HealthStream
HSTMNASDAQUSD
- Source valuation snapshot. Not a live recalculation.
- Latest filed annual earnings; price snapshot date unavailable. Not forward P/E.
- Diluted earnings per share from the latest filed annual.
- $28.71 Prior regular-session close from the quote source.
- $28.00–$29.08 Regular-session low and high so far today.
- 282.0K Regular-session shares traded · Nov 11, 4:00 PM ET.
- Feb 22 projected Projected for 2027-02-22 from the company’s own results filings (SEC 8-K Item 2.02). The company has not confirmed the date.
- $19.50–$35.61 52-week trading low and high returned by the quote source.
Understand the Business
Why the Stock Moved
Period-matched expectations history is not yet available. Current metrics are not a substitute for a historical explanation.
The core investment thesis
Own HSTM if growth, retention and margin expansion justify a premium multiple.
HSTM price history
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Investment thesis
What must happen next
A predominantly recurring subscription and services model with high customer retention converts revenue growth into reliable operating cash flow, sustaining free-cash-flow generation.StrengtheningMateriality: High
operating_cash_flow = 63,319,000 USD (annual, period_end 2025) — a multi-year increase from 51,188,000 USD (2022). If true, HealthStream can fund operations, buybacks or bolt-on M&A from internal cash; if false (renewals fall), revenue becomes volatile and cash flow will decline.
Watch: Large health systems consolidate HR/LMS suppliers and migrate training to an integrated vendor (e.g., Workday/Oracle) reducing renewals.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
operating_cash_flow = 63,319,000 USD (annual, period_end 2025) — a multi-year increase from 51,188,000 USD (2022).
Open source ↗Scale in software delivery and proprietary content produces operating leverage: modest revenue growth should continue to flow through into higher operating income and improved operating_margin absent a change in cost mix or dilutive M&A.StrengtheningMateriality: High
operating_income = 20,236,000 USD (annual, period_end 2025), up from 12,449,000 USD in FY2022 while revenue increased over the same period. Operating leverage will expand margins and EPS; if lost (higher SG&A, delivery costs, or dilutive acquisitions), earnings and cash conversion will lag revenue.
Watch: Management ramps sales/marketing or invests heavily in new product lines without immediate payback (compressing operating leverage).
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
operating_income = 20,236,000 USD (annual, period_end 2025), up from 12,449,000 USD in FY2022 while revenue increased over the same period.
Open source ↗Strong operating cash flow and a solid balance sheet give management optionality to return capital or pursue disciplined bolt-on acquisitions, which can increase per-share value if execution is disciplined.HoldingMateriality: Medium
cash = 36,161,000 USD (instant, period_end 2025) with operating_cash_flow = 63,319,000 USD in FY2025. Prudent use of FCF lifts EPS and shareholder returns; poor acquisitions or dilution undo value even with good cash flow.
Watch: Management funds aggressive, value-destructive M&A or issues shares to acquire growth.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
cash = 36,161,000 USD (instant, period_end 2025) with operating_cash_flow = 63,319,000 USD in FY2025.
Open source ↗
Full investment case & evidence
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Original research
A predominantly recurring subscription and services model with high customer retention converts revenue growth into reliable operating cash flow, sustaining free-cash-flow generation. If true, HealthStream can fund operations, buybacks or bolt-on M&A from internal cash; if false (renewals fall), revenue becomes volatile and cash flow will decline.
Scale in software delivery and proprietary content produces operating leverage: modest revenue growth should continue to flow through into higher operating income and improved operating_margin absent a change in cost mix or dilutive M&A. Operating leverage will expand margins and EPS; if lost (higher SG&A, delivery costs, or dilutive acquisitions), earnings and cash conversion will lag revenue.
Strong operating cash flow and a solid balance sheet give management optionality to return capital or pursue disciplined bolt-on acquisitions, which can increase per-share value if execution is disciplined. Prudent use of FCF lifts EPS and shareholder returns; poor acquisitions or dilution undo value even with good cash flow.
All standing thesis claims
Original report summary
growth, retention and margin expansion justify a premium multiple.
Bull case and bear case
Bull case and bear case for Healthstream
Where the evidence on Healthstream stands: Holding on the latest evidence (Nov 7, 2026). Of its 3 thesis points, 2 strengthening and 1 holding.
Bull case: what the evidence supports
A predominantly recurring subscription and services model with high customer retention converts revenue growth into reliable operating cash flow, sustaining free-cash-flow generation.
Scale in software delivery and proprietary content produces operating leverage: modest revenue growth should continue to flow through into higher operating income and improved operating_margin absent a change in cost mix or dilutive M&A.
Strong operating cash flow and a solid balance sheet give management optionality to return capital or pursue disciplined bolt-on acquisitions, which can increase per-share value if execution is disciplined.
Bear case: what would count against it
Large health systems consolidate HR/LMS suppliers and migrate training to an integrated vendor (e.g., Workday/Oracle) reducing renewals.
Management ramps sales/marketing or invests heavily in new product lines without immediate payback (compressing operating leverage).
Management funds aggressive, value-destructive M&A or issues shares to acquire growth.
Thesis-Break Engine
What has broken in Healthstream’s thesis
Each break OptimistFi flagged on Healthstream, dated — with what has historically followed the same kind of break across the market, not a forecast for Healthstream.
- Insider-selling clustercondition set before this filing
Across all companies, this kind of break has happened 9,137 times before. Those stocks beat comparable companies by a median of 1% over the next six months, and 30% of them trailed it by 10 points or more.
MARKET + FINANCIAL SNAPSHOT
The numbers behind the thesis
What Changed
- MixedReported results of operations (earnings release).
Healthstream filed an SEC 8-K on 2026-11-02: Reported results of operations (earnings release). It is a dated development that tests the current thesis.
- MixedDirector or principal officer change.
Healthstream filed an SEC 8-K on 2026-09-23: Director or principal officer change. It is a dated development that tests the current thesis.
- MixedEntered a material definitive agreement.
Healthstream filed an SEC 8-K on 2026-09-15: Entered a material definitive agreement. It is a dated development that tests the current thesis.
Risks / falsifiers
What could break the thesis
- Large health systems consolidate HR/LMS suppliers and migrate training to an integrated vendor (e.g., Workday/Oracle) reducing renewals.
- Management ramps sales/marketing or invests heavily in new product lines without immediate payback (compressing operating leverage).
- Management funds aggressive, value-destructive M&A or issues shares to acquire growth.
HSTM news
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Financial statements
HSTM income statement
Annual filed results · USD · Oldest to newest. Margins are calculated from the reported figures.
HSTM: quick answers
- When does Healthstream (HSTM) report earnings next?
- Healthstream's next results are projected for February 22, 2027, from the dates of its own results filings with the SEC. The company has not confirmed the date. It last reported on November 2, 2026. Earnings calendar
- What is HSTM's short interest?
- As of October 30, 2026, 1.2M HSTM shares were sold short, 3.85% of its shares outstanding, down 6.2% from the count before. At the stock's average daily volume that is 7.0 days to cover. FINRA publishes the count twice a month. HSTM short interest history
- Have members of Congress traded HSTM?
- 4 trades in HSTM have been disclosed under the STOCK Act by members of Congress, the President or senior officials, none in reports made public in the last 90 days. Every disclosed HSTM trade