# HealthStream Inc. (HSTM) fundamentals

Data as of 2026-09-08. NASDAQ, United States. Sector: Healthcare / Health Care Providers & Services. Price $29.20, market value $854 million.

## Valuation
- **P/E (trailing): 40.6×** (5-yr avg 69.2×, 3-yr avg 46.3×). HealthStream Inc. trades at 40.6× trailing earnings, well below its own five-year average of 69.2×: cheap by its own standards. The Healthcare median in the September 2026 study was 28.5×. Forward P/E is 33.0×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 2.7×**. Each dollar of revenue is priced at 2.7×.
- **Price / book: 2.4×**. The shares trade at 2.4× book value; book value is a meaningful part of the valuation.
- **Free-cash-flow yield: 8.2%** (5-yr avg 6.7%). Free cash flow equals 8.2% of the market value, above its five-year average of 6.7%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 2.5%**. The inverse of the P/E: 2.5% of the price is earned each year.

## Profitability
- **Operating margin: 8.0%**. 8.0% of revenue is left after running the business.
- **Net margin: 6.0%**. 6.0% of each dollar of sales reaches the bottom line.
- **Return on equity: 5.2%**. 5.2% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on assets: 4.1%**. Each dollar of assets produces 4.1% of profit.

## Growth
- **Revenue growth (1 yr): 4.3%** (3-yr 4.5%/yr, 5-yr 4.4%/yr). Revenue grew 4.3% over the last year, against 4.4% a year compounded over five years.
- **EPS growth (1 yr): -7.6%** (3-yr 16.1%/yr, 5-yr 6.8%/yr). Earnings per share fell 7.6%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 6.5%/yr**. Free cash flow has compounded at 6.5% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Current ratio: 0.96** (quick 0.96). Current liabilities exceed current assets, so the company depends on ongoing cash generation or refinancing to pay the next year's bills.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 0.47%** ($0.13 per share, trailing). HealthStream Inc. yields 0.47%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 20%** (6% of free cash flow). 20% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 3**. 3 straight years of increases.

## Analyst view
- **Analyst consensus: buy** (2 analysts). 2 analysts cover HealthStream Inc.; the consensus is buy, with an average price target of $34.50 (+18% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 4.0%** (YTD 27.0%, 3-mo 15.7%). The shares are up 4.0% over twelve months including dividends.
- **From 52-week high: -6.1%** (49.7% above the low). Trading 6% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 54**. An RSI of 54 is neutral.
- **Beta (1 yr): 0.31** (volatility 33%). Beta of 0.31 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=HSTM · Page: https://foliofundamentals.com/stocks/hstm

Not investment advice.