In a report released yesterday, Charles Rhyee from TD Cowen maintained a Buy rating on Waystar Holding Corp., with a price target of $42.00.
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Charles Rhyee has given his Buy rating due to a combination of factors, including Waystar’s stronger‑than‑expected fourth‑quarter revenue and EBITDA, which helped the stock recover part of its recent AI‑driven pullback. He also views the company’s 2026 revenue outlook as deliberately cautious rather than a sign of weakening demand, particularly once one‑time contributions from acquisitions and rapidly onboarded clients are stripped out.
He further believes the market underestimates Waystar’s ability to both harness and withstand AI, noting that management has already embedded AI into roughly half of its solutions and is seeing meaningful new bookings from these capabilities. In his view, the company’s scale, regulatory status as a covered entity, and extensive proprietary data with provider consents create a durable moat that should limit competitive threats from providers building their own tools or AI‑native rivals, supporting upside from current valuation levels.
In another report released yesterday, Needham also reiterated a Buy rating on the stock with a $33.00 price target.