Waystar initiated with a Buy at Jefferies

Jefferies analyst Glen Santangelo initiated coverage of Waystar (WAY) with a Buy rating and $51 price target The company offers a cloud-based revenue cycle management platform that allows providers to outsource functionality without giving up control of some of their most sensitive and important data, the analyst tells investors in a research note. The firm believes there is high interest in a capable platform that can integrate with a provider’s existing IT stack, which positions Waystar for a multi-year runway of low-double-digit growth and gradual margin expansion. Jefferies believes the stock’s risk/reward is skewed to the upside at this level amid relatively low expectations.