Health In Tech, Inc. Class A (HIT) AI Stock Analysis

• Market Cap: $9.36M
• Dividend Yield: N/A
• Average Volume (3M): 1.57M
• Price to Earnings (P/E): 135.2
• Beta (1Y): 1.80
• Revenue Growth: 29.68%
• EPS Growth: -27.27%
• Country: US
• Employees: 73
• Sector: Technology
• Sector Strength: 92
• Industry: Software - Application
• EPS (TTM): 0.01
• Shares Outstanding: 44,689,290
• 10 Day Avg. Volume: 1,192,748
• 30 Day Avg. Volume: 1,570,855
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 4.38
• Enterprise Value/Revenue: 1.54
• Enterprise Value/Gross Profit: 2.16
• Enterprise Value/Ebitda: 16.25
• 1Y Price Target: $3.38
• Price Target Upside: 2.42% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 72 Outperform
• Price Target: $3.50 ▲(6.06% Upside)

Health In Tech, Inc. demonstrates strong financial performance with significant revenue growth and strategic expansion, as highlighted in the earnings call. However, the high P/E ratio suggests potential overvaluation, and technical indicators point to an overbought condition. The company's robust cash flow and low leverage are positive factors, but declining profitability margins and reduced return on equity are concerns.

Positive Factors

Financial Health

The company ended June with $8.1M in cash and no debt, indicating it can fund operations without the need to raise capital.

Market Reach Expansion

Health In Tech is expanding its underwriting platform to mid-size employers, indicating potential growth in the company's market reach.

Revenue Growth

Health In Tech reported revenue of $9.3M, up 86% year-over-year, significantly surpassing estimates.

Negative Factors

Future EBITDA Decline

2025 adjusted EBITDA is projected to decline year-over-year due to public company costs.

Gross Margin Decline

2Q25 gross margin declined to 67.7% compared to 80.5% in the prior-year quarter due to the cost of utilizing distribution partners.

Health In Tech, Inc. Class A Business Overview & Revenue Model

Company Description

Health In Tech, Inc. operates as an insurance technology platform company. The company offers reference-based pricing, group insurance captives, community health plans, and association health programs for small businesses; and enhance do it yourself benefit system (eDIYBS), a web-based SaaS quoting platform to quote health insurance for small to medium sized employers. It also provides health intelligence (HI) card to streamline the management of medical records and claims; and HI performance network, which offers a series of hospital facilities, as well as delivers medicare-based reimbursement pricing. Health In Tech, Inc. was founded in 2014 and is headquartered in Stuart, Florida.

How the Company Makes Money

Health In Tech, Inc. generates revenue primarily through the sale and subscription of its proprietary software platforms to insurance brokers, carriers, and other stakeholders in the healthcare insurance industry. The company's key revenue streams include software licensing fees, subscription-based models for continued access to their platforms, and consulting services related to the integration and optimization of their technology solutions. Additionally, HIT may earn income from strategic partnerships with other technology providers and insurance companies, which can lead to joint ventures or co-branded offerings that expand their market reach and customer base.

Health In Tech, Inc. Class A Financial Statement Overview

Summary

Health In Tech, Inc. shows strong revenue growth and a solid balance sheet with low leverage. However, declining profitability margins and reduced return on equity indicate potential operational inefficiencies. Cash flow generation is robust, though there is a need to enhance earnings quality to sustain long-term growth.

Income Statement

Health In Tech, Inc. has demonstrated significant revenue growth, increasing from $5.77 million in 2022 to $19.49 million in 2024. The company's gross profit margin is strong at approximately 79.2%, although the net profit margin has declined from 12.9% to 3.4% over the same period. The EBIT and EBITDA margins also show a downward trend, indicating potential challenges in controlling operating expenses.

Balance Sheet

The balance sheet reflects a robust equity position, with a high equity ratio of around 83.5%. The debt-to-equity ratio is low at 0.02, highlighting a conservative leverage approach. Return on equity has decreased from 40.6% in 2023 to 5.1% in 2024, suggesting a need for improved profitability.

Cash Flow

Operating cash flow has improved, and free cash flow increased significantly by 232% from 2023 to 2024. However, the operating cash flow to net income ratio decreased, indicating that cash generation relative to net profits has weakened. The company maintains a solid free cash flow to net income ratio, ensuring free cash flow remains healthy.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022
Income Statement
Total Revenue	26.69M	19.49M	19.15M	5.77M
Gross Profit	18.94M	15.44M	16.85M	5.44M
EBITDA	2.52M	1.93M	3.76M	205.58K
Net Income	1.36M	670.48K	2.48M	79.74K
Balance Sheet
Total Assets	22.18M	15.77M	11.50M	28.56M
Cash, Cash Equivalents and Short-Term Investments	8.14M	7.85M	2.42M	1.49M
Total Debt	174.36K	206.69K	1.92M	316.09K
Total Liabilities	5.75M	2.60M	5.41M	27.14M
Stockholders Equity	16.42M	13.17M	6.09M	1.05M
Cash Flow
Free Cash Flow	1.31M	1.28M	384.52K	-436.63K
Operating Cash Flow	3.60M	2.18M	1.53M	782.75K
Investing Cash Flow	-2.22M	-836.75K	-1.94M	-1.22M
Financing Cash Flow	4.60M	4.09M	1.34M	1.88M

Health In Tech, Inc. Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HIT	72 Outperform	$9.36M	135.25	11.86%	―	29.68%	-27.27%
Sector *	61 Neutral	$36.02B	6.70	-7.25%	1.99%	8.63%	-7.76%
VERB	61 Neutral	$1.36B	―	-51.38%	―	4095.10%	93.91%
HKIT	55 Neutral	$44.83M	32.63	-2.82%	―	-36.35%	-153.77%
VS	39 Underperform	$11.22M	―	-15.68%	―	1873.85%	91.70%
AMST	―	$13.17M	―	-107.30%	―	―	―
AUUD	―	$2.83M	―	-198.73%	―	―	―

Health In Tech, Inc. Class A Corporate Events

Health In Tech Grants Stock Awards to Executives

On August 15, 2025, Health In Tech, Inc. granted restricted stock awards to its CEO, CFO, and CTO as part of their efforts to develop two new programs. These awards, which are part of the company’s Equity Incentive Plan, will vest in equal monthly installments over a period of 24 months, contingent upon the successful launch and operation of the programs.

Health In Tech Reports Strong Q2 2025 Growth

On July 21, 2025, Health In Tech, Inc. prepared an investor presentation to be presented at conferences and meetings, highlighting its financial performance and strategic positioning. The company reported significant growth in Q2 2025, with revenue reaching $9.3 million and adjusted EBITDA at $1.6 million, marking a notable year-over-year increase. This growth underscores Health In Tech’s expanding influence in the healthcare industry, particularly in the self-funded health plan market, and its commitment to leveraging AI and technology to provide efficient, transparent, and cost-effective healthcare solutions.

Health In Tech Reports Robust Q2 2025 Financial Growth

On July 21, 2025, Health In Tech announced its financial results for the second quarter of 2025, revealing an 86% year-over-year increase in revenues to $9.3 million and a 134% rise in adjusted EBITDA to $1.6 million. The company expanded its distribution network to 778 partners, reflecting a strategic focus on broadening market reach and delivering value through technology-driven solutions. This growth is supported by partnerships with key players like Verdegard Administrators and Unified Health Plans, aiming to reduce costs and improve service quality for small businesses. Health In Tech’s strong financial performance and strategic partnerships underscore its commitment to maintaining growth momentum and enhancing its market position.