HCAT - Health Catalyst stock sinks 25% premarket on weaker-than-expected guidance

Shares of small-cap pharmaceutical data company Health Catalyst ( NASDAQ: HCAT ) plunged 25% to $13.70 in Friday premarket trading, as its weaker-than-expected updated guidance overshadowed its Q2 results beat and a new $40M share buyback program .

South Jordan, Utah-based HCAT provides data and analytics services to healthcare organizations. It runs a cloud-based data platform that contains information from more than 100M patient records.

The company after hours on Thursday reported Q2 non-GAAP EPS of -$0.03 which beat estimates by $0.07 . Its Q2 revenue of $70.63M also beat by $0.75M .

However, the company slashed its FY 2022 revenue guidance to a range of $271.5M to $275.5M from a previous forecast of $287.8M to $292.8M. The updated guidance was also below the consensus revenue estimate of $288.49M.

HCAT now sees its adj. EBITDA loss for FY to come in between $4M to $6M, compared to a previous outlook of loss of $2M to $4M.

“While we are pleased with these Q2 2022 results, we are disappointed that we are revising down our revenue and Adjusted EBITDA outlook for the full year," HCAT CEO Dan Burton said in the earnings report .

"We are witnessing a challenging end market environment that has materially impacted our year-to-date bookings performance relative to our plan at the beginning of the year," Burton added.

HCAT also guided Q3 revenue of $65.3M to $68.3M, which was below the consensus estimate of $73.4M.

Up to Thursday's close, HCAT stock -53.9% YTD.

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