
ROICexgc growth 3Y117.94%
ROICexgc growth 5Y39.14%
ROICexc growth 3Y43.44%
ROICexc growth 5Y0.56%
OM growth 3Y32.25%
OM growth 5Y4.76%
PM growth 3Y44.8%
PM growth 5Y1.98%
GM growth 3Y0.96%
GM growth 5Y2.36%
F-Score7
Asset Turnover0.6
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 75.11%
Cap/Sales 10.79%
Interest Coverage 250
Cash Conversion 93.68%
Profit Quality 140.41%
Current Ratio 1.31
Quick Ratio 1.31
Altman-Z 3.69
F-Score7
WACC9.27%
ROIC/WACC0.51
Cap/Depr(3y)67.52%
Cap/Depr(5y)66.74%
Cap/Sales(3y)9.7%
Cap/Sales(5y)9.33%
Profit Quality(3y)199.85%
Profit Quality(5y)202.88%
High Growth Momentum
Growth
EPS 1Y (TTM)6.06%
EPS 3Y21.53%
EPS 5Y16.23%
EPS Q2Q%12.5%
EPS Next Y11.03%
EPS Next 2Y16.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%7.38%
Revenue Next Year4.89%
Revenue Next 2Y4.87%
Revenue Next 3Y4.19%
Revenue Next 5Y4.81%
EBIT growth 1Y7.99%
EBIT growth 3Y38%
EBIT growth 5Y7.69%
EBIT Next Year229.22%
EBIT Next 3Y56.59%
EBIT Next 5YN/A
FCF growth 1Y-5.41%
FCF growth 3Y20.1%
FCF growth 5Y0.25%
OCF growth 1Y5.18%
OCF growth 3Y10.8%
OCF growth 5Y-2.57%

HEALTHSTREAM INC / HSTM FAQ

What is the fundamental rating for HSTM stock?

ChartMill assigns a fundamental rating of 5 / 10 to HSTM.


What is the valuation status for HSTM stock?

ChartMill assigns a valuation rating of 4 / 10 to HEALTHSTREAM INC (HSTM). This can be considered as Fairly Valued.


What is the profitability of HSTM stock?

HEALTHSTREAM INC (HSTM) has a profitability rating of 7 / 10.


Can you provide the PE and PB ratios for HSTM stock?

The Price/Earnings (PE) ratio for HEALTHSTREAM INC (HSTM) is 30.33 and the Price/Book (PB) ratio is 1.8.


What is the earnings growth outlook for HEALTHSTREAM INC?

The Earnings per Share (EPS) of HEALTHSTREAM INC (HSTM) is expected to grow by 11.03% in the next year.