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Investing.com - Truist Securities raised its price target on Phreesia Inc. (NYSE:PHR) to $36.00 from $35.00 on Monday, while maintaining a Buy rating on the healthcare software company’s stock. The new target represents potential upside from the current price of $27.69, with InvestingPro data showing the stock has pulled back 11.15% in the past week.
The price target increase reflects Truist’s updated financial projections for Phreesia, with fiscal year 2026 and 2027 EBITDA estimates now at $90 million and $110 million, respectively, compared to previous estimates of $88 million and $101 million.
Truist’s revenue projections for Phreesia remain largely unchanged, with fiscal year 2026 and 2027 revenue estimates at $477 million and $539 million, respectively, compared to previous estimates of $478 million and $539 million.
The firm noted that its estimates do not include any potential contribution from Phreesia’s possible acquisition of AccessOne, which has not been finalized.
Truist’s new price target is based on 16 times its calendar year 2027 adjusted EBITDA estimate, representing a methodological shift from its previous approach of using 20 times calendar year 2026 adjusted EBITDA.
In other recent news, Phreesia Inc . announced its largest acquisition to date, purchasing AccessOne for $160 million. This strategic move is expected to add approximately $35 million in annual revenue and $11 million in EBITDA, with the deal anticipated to close in the second half of fiscal year 2026. Following this announcement, Citizens JMP raised its price target for Phreesia to $34, maintaining a Market Outperform rating, while Raymond James increased its target to $33, also maintaining an Outperform rating. Meanwhile, Canaccord Genuity raised its price target to $38, citing an expanded total addressable market (TAM) for Phreesia, which has grown significantly due to AccessOne’s offerings.
In addition, Truist Securities reiterated its Sell rating on Phreesia, updating its financial projections with increased EBITDA estimates for FY26/27 to $90 million and $110 million, respectively. DA Davidson also assumed coverage of Phreesia with a Buy rating and a price target of $33, highlighting that the company’s revenue and adjusted EBITDA exceeded consensus expectations. These developments reflect a range of analyst perspectives on Phreesia’s financial outlook and strategic growth initiatives.
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