Health Catalyst (NASDAQ:HCAT) Releases Earnings Results, Beats Estimates By $0.02 EPS

07 Nov 2026, 19:28 by Jessica Moore · The Cerbat Gem

Health Catalyst (NASDAQ:HCAT – Get Free Report) issued its earnings results on Thursday. The company reported ($0.03) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.05) by $0.02, FiscalAI reports. Health Catalyst had a negative return on equity of 1.83% and a negative net margin of 90.61%. The company had revenue of $56.28 million for the quarter, compared to analysts’ expectations of $55.39 million.

Here are the key takeaways from Health Catalyst’s conference call:

Third-quarter revenue was $56.3 million and adjusted EBITDA was $779,000, both above the high end of guidance. Health Catalyst reaffirmed its 2026 outlook for revenue of $246 million–$249 million and adjusted EBITDA of $18 million–$18.5 million.
Client retention remains a key challenge: management said churn is higher than desired and migration-related pressure is expected to continue, with the company expecting to be generally through those headwinds by the end of 2027.
Profitability faces near-term pressure: adjusted gross margin fell to 44.3% from 52.6% a year earlier, while adjusted professional services gross margin was 1.7%. The company expects a fourth-quarter adjusted EBITDA loss of $1.8 million–$1.3 million, mainly reflecting the full-quarter absence of Vitalware, churn dynamics, and seasonally higher medical claims expense.
Bookings are stronger than anticipated, and the company now expects to exceed the high end of its $22 million–$26 million annual bookings target; management said churn is offsetting that progress in reported results.
Following the Vitalware divestiture and retirement of its credit facility, Health Catalyst ended the quarter with approximately $79 million in cash and no debt. New CEO Simeon Kohl outlined priorities including improving retention, aligning costs, simplifying the business, and strengthening execution.

Health Catalyst Stock Down 2.7%

Health Catalyst stock traded down $0.04 during trading on Friday, hitting $1.46. 285,770 shares of the company were exchanged, compared to its average volume of 385,233. The business’s 50 day moving average is $1.71 and its 200 day moving average is $1.70. Health Catalyst has a 52 week low of $0.96 and a 52 week high of $3.36. The company has a market capitalization of $109.88 million, a P/E ratio of -0.52 and a beta of 1.52. The company has a current ratio of 2.70, a quick ratio of 2.70 and a debt-to-equity ratio of 1.51.

Insider Buying and Selling

In related news, CEO Simeon Kohl acquired 59,000 shares of the company’s stock in a transaction on Monday, September 14th. The shares were acquired at an average cost of $1.79 per share, for a total transaction of $105,610.00. Following the purchase, the chief executive officer owned 2,856,385 shares in the company, valued at approximately $5,112,929.15. The trade was a 2.11% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders own 19.40% of the company’s stock.

Health Catalyst News Summary

Here are the key news stories impacting Health Catalyst this week:

Positive Sentiment: Revenue was $56.28 million, above analysts’ estimate of $55.39 million, providing a positive signal on sales performance. Health Catalyst Reports Third Quarter 2026 Results
Neutral Sentiment: HCAT lost $0.03 per share. That beat some estimates that expected a $0.05 loss, but missed Zacks’ estimate of a $0.02 loss—so the earnings comparison depends on which consensus is used. Health Catalyst Reports Q3 Loss, Beats Revenue Estimates
Negative Sentiment: The quarter’s loss compares with earnings of $0.06 per share a year earlier, underscoring that profitability remains a concern despite the revenue beat. Health Catalyst Reports Q3 Loss, Beats Revenue Estimates

Wall Street Analyst Weigh In

A number of research analysts have weighed in on HCAT shares. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Health Catalyst in a research note on Monday, October 26th. Canaccord Genuity Group downgraded shares of Health Catalyst from a “buy” rating to a “hold” rating and decreased their target price for the stock from $3.00 to $1.80 in a research report on Thursday, August 20th. Citigroup lowered their target price on shares of Health Catalyst from $2.50 to $2.00 and set a “neutral” rating on the stock in a report on Tuesday, August 11th. Finally, Wells Fargo & Company dropped their price target on shares of Health Catalyst from $1.75 to $1.50 and set an “equal weight” rating on the stock in a research report on Thursday, August 13th. Two research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $2.01.

Get Our Latest Stock Analysis on HCAT

Health Catalyst Company Profile

(Get Free Report)

Health Catalyst, Inc is a healthcare technology company that provides data and analytics solutions to help healthcare organizations improve clinical outcomes, operational efficiency and financial performance. Its customers include hospitals, health systems, medical groups and other healthcare organizations seeking to integrate and analyze data from across their operations.