HealthStream Inc. Common Stock (HSTM)

FairStock Score: 33/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for businesses that earn high returns on capital, convert sales into cash, and sell at a sensible price. HealthStream is a healthcare SaaS company serving provider credentialing and training workflows. The recurring nature and regulatory complexity may create some stickiness, but the economics are not extraordinary. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $83.7M and net income was $6.7M, with diluted EPS of $0.23, up from revenue of $74.4M and net income of $5.4M in fiscal Q2 2025. For FY2025, the period ended 2025-12-31, revenue was $304.1M versus $291.6M in FY2024, while net income slipped to $18.3M from $20.0M. So growth is moderate and profit margins are thin.

In plain English: HealthStream sells software to healthcare organizations, mainly for managing provider credentials and training. The business looks financially solid with little debt and rising sales, but profits are modest and the stock price looks high compared with those profits and the net assets on its books. It does not look like a bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer