Health Catalyst executive sells $8,397 in company stock

SALT LAKE CITY, UT – Health Catalyst , Inc. (NASDAQ:HCAT) reported that Chief People Officer, Linda Llewelyn, sold 1,290 shares of company stock on July 15, 2024, at a price of $6.51 per share, totaling $8,397. The transaction was disclosed in a recent filing with the Securities and Exchange Commission.

The sale was conducted under a 10b5-1 trading plan, which allows company insiders to set up a predetermined plan to sell stocks at a time when they are not in possession of material non-public information. This mechanism is designed to prevent insider trading or the perception of unfair advantage.

Following the transaction, Llewelyn still owns 119,864 shares of Health Catalyst stock, indicating continued vested interest in the company's performance. The sale represents a minor adjustment to her holdings, suggesting a rebalancing rather than a shift in confidence regarding the company's future prospects.

Health Catalyst, Inc., headquartered in South Jordan, Utah, operates within the healthcare sector, providing data and analytics technology and services to healthcare organizations.

Investors and market watchers often pay close attention to insider sales as they can provide insights into executives' perspectives on the firm's valuation and future performance. However, it's important to note that insider trading activities can be subject to various personal financial considerations and do not always signal corporate health or trajectory.

The details of the sale were made public through the SEC's Form 4 filing, which is a requirement for officers, directors, and significant shareholders in a company to report their trading activities.

In other recent news, Health Catalyst, Inc. announced its Q1 2024 financial results, reporting a total revenue of $74.7 million and an adjusted EBITDA of $3.4 million. This represents a year-over-year revenue increase of 1%. The company, which maintains a strong cash position, ended Q1 with $327.8 million in cash, cash equivalents, and short-term investments.

In addition to financial results, the company's annual stockholders' meeting saw the re-election of three Class II directors and the ratification of Ernst & Young LLP as the company's independent registered public accounting firm for the fiscal year ending December 31, 2024. The compensation of the company's named executive officers was also approved.

Health Catalyst has expanded its partnership with Saudi German Health to improve health outcomes in the United Arab Emirates. Analysts note challenges faced by clients like Steward Health but anticipate strong demand for the Health Catalyst Ignite platform. These are among the recent developments for the company.

InvestingPro Insights

Amid the recent insider trading activity at Health Catalyst, Inc. (NASDAQ:HCAT), investors seeking a broader understanding of the company's financial health might find the following metrics from InvestingPro particularly insightful. Health Catalyst currently holds a market capitalization of $431.55 million, reflecting its relative size within the healthcare technology market. Despite the challenges, the company's gross profit margin remains robust at 45.58% over the last twelve months as of Q1 2024, indicating a strong ability to manage costs relative to revenue.

While Health Catalyst has not been profitable over the last twelve months, with a negative P/E ratio of -4.01, it's worth noting that analysts predict the company will turn a profit this year. This anticipated shift towards profitability is underscored by the company's significant price total return over the last three months, clocking in at 30.67%. Such performance suggests that investors have positive expectations for Health Catalyst's future, despite the recent insider sale.

For those considering a deeper dive into Health Catalyst's potential, PRONEWS24 can be used to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription. With this, subscribers gain access to additional InvestingPro Tips, including the fact that Health Catalyst holds more cash than debt on its balance sheet—a reassuring sign for investors concerned about financial stability. Furthermore, the service lists 9 additional InvestingPro Tips for HCAT, offering a comprehensive analysis that could inform investment decisions.

As the next earnings date approaches on August 1, 2024, these insights could prove invaluable for those tracking the company's progress and weighing the significance of insider transactions against broader financial indicators.

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