HealthEquity, Inc. (HQY) AI Stock Analysis

HealthEquity, Inc. delivers technology-driven service platforms to consumers and employers across the United States to assist with healthcare financial decisions. Its core offerings include cloud-based platforms that enable users to manage health savings and spending, pay healthcare bills, compare treatment choices and costs, review personalized clinical and benefit data, and invest funds. The company specializes in administering health savings accounts (HSAs) along with flexible spending accounts (FSAs), health reimbursement arrangements (HRAs), and COBRA services, while also facilitating pre-tax commuter benefits. In addition, HealthEquity offers a mutual fund investment platform and automated advisory services through its online Advisor tool. It distributes its solutions through a direct sales team and partnerships with benefits brokers, health plans, and administrators.

HealthEquity grew revenue from $756.6M in FY2022 to $1.31B in FY2026, achieving a 5-year revenue compound annual growth rate of 12.4%. Annual revenue growth was 3.1% in FY2022, 13.9% in FY2023, 16.0% in FY2024, 20.0% in FY2025, and 9.5% in FY2026. Gross margin rose from 45.1% in FY2022 to 69.5% in FY2026, while operating margin expanded from 5.4% to 24.6% over the same timeframe. Net income improved from -$44.3M in FY2022 to $215.2M in FY2026. In the latest quarter ended July 31, 2026, quarterly revenue grew 7.6% year-over-year and quarterly earnings grew 14.7% year-over-year.

As of July 31, 2026, HealthEquity held $256.0M in cash and short-term investments against total debt of $971.0M, resulting in net debt of $715.0M. The company reported total assets of $3.27B and shareholders' equity of $1.99B, with a current ratio of 2.99 and a debt-to-equity ratio of 0.49. In FY2026, operating cash flow was $457.1M and capital expenditures were $2.0M, supporting free cash flow of $455.1M. Cash deployment included $299.3M allocated to share buybacks during FY2026.

HealthEquity closed at $92.03 on October 16, 2026, reflecting a market capitalization of $7.61B and an enterprise value of $8.19B. The stock trades at a trailing price-to-earnings ratio of 33.2x compared to the median of 24.6x for its US-listed Healthcare peers. Its forward price-to-earnings ratio is 19.7x against the peer median of 17.3x, and its EV/EBITDA stands at 15.8x versus the peer median of 12.0x. Over the past year, the stock returned 1.1% compared to a 16.8% return for the S&P 500 (SPY), while its 5-year return of 45.7% trails the S&P 500's 83.0% return.

Consensus coverage includes 10 Strong Buy and 5 Buy ratings, with zero Hold, Sell, or Strong Sell recommendations. The mean price target is $119.33, representing a 29.7% premium over the last close of $92.03. For the fiscal year ending January 31, 2027, analysts project revenue of $1.42B and EPS of $4.72, which reflects expected EPS growth of 18.1%. HealthEquity beat EPS estimates in each of the last 4 quarters, and its next earnings date is December 2, 2026.

This page is an AI-written research summary of HealthEquity, Inc. (HQY). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: HQY income statement, HQY balance sheet, HQY key metrics, HQY analyst forecast, HQY chart. See the HQY stock overview for the latest quote and news.