HQY
HealthEquity, Inc.
HQY's fundamentals are strong and it looks cheap: trading at 37x earnings, less than half its usual 88x. Analysts expect strong earnings growth.
HQY Fundamentals
| Metric | Status |
|---|---|
| Stable | |
| Strong | |
| Strong | |
| Healthy |
HQY's profitability, cash flow and balance sheet are currently healthy, and its revenue is stable.
HQY PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 20x | $103 | — |
| Current | 37x | $103 | — |
| Cheap | 41x | $112 | +9% |
| Fair | 87x | $242 | +135% |
| Expensive | 1,293x | $3,580 | +3374% |
Historical ranges are pointers, not guarantees.
HQY's PE is in its cheap range at 37x. If earnings grow as analysts expect, today's price would be 20x next year's earnings.
HQY Forward outlook
| Metric | Outlook |
|---|---|
| Strongly improving | |
| Strong growth | |
| Growth | |
| Strongly improving | |
| Limited | |
| High |
Analysts expect earnings and revenue growth for HQY, with profitability improving.
HQY Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $5.23 | +89% |
| Q3 2026 | $2.77 | +68% |
| Q2 2026 | $2.67 | +95% |
| Q1 2026 | $2.46 | +126% |
| Q4 2025 | $2.18 | +100% |
| Q3 2025 | $1.65 | +38% |
| Q2 2025 | $1.37 | +49% |
| Q1 2025 | $1.09 | +70% |
| Q4 2024 | $1.09 | +221% |
HQY's earnings per share have climbed steadily: $2.77 over the past year, up 68% from the year before, and higher year over year for 15 quarters in a row.
HQY Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $350.7M | +7.6% |
| Q2 2026 | $354.6M | +7.2% |
| Q1 2026 | $334.6M | +7.3% |
| Q4 2025 | $322.2M | +7.2% |
| Q3 2025 | $325.8M | +8.6% |
| Q2 2025 | $330.8M | +15% |
| Q1 2025 | $311.8M | +19% |
| Q4 2024 | $300.4M | +21% |
HQY's revenue has grown year over year for 21 quarters in a row: $351M last quarter, up 7.6% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 28% | +0.6 points |
| Q2 2026 | 29% | +3.9 points |
| Q1 2026 | 21% | +7.7 points |
| Q4 2025 | 24% | +18 points |
| Q3 2025 | 28% | +7.9 points |
| Q2 2025 | 25% | +11 points |
| Q1 2025 | 14% | -1.3 points |
| Q4 2024 | 6.5% | -5.9 points |
HQY's operating margin was 28% last quarter, up 0.6 points from the same quarter a year ago, near the top of its range since 2019.
HQY Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $135.2M | +0.1% |
| Q2 2026 | $97.2M | +50% |
| Q1 2026 | $117.6M | +56% |
| Q4 2025 | $137.8M | +53% |
| Q3 2025 | $135.1M | +26% |
| Q2 2025 | $64.7M | -0.1% |
| Q1 2025 | $75.4M | -1.4% |
| Q4 2024 | $90.3M | +60% |
HQY's free cash flow has been positive every quarter for seven years: $488M over the past year, up 33% from the year before.
HQY Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -1.2% | -992K shares |
| 1 year | -4.3% | -3.7M shares |
| 3 years | -2.7% | -2.3M shares |
| 5 years | +0.6% | +533K shares |
| Available history | +19% | +13.5M shares |
HQY has 84M diluted shares, down 4.3% from a year ago, with $404M in buybacks over the past year.
| Quarter | Spent |
|---|---|
| Q3 2026 | $107.7M |
| Q2 2026 | $123.3M |
| Q1 2026 | $81M |
| Q4 2025 | $92.4M |
| Q3 2025 | $66.7M |
| Q2 2025 | $59.1M |
| Q1 2025 | $63M |
HQY spent $404M buying back its own shares over the past year.
HQY Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 1.3x | Healthy |
| Q2 2026 | 1.4x | Healthy |
| Q1 2026 | 1.3x | Healthy |
| Q4 2025 | 1.5x | Healthy |
| Q3 2025 | 1.8x | Healthy |
| Q2 2025 | 2.1x | Moderate |
| Q1 2025 | 2.3x | Moderate |
| Q4 2024 | 2.4x | Moderate |
HQY's net debt is about 1.3 years of its operating earnings (EBITDA), down from 1.8 years a year ago.
HQY Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 59.9 | Neutral |
| Stochastic | 73.0 | Neutral |
HQY's weekly RSI is 60 (neutral) and its Stochastic is 73 (neutral).
HQY PE vs Healthcare Sector
| Metric | HQY | Sector median | Relative |
|---|---|---|---|
| PE | 37x | 26x | 44% above |
| PE % | 13 | 29 | 16 pts below |
HQY is trading at 37x earnings, a 44% premium to the Healthcare sector's median of 26x.
HQY Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $97.0 | 6.2% above |
| 20 week MA | $97.9 | 5.3% above |
| 50 week MA | $90.3 | 14% above |
| 100 week MA | $93.5 | 10% above |
| 200 week MA | $83.2 | 24% above |
HQY is in an uptrend: it's above all five of its weekly moving averages, and 24% above its 200-week average.
HQY Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $74.0 | $68.3 | -7.7% |
| 2021 | $68.3 | $44.9 | -34% |
| 2022 | $44.9 | $61.6 | +37% |
| 2023 | $61.6 | $66.3 | +7.6% |
| 2024 | $66.3 | $96.3 | +45% |
| 2025 | $96.3 | $93.5 | -2.9% |
| 2026 YTD | $93.5 | $103.1 | +10% |
HQY has finished lower in three of the last six years. It's up 10% so far in 2026.