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Phreesia (PHR)
NYSE:PHR
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Phreesia (PHR) AI Stock Analysis

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PHR

Phreesia

(NYSE:PHR)

Rating:66Neutral
Price Target:
$31.00
▲(10.20% Upside)
Phreesia's overall stock score is influenced primarily by its strong earnings call performance, highlighting strategic growth through acquisitions and achieving positive net income. Financial performance shows robust revenue growth but is tempered by ongoing profitability challenges. Technical analysis indicates mixed signals with short-term bearish momentum but longer-term bullish trends. Valuation remains a concern due to negative earnings and lack of dividends.
Positive Factors
Acquisitions
Phreesia announced its largest acquisition yet, a $160M acquisition of AccessOne, expected to add significant revenue and EBITDA.
Financial Performance
Phreesia reported its first positive GAAP EPS, highlighting improved profitability.
Product Development
Phreesia launched new tools designed to reduce labor costs and streamline workflows, broadening the company’s growth runway.
Negative Factors
Market Reaction
The stock was down 11.5% after market as the deal is not necessarily cheap, and the company likely caught some investors off guard.
Revenue Challenges
Phreesia traded down approximately 12% in the aftermarket, largely reflecting the sequential decline in subscription revenue per average healthcare system client and expectations for a larger adjusted EBITDA guidance raise.

Phreesia (PHR) vs. SPDR S&P 500 ETF (SPY)

Phreesia Business Overview & Revenue Model

Company DescriptionPhreesia (PHR) is a healthcare technology company that specializes in patient intake management solutions. The company operates primarily in the healthcare sector, offering a platform designed to streamline the patient registration process, enhance patient engagement, and improve overall operational efficiency for healthcare providers. Phreesia's core products include patient check-in solutions, appointment scheduling, insurance verification, and patient communication tools, all aimed at optimizing the patient experience and administrative workflows in medical practices.
How the Company Makes MoneyPhreesia generates revenue primarily through a subscription-based model, where healthcare providers pay for access to its platform and services. The company charges clients a monthly fee based on the number of patient encounters or the volume of services utilized. Key revenue streams include software licensing fees, transaction fees for payment processing, and fees for additional services such as analytics and reporting tools. Phreesia has also formed significant partnerships with electronic health record (EHR) providers and other healthcare technology companies, which help expand its market reach and enhance its service offerings, thereby contributing to its overall earnings.

Phreesia Earnings Call Summary

Earnings Call Date:Sep 04, 2025
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Dec 03, 2025
Earnings Call Sentiment Positive
The earnings call reflects a predominantly positive sentiment driven by strategic acquisitions, significant revenue and income milestones, and promising product launches. Despite some challenges, such as flat revenue per client quarter-over-quarter and acquisition-related risks, the overall outlook remains optimistic.
Q2-2026 Updates
Positive Updates
Acquisition of AccessOne
Phreesia announced a definitive agreement to acquire AccessOne for $160 million, expected to expand their addressable market by $6 billion and strengthen their payment solutions offering.
First-Ever Positive Net Income
Phreesia achieved positive net income for the first time in its history, with a net income of $700,000.
Revenue Growth
Total revenue for the second quarter was $117.3 million, marking an increase of 15% year over year.
Increase in Adjusted EBITDA
Adjusted EBITDA was $22 million, an increase of $16 million year over year, with an adjusted EBITDA margin of 19%.
Expansion of Total Addressable Market (TAM)
The AccessOne acquisition and other initiatives are expected to increase Phreesia's TAM by approximately $24 billion, from $10 billion to $34 billion.
New AI Product Launches
Phreesia launched the Voice AI product, which has received positive feedback and is expected to drive opportunities in the network solutions business.
Negative Updates
Flat Revenue Per Healthcare Services Client Quarter-over-Quarter
Revenue per average healthcare services client was $26,249, up 7% year over year but flat quarter over quarter.
Regulatory and Closing Conditions for AccessOne Acquisition
The acquisition of AccessOne is subject to customary closing conditions and regulatory approvals, which could pose a risk to the planned expansion.
Company Guidance
During Phreesia's second quarter fiscal year 2026 earnings call, several key metrics and guidance were provided. The company reported a total revenue of $117.3 million, marking a 15% increase year-over-year, and achieved a significant milestone by becoming net income positive with a net income of $700,000. Adjusted EBITDA rose to $22 million, reflecting a $16 million increase from the previous year, with an adjusted EBITDA margin of 19%. Operating cash flow was $14.8 million, up $3.8 million year-over-year, and free cash flow stood at $9.6 million, an increase of $6 million. The company maintained its revenue outlook for fiscal year 2026 at $472 to $482 million and updated its adjusted EBITDA outlook to $87 to $92 million. The acquisition of AccessOne for $160 million is expected to close in the third or early fourth quarter and contribute approximately $35 million in annualized revenue and $11 million in annualized adjusted EBITDA, expanding Phreesia's addressable market by about $6 billion.

