In the latest trading session, HealthEquity (HQY - Free Report) closed at $60.69, marking a -0.51% move from the previous day. This change was narrower than the S&P 500's daily loss of 0.79%. Meanwhile, the Dow lost 0.66%, and the Nasdaq, a tech-heavy index, lost 0.68%.
Coming into today, shares of the provider of services for managing health care accounts had lost 23.72% in the past month. In that same time, the Medical sector lost 0.41%, while the S&P 500 lost 1.62%.
Wall Street will be looking for positivity from HQY as it approaches its next earnings report date. This is expected to be September 3, 2019. In that report, analysts expect HQY to post earnings of $0.35 per share. This would mark year-over-year growth of 2.94%. Meanwhile, our latest consensus estimate is calling for revenue of $85.38 million, up 20.14% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.33 per share and revenue of $343.27 million. These totals would mark changes of +11.76% and +19.5%, respectively, from last year.
Any recent changes to analyst estimates for HQY should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. HQY currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that HQY has a Forward P/E ratio of 45.95 right now. Its industry sports an average Forward P/E of 20.89, so we one might conclude that HQY is trading at a premium comparatively.
We can also see that HQY currently has a PEG ratio of 2.28. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical Services industry currently had an average PEG ratio of 1.58 as of yesterday's close.
The Medical Services industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 102, which puts it in the top 40% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.