William Blair analyst Ryan Daniels has reiterated their bullish stance on WAY stock, giving a Buy rating on October 27.
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Ryan Daniels has given his Buy rating due to a combination of factors including Waystar Holding Corp.’s impressive financial performance and strong growth momentum in the third quarter. The company exceeded revenue expectations, reporting $269 million compared to the consensus of $257 million, driven by both subscription and volume-based revenue increases. Additionally, Waystar’s earnings surpassed forecasts with an adjusted EBITDA of $113 million and adjusted EPS of $0.37, both beating market expectations.
Management’s positive outlook further supports the Buy rating, as they raised revenue guidance by $53 million at the midpoint and increased their 2025 outlook across all key metrics. Despite potential risks in the healthcare IT sector, such as policy changes and subsidy expirations, Waystar’s strong recurring revenue stream provides confidence in its future performance. The company’s robust pipeline and favorable trends reinforce the view that Waystar remains a top investment idea in the healthcare IT space.
In another report released on October 27, Barclays also maintained a Buy rating on the stock with a $50.00 price target.