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HealthStream Inc (HSTM)

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Upturn Advisory Summary
01/09/2026: HSTM (1-star) is currently NOT-A-BUY. Pass it for now.
1 Year Target Price $32.5
1 Year Target Price $32.5
| 2 | Strong Buy |
| 0 | Buy |
| 3 | Hold |
| 0 | Sell |
| 0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit -10.87% | Avg. Invested days 53 | Today’s Advisory PASS |
Upturn Star Rating ![]() | Upturn Advisory Performance | Stock Returns Performance |
Key Highlights
Company Size Small-Cap Stock | Market Capitalization 661.60M USD | Price to earnings Ratio 32.79 | 1Y Target Price 32.5 |
Price to earnings Ratio 32.79 | 1Y Target Price 32.5 | ||
Volume (30-day avg) 5 | Beta 0.42 | 52 Weeks Range 21.99 - 34.09 | Updated Date 01/9/2026 |
52 Weeks Range 21.99 - 34.09 | Updated Date 01/9/2026 | ||
Dividends yield (FY) 0.53% | Basic EPS (TTM) 0.68 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 6.93% | Operating Margin (TTM) 9.9% |
Management Effectiveness
Return on Assets (TTM) 2.81% | Return on Equity (TTM) 5.87% |
Valuation
Trailing PE 32.79 | Forward PE 30.58 | Enterprise Value 597651116 | Price to Sales(TTM) 2.22 |
Enterprise Value 597651116 | Price to Sales(TTM) 2.22 | ||
Enterprise Value to Revenue 2 | Enterprise Value to EBITDA 9.13 | Shares Outstanding 29668137 | Shares Floating 23702171 |
Shares Outstanding 29668137 | Shares Floating 23702171 | ||
Percent Insiders 18.82 | Percent Institutions 73.88 |
Upturn AI SWOT
HealthStream Inc

