HCAT - Health Catalyst upgraded at Jefferies on recent pullback in shares

Citing an approximately 60% decline in its shares price over the past six months, Jefferies has upgraded the data and analytics-focused health tech company Health Catalyst (HCAT +10.6%) to Buy from Hold on Thursday. In addition to recent weakness in shares, the analysts led by Glen Santangelo point to the strong Q4 financials and guidance posted by the company and argue that the current valuation in terms of 2023 sales indicates “an attractive entry point.” Following a meeting with the management, the team notes that consensus expectations, as well as guidance for FY22, could be conservative as the company has beaten Street forecasts for 11 straight quarters after going public. They also highlight the improving margins and a solid balance sheet which rule out the need for additional funding. Notably, they call Health Catalyst (NASDAQ:HCAT) a “potentially interesting M&A candidate,” which could attract a large tech company. The price target

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Health Catalyst upgraded at Jefferies on recent pullback in shares