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Daniel LeSueur, the Chief Operating Officer of Health Catalyst , Inc. (NASDAQ:HCAT), recently executed a sale of company shares. The transaction comes as the stock trades near its 52-week low of $3.72, having declined nearly 48% over the past six months. According to InvestingPro analysis, the stock currently appears undervalued relative to its Fair Value. According to a filing with the Securities and Exchange Commission, LeSueur sold 5,209 shares of common stock at an average price of $4.1475 per share, amounting to a total transaction value of $21,604. Following this sale, LeSueur retains ownership of 211,041 shares in the company. The transaction was conducted under a pre-established trading plan adopted on March 7, 2024, in line with Rule 10b5-1. InvestingPro subscribers have access to 8 additional key insights about Health Catalyst, including detailed analysis of insider transactions and comprehensive financial health metrics in the Pro Research Report.
In other recent news, Health Catalyst Inc. reported its fourth-quarter revenue at $79.6 million, marking a 6% increase year-over-year, aligning with analysts' estimates. The company's adjusted EBITDA saw a substantial rise of 485% year-over-year to $7.9 million. However, Health Catalyst's earnings per share (EPS) significantly missed expectations, posting -$0.33 against a forecast of $0.07. The company reaffirmed its fiscal year 2025 guidance with anticipated revenue of approximately $335 million and adjusted EBITDA of $41 million.
In a strategic move, Health Catalyst completed a $5 million stock repurchase, retiring around 1.1 million shares. CEO Dan Burton cited the company's belief in its undervalued market position and its commitment to shareholder value. Analyst firm BTIG maintained a Buy rating on Health Catalyst but lowered the price target from $13 to $10 following the earnings report. Additionally, William Blair analysts reiterated an Outperform rating, highlighting the potential of Health Catalyst's Ignite platform to drive future growth despite recent concerns over stock dilution from acquisitions.
The company has been phasing out lower-margin agreements to improve gross margins, and analysts expect demand and deployment visibility to enhance earnings over the year. Health Catalyst's ongoing acquisition of Upfront Healthcare has also been a point of discussion, with expectations of positive revenue and profit growth from this and other recent acquisitions.
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