BTIG analyst David Larsen has maintained their neutral stance on HCAT stock, giving a Hold rating on August 9.
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David Larsen has given his Hold rating due to a combination of factors impacting Health Catalyst. The company’s recent quarterly results showed revenue in line with expectations, but the future revenue guidance was notably reduced, leading to a significant stock pullback. Additionally, the announcement of CEO Dan Burton stepping down adds uncertainty to the company’s leadership stability.
Despite reaffirming its EBITDA guidance, Health Catalyst faces challenges in the hospital buying environment due to legislative changes, which may hinder growth prospects. The company’s penetration into new markets has been slower than anticipated, and the reduction in revenue growth guidance reflects broader industry headwinds. While there are some positive aspects, such as a high-value client base and cost-saving measures, the overall outlook remains cautious, justifying the Hold rating.
In another report released on August 9, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $3.00 price target.