Phreesia Financial Statement Overview

Summary
Phreesia demonstrates strong revenue growth and operational efficiency, as reflected in the income statement. However, profitability remains a challenge with continued net losses. The balance sheet is solid with low leverage, but the negative return on equity highlights profitability issues. Cash flow metrics are improving, indicating a positive cash generation trend. Overall, while Phreesia is growing and managing its cash well, achieving profitability remains a key challenge.
Income Statement
72
Positive
Phreesia has shown consistent revenue growth over the years, with a TTM revenue of $434.5 million, up from $280.9 million in 2023. The gross profit margin remains robust at 66.3% TTM, indicating strong operational efficiency. However, the company is still facing challenges with profitability, as evidenced by the negative net profit margin of -9.8% TTM. The EBIT and EBITDA margins are also negative, reflecting ongoing operational challenges.
Balance Sheet
65
Positive
The company's balance sheet shows a healthy equity position with a debt-to-equity ratio of 0.06 TTM, suggesting low leverage and financial risk. The equity ratio stands at 70.5% TTM, indicating a strong equity base. However, the return on equity is negative at -15.1% TTM due to the ongoing net losses, which is a concern for potential investors.
Cash Flow
78
Positive
Phreesia's cash flow statement reveals a positive trajectory, with free cash flow growing significantly, reaching $25.5 million TTM. The operating cash flow to net income ratio is favorable at -1.12 TTM, showcasing the company's ability to generate cash from operations despite net losses. The free cash flow to net income ratio is also positive, which is a promising sign of cash flow health.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue449.67M419.81M356.30M280.91M213.23M148.68M
Gross Profit326.11M284.88M232.29M171.64M131.84M96.29M
EBITDA6.85M-25.58M-104.00M-145.48M-92.30M-7.62M
Net Income-24.05M-58.53M-136.88M-176.15M-118.16M-27.29M
Balance Sheet
Total Assets408.63M388.42M370.33M370.06M494.48M326.67M
Cash, Cash Equivalents and Short-Term Investments98.27M84.22M87.52M176.68M313.81M218.78M
Total Debt4.75M17.80M11.98M9.18M15.80M14.32M
Total Liabilities110.64M123.61M118.88M82.24M77.20M63.36M
Stockholders Equity297.99M264.81M251.45M287.82M417.28M263.31M
Cash Flow
Free Cash Flow34.89M8.29M-57.48M-116.33M-105.52M-15.69M
Operating Cash Flow51.73M32.38M-32.38M-90.12M-74.71M2.89M
Investing Cash Flow-23.83M-24.09M-39.67M-26.20M-65.23M-25.09M
Financing Cash Flow-11.27M-11.49M-17.11M-20.41M234.97M150.66M

Phreesia Technical Analysis

Technical Analysis Sentiment
Negative
Last Price28.13
Price Trends
50DMA
28.25
Negative
100DMA
26.79
Positive
200DMA
26.15
Positive
Market Momentum
MACD
0.82
Positive
RSI
44.60
Neutral
STOCH
42.81
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PHR, the sentiment is Negative. The current price of 28.13 is below the 20-day moving average (MA) of 29.48, below the 50-day MA of 28.25, and above the 200-day MA of 26.15, indicating a neutral trend. The MACD of 0.82 indicates Positive momentum. The RSI at 44.60 is Neutral, neither overbought nor oversold. The STOCH value of 42.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PHR.

Phreesia Risk Analysis

Phreesia disclosed 57 risk factors in its most recent earnings report. Phreesia reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Phreesia Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
66
Neutral
$1.49B43.105.27%3.20%
66
Neutral
$1.87B-8.76%15.31%77.02%
61
Neutral
$2.17B116.053.56%3.28%-24.79%-78.38%
56
Neutral
$1.69B-11.30%2.02%65.33%
55
Neutral
$1.35B-14.18%-2.57%79.86%
51
Neutral
$7.92B-0.43-41.67%2.21%22.29%-1.85%
50
Neutral
$1.40B-44.40%18.59%10.96%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PHR
Phreesia
28.13
4.22
17.65%
PINC
Premier
25.85
6.89
36.34%
TDOC
Teladoc
7.82
0.63
8.76%
TXG
10x Genomics
13.96
-7.86
-36.02%
SDGR
Schrodinger
19.13
-0.95
-4.73%
GDRX
GoodRx Holdings
4.00
-3.82
-48.85%

Phreesia Corporate Events

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Phreesia Announces Merger with AccessOne to Expand Solutions
Positive
Sep 4, 2025

On August 29, 2025, Phreesia, Inc. announced a merger agreement with AccessOne, a leader in healthcare receivables financing, to expand its payment solutions. The merger, subject to customary conditions, will see AccessOne become a wholly owned subsidiary of Phreesia, enhancing its market position by integrating AccessOne’s platform. This strategic move is expected to improve Phreesia’s operational capabilities and market reach, benefiting stakeholders by potentially increasing revenue and operational efficiency. Additionally, Phreesia reported strong financial results for the second quarter of fiscal 2026, achieving its first-ever net income positive quarter, with a 15% increase in total revenue year-over-year.

Executive/Board ChangesShareholder Meetings
Phreesia Holds Annual Stockholders’ Meeting
Neutral
Jun 25, 2025

On June 25, 2025, Phreesia, Inc. held its annual stockholders’ meeting where three proposals were voted on. The stockholders elected two directors, Gillian Munson and Mark Smith, M.D., for a three-year term. Additionally, the appointment of KPMG LLP as the independent registered public accounting firm was ratified, and the compensation of named executive officers was approved on a non-binding, advisory basis.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 06, 2025