How are energy investors positioned?
Investing.com - KeyBanc Capital Markets has reiterated its Overweight rating and $35.00 price target on Phreesia Inc . (NYSE:PHR), which currently trades at $28.76, ahead of the company’s fiscal second-quarter earnings report scheduled for September 4. According to InvestingPro data, the stock is trading near its 52-week high of $30.53, with a market capitalization of $1.71 billion.
The investment firm highlighted several growth catalysts for the digital health platform, noting Phreesia has made progress in signing large specialty provider networks, particularly in behavioral health, women’s health, and orthopedics groups. This expansion aligns with the company’s impressive revenue growth of 16.29% over the last twelve months, maintaining a robust gross profit margin of 68.02%.
KeyBanc emphasized these customer wins are significant for Phreesia’s multipronged platform, benefiting both front-end revenue streams from patient-facing software subscriptions and payments, as well as back-end revenue from pharmaceutical digital advertising campaigns for specialty branded medications.
The firm’s $35 price target represents approximately 22% upside potential from current levels, with KeyBanc describing Phreesia as one of its top "GARP-y" (Growth At Reasonable Price) names within its healthcare information technology coverage universe.
KeyBanc has analyzed potential revenue opportunities from these customer wins while adjusting near-term estimates ahead of Phreesia’s upcoming earnings announcement.
In other recent news, Phreesia has announced a five-year collaboration with Sesame Workshop to deliver health education to parents during medical visits, utilizing beloved Sesame Street characters. This initiative will begin in October, using Phreesia’s digital platform to engage parents with educational content. On the financial front, Phreesia has received attention from several analyst firms. JPMorgan reiterated its overweight rating on Phreesia, citing confidence in the company’s growth prospects through fiscal year 2026. DA Davidson maintained its Buy rating with a price target of $34, noting improvements in per-client economics and potential for profit growth despite some challenges in the Network Solutions segment. Canaccord Genuity adjusted its price target for Phreesia to $34 from $35 while maintaining a Buy rating, following a first-quarter earnings report that showed a 16% growth rate in the Subscription and services segment. Raymond (NSE:RYMD) James also maintained an Outperform rating with a $30 price target, highlighting Phreesia’s modest revenue growth and stronger-than-expected margins. The firm’s analysts project significant financial growth for Phreesia in the coming years, with expectations for adjusted EBITDA and free cash flow in fiscal year 2029.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.