Company Overview
History and Background
HealthStream Inc. was founded in 1997. It has evolved into a leading provider of learning management, talent management, and patient experience solutions for the healthcare industry. A significant milestone was its transition to a public company and subsequent acquisitions that expanded its service offerings and market reach.
Core Business Areas
- Healthcare Workforce Solutions: Provides cloud-based solutions for healthcare organizations to manage and develop their workforce. This includes learning management systems (LMS), credentialing, and performance management tools designed to improve staff competency, compliance, and engagement.
- Patient Experience Solutions: Offers solutions aimed at improving the patient journey and satisfaction. This encompasses patient feedback collection, analysis, and service recovery tools to enhance communication, care, and overall patient outcomes.
Leadership and Structure
HealthStream Inc. is led by a management team with extensive experience in healthcare and technology. The organizational structure is designed to support its core business segments, with dedicated teams for product development, sales, customer success, and operations. Key leadership roles typically include a CEO, CFO, COO, and heads of various business units.
Top Products and Market Share
Key Offerings
- HealthStream Learning Center (HLC): A comprehensive learning management system designed for healthcare organizations to deliver, track, and manage employee training and compliance. It offers a vast library of content and robust administrative tools. Competitors include Cornerstone OnDemand, Workday Learning, and other specialized healthcare LMS providers. Market share data is not publicly disclosed but is considered a leading solution in its niche.
- HealthStream Credentialing: A solution that automates and streamlines the process of credentialing and privileging healthcare professionals, ensuring compliance and reducing administrative burden. Competitors include symplr, VerityStream, and other healthcare credentialing software providers. Market share data is not publicly disclosed.
- HealthStream Patient Experience: A suite of tools for collecting and analyzing patient feedback, identifying service improvement opportunities, and facilitating service recovery. This includes surveys, reporting, and action planning modules. Competitors include Press Ganey, NRC Health, and Qualtrics. Market share data is not publicly disclosed but is a significant player in the patient experience measurement space.
Market Dynamics
Industry Overview
The healthcare technology market, particularly in areas of workforce management and patient experience, is characterized by rapid innovation, increasing regulatory scrutiny, and a strong focus on improving operational efficiency and patient outcomes. There is a growing demand for integrated solutions that can address multiple needs of healthcare providers.
Positioning
HealthStream Inc. is positioned as a specialized provider of cloud-based solutions tailored for the unique needs of the healthcare industry. Its competitive advantages lie in its deep understanding of healthcare workflows, a comprehensive suite of integrated products, and a strong customer base within hospitals and health systems.
Total Addressable Market (TAM)
The TAM for healthcare workforce management and patient experience solutions is substantial and growing, driven by the increasing complexity of healthcare delivery, staffing shortages, and the emphasis on patient satisfaction. HealthStream Inc. addresses a significant portion of this TAM through its targeted offerings, particularly within the US healthcare provider segment. Specific TAM figures are dynamic and depend on the precise definition of the market segment.
Upturn SWOT Analysis
Strengths
- Deep domain expertise in the healthcare industry.
- Comprehensive and integrated suite of solutions.
- Strong customer relationships and brand recognition.
- Scalable cloud-based platform.
- Established content library for compliance and professional development.
Weaknesses
- Reliance on the healthcare industry, which can be subject to regulatory changes.
- Potential for integration challenges with legacy systems.
- Competition from larger, more diversified technology companies.
- Perceived as a niche player by some broader market analysts.
Opportunities
- Expansion into adjacent healthcare segments (e.g., payers, life sciences).
- Leveraging AI and advanced analytics to enhance product offerings.
- Further international market penetration.
- Strategic partnerships and acquisitions to broaden capabilities.
- Increased demand for talent management and retention solutions in healthcare.
Threats
- Increasing competition from established and emerging players.
- Data security and privacy concerns in healthcare.
- Changes in healthcare regulations and reimbursement models.
- Economic downturns impacting healthcare IT spending.
- Rapid technological advancements by competitors.
Competitors and Market Share
Key Competitors
- Cornerstone OnDemand Inc. (CSOD)
- Workday Inc. (WDAY)
- Cerner Corporation (now part of Oracle)
- Epic Systems (privately held, therefore no ticker)
- Press Ganey Holdings, Inc. (PGND - acquired and delisted, but historically a competitor)
- Qualtrics International Inc. (XM)
Competitive Landscape
HealthStream's advantage lies in its focused approach to healthcare. While competitors like Workday and Cornerstone offer broader HR solutions, HealthStream's specialized content and understanding of healthcare compliance and workflows provide a distinct edge. However, larger players have greater resources for R&D and sales, and the patient experience market is highly competitive with established players like Press Ganey (historically) and Qualtrics.
Major Acquisitions
Forsee International
- Year: 2017
- Acquisition Price (USD millions):
- Strategic Rationale: Acquisition of Forsee, a provider of patient experience measurement and analytics solutions, to bolster HealthStream's patient experience offerings and expand its customer base in that segment.
Syndesi
- Year: 2021
- Acquisition Price (USD millions):
- Strategic Rationale: Acquisition of Syndesi, a leader in physician and provider credentialing and enrollment, to enhance HealthStream's credentialing and privileging solutions.
Growth Trajectory and Initiatives
Historical Growth: HealthStream has shown consistent historical revenue growth, largely attributable to its recurring revenue model and successful expansion of its product and service offerings through both organic development and strategic acquisitions.
Future Projections: Analyst projections generally anticipate continued revenue growth for HealthStream, driven by the ongoing adoption of its solutions in the healthcare sector and its ability to cross-sell services to its existing customer base. Growth is expected to be supported by market trends favoring digital transformation in healthcare.
Recent Initiatives: Recent initiatives have likely focused on enhancing its cloud-based platform, expanding its content libraries, integrating acquired technologies, and leveraging data analytics to provide deeper insights to its customers. Investments in sales and marketing to expand market reach are also probable.
Summary
HealthStream Inc. is a well-established player in the healthcare technology market, offering specialized solutions for workforce development and patient experience. The company benefits from deep industry expertise and a recurring revenue model, leading to consistent growth. Its primary challenge is navigating intense competition and the evolving regulatory landscape of the healthcare sector, requiring continuous innovation and strategic expansion.
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Sources and Disclaimers
Data Sources:
- Company SEC Filings (10-K, 10-Q)
- Investor Relations Websites
- Financial News and Analysis Platforms (e.g., Yahoo Finance, Bloomberg)
- Industry Reports and Market Research
Disclaimers:
This analysis is based on publicly available information and is for informational purposes only. It does not constitute financial advice. Market share data is estimated and may not be precise. Users should conduct their own due diligence before making any investment decisions.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About HealthStream Inc
Exchange NASDAQ | Headquaters Nashville, TN, United States | ||
IPO Launch date 2000-04-05 | Co-Founder, Chairman of the Board & CEO Mr. Robert A. Frist Jr. | ||
Sector Healthcare | Industry Health Information Services | Full time employees 1083 | Website https://www.healthstream.com |
Full time employees 1083 | Website https://www.healthstream.com | ||
HealthStream, Inc. provides Software-as-a-Service (SaaS) based applications for healthcare organizations in the United States. The company offers hStream, a technology platform; CredentialStream, provides healthcare organizations with tools to support the provider lifecycle management from recruiting, application submission, verification of licensure and other credentials, privileging, appointments by credentialing committees, enrollment, network, management, onboarding, and performance evaluations of providers; ShiftWizard; and Competency Suite, AI/ML-driven clinical competency development system. Its solutions help healthcare organizations in meeting their ongoing clinical development, talent management, training, education, assessment, competency management, safety and compliance, and scheduling, as well as provider credentialing, privileging, and enrollment needs. The company serves its products to healthcare industry, including private, not-for-profit, and government entities, as well as pharmaceutical and medical device companies, and nursing schools and students. The company was incorporated in 1990 and is headquartered in Nashville, Tennessee.

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