HealthStream, Inc. logo HSTM - HealthStream, Inc.

Price: -- -- | CONSENSUS: Hold DETAILS
STRONG
BUY
0
BUY 7
HOLD 9
SELL 0
STRONG
SELL
0
| PRICE TARGET: $27.00 DETAILS
HIGH: $27.00
LOW: $27.00
MEDIAN: $27.00
CONSENSUS: $27.00
DOWNSIDE: 6.10%
AlphaQuality

AlphaQuality

Quantitative six-pillar business-quality grade

Stable Earnings Power

AlphaQuality — archetype-weighted quantitative grade

B- 65.5 / 100 composite

Composite Grade

Composite of six pillars weighted for stable earnings power businesses. Purely quantitative — the six pillars score only reported financials, no analyst input.

Profitability

Weight: 20%
C- 45.7
  • 5yr Avg ROIC 3.9% 29/100
  • Operating Margin Trend +0.97 pp/yr 84/100
Contributes 9.1 pts toward composite.

Capital Efficiency

Weight: 15%
C- 48.3
  • 5yr Avg ROE 4.1% 31/100
  • 5yr Share-Count CAGR -1.2% 81/100
Contributes 7.3 pts toward composite.

Growth Quality

Weight: 15%
B- 67.4
  • 5yr Revenue CAGR 4.4% 56/100
  • 5yr EPS CAGR 6.8% 64/100
  • Revenue-Growth Years (5) 5/5 100/100
Contributes 10.1 pts toward composite.

Cash Generation

Weight: 15%
B+ 76.2
  • 5yr FCF Margin 17.1% 85/100
  • 5yr FCF/NI Conversion 3.91x 65/100
Contributes 11.4 pts toward composite.

Balance Sheet

Weight: 20%
A+ 98.0
  • Net Debt / EBITDA -0.63x 98/100
  • Interest Coverage (EBIT/Int) 30.00x 100/100
  • Altman Z-Score 4.08 95/100
Contributes 19.6 pts toward composite.

Stability

Weight: 15%
C 53.3
  • EPS Volatility (σ/μ) 0.55 26/100
  • Negative-Revenue Years (5) 0/5 100/100
  • Piotroski F-Score 5 56/100
Contributes 8.0 pts toward composite.

Guru Flow

Curated superinvestor sentiment — not part of the AlphaQuality grade.
Holding

2 of 2 gurus held; 1 added; 1 trimmed; 1 full exit.

Holders
2 +1
Avg Δ position
-31.0%
New buys
0
Full exits
1
As of Q2 2026
How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

  • Profitability (20%) — 5yr Avg ROIC, Operating Margin Trend
  • Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
  • Growth Quality (15%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
  • Cash Generation (15%) — 5yr FCF Margin, 5yr FCF/NI Conversion
  • Balance Sheet (20%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
  • Stability (15%) — EPS Volatility (σ/μ), Negative-Revenue Years (5), Piotroski F-Score

The six pillars read only reported financial-statement fields — no analyst targets or consensus ratings. The archetype that picks which pillar formulas apply is not fully price-free, though: it can route a company to the distressed/ungradable archetype based on price vs. its 52-week high, and beta affects one classification check. A minimum of 5 fiscal years of audited statements is required. Insurers and banks are graded on their own methodology — insurers on loss ratio, its trend and stability, and premiums-to-surplus; banks on the efficiency ratio, its trend and stability, and equity-to-assets — rather than on industrial margin/ROIC signals. Distressed, highly leveraged infrastructure, asset-manager, and other financial businesses are declared ungradable rather than forced into a numeric score.