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HQY

HealthEquity, Inc.

HQY

HealthEquity, Inc. • NASDAQ
$105.18 ▲ 0.18% (+0.19)
Market Cap $9.13 B
52w High $116.65
52w Low $74.07
Dividend Yield 0%
P/E 63.75
Volume 212.91K
Outstanding Shares 86.77M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q2-2026 $325.835M ▼ $142.983M ▲ $59.854M ▲ 18.369% ▲ $0.69 ▲ $131.457M ▲
Q1-2026 $330.844M ▲ $141.233M ▼ $53.915M ▲ 16.296% ▲ $0.62 ▲ $124.552M ▲
Q4-2025 $311.817M ▲ $146.893M ▼ $26.365M ▲ 8.455% ▲ $0.3 ▲ $84.4M ▲
Q3-2025 $300.432M ▲ $177.401M ▲ $5.703M ▼ 1.898% ▼ $0.065 ▼ $65.094M ▼
Q2-2025 $299.928M $112.365M $35.822M 11.944% $0.41 $105.653M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q2-2026 $304.461M ▲ $3.417B ▲ $1.27B ▼ $2.146B ▲
Q1-2026 $287.894M ▼ $3.416B ▼ $1.292B ▼ $2.124B ▲
Q4-2025 $295.948M ▼ $3.449B ▼ $1.334B ▼ $2.115B ▼
Q3-2025 $322.163M ▼ $3.488B ▼ $1.364B ▲ $2.125B ▼
Q2-2025 $326.893M $3.514B $1.357B $2.157B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q2-2026 $59.854M ▲ $135.866M ▲ $-11.18M ▲ $-108.119M ▼ $16.567M ▲ $151.15M ▲
Q1-2026 $53.915M ▲ $64.738M ▼ $-16.143M ▼ $-56.649M ▲ $-8.054M ▲ $48.595M ▼
Q4-2025 $26.365M ▲ $75.748M ▼ $-13.557M ▼ $-88.406M ▼ $-26.215M ▼ $62.191M ▼
Q3-2025 $5.703M ▼ $90.55M ▼ $-12.865M ▲ $-82.415M ▼ $-4.73M ▼ $77.685M ▲
Q2-2025 $35.822M $108.129M $-209.082M $176.617M $75.664M $-100.953M

Revenue by Products

Product Q3-2025Q4-2025Q1-2026Q2-2026
Credit and Debit Card
Credit and Debit Card
 $40.00M ▲$40.00M ▲$50.00M ▲$50.00M ▲
Financial Service Other
Financial Service Other
 $140.00M ▲$140.00M ▲$160.00M ▲$160.00M ▲
Service
Service
 $120.00M ▲$120.00M ▲$120.00M ▲$120.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue has climbed steadily over the last several years, and profits have improved along with it. Gross profit margins look healthy and are trending better, suggesting the core business scales well as it grows. Operating income has moved from relatively modest levels to clearly stronger territory, showing better cost control and integration of past investments. After a couple of loss-making years, net income and earnings per share are now firmly positive, which points to a business that has moved past a more challenging period into a more stable, profitable phase. The main watchpoint is whether this improved profitability can be maintained as the company continues to invest and expand.

Balance Sheet

Balance Sheet The balance sheet shows a business that has grown its asset base and, importantly, expanded its shareholders’ equity over time. Debt remains meaningful but appears manageable relative to the size of the company, indicating the use of leverage but not an extreme balance sheet. Cash levels have moved around but generally sit at a comfortable level, giving some flexibility for investment and acquisitions. Overall, the company looks more financially solid today than several years ago, with a thicker equity cushion supporting future growth and risk-taking.

Cash Flow

Cash Flow Cash generation from the underlying business has strengthened noticeably, with operating cash flow rising over the period. Free cash flow has improved from being only marginal to now clearly positive, suggesting the company is turning more of its growth into actual cash in the bank. Capital spending has been meaningful in past years but appears more controlled recently, which supports free cash flow while still allowing for ongoing technology and platform investment. The pattern suggests a transition from heavier build-out and integration to reaping more cash benefits from the existing platform.

Competitive Edge

Competitive Edge HealthEquity occupies a strong niche in consumer-directed benefits, especially around health savings and related accounts, rather than trying to be a broad, all-purpose financial giant. Its main edge comes from acting as a one-stop shop for employers, offering HSAs, FSAs, HRAs, COBRA, commuter benefits, and more on a single integrated platform. Deep partnerships with employers, health plans, and benefit advisors create high switching costs—once embedded, changing providers would be painful and disruptive for clients. The company does face competition from major financial and healthcare players, but its focused, employer-centric model and broad benefits ecosystem give it a defensible and “sticky” position if it continues to execute well.

Innovation and R&D

Innovation and R&D Innovation is a clear priority, with a heavy emphasis on using artificial intelligence and data to simplify benefits and healthcare decisions. Tools like AI-powered expedited claims and HSAnswers aim to reduce friction for members and cut manual work, while the HealthEquity Assist suite targets employers with analytics, navigation, and engagement tools. Investment advisory services for HSA investing and features like Balance Booster expand the value proposition beyond simple account administration, turning HSAs into longer-term financial tools. The big question is not whether the company is innovating—it clearly is—but whether these tools consistently drive higher engagement, better outcomes for employers and members, and measurable returns on the money being invested.

Summary

HealthEquity looks like a business that has moved from a build-out and integration phase into a more mature, profitable growth stage. Revenues and margins are trending in the right direction, cash generation is stronger, and the balance sheet appears sturdier than a few years ago, though still supported by a meaningful amount of debt. Competitively, the company benefits from a specialized, integrated platform and high switching costs in an industry that tends to be sticky once relationships are formed. Its focus on AI, analytics, and a broad benefits ecosystem positions it well for the ongoing shift toward consumer-directed healthcare. Key things to monitor going forward include the durability of margins, competitive pressure from large financial and healthcare players, regulatory changes around tax-advantaged benefits, and the payoff from continued technology and acquisition investments.

NEWS

November 13, 2025 · 9:00 AM UTC

HealthEquity to Enhance Member Experience with Agentic AI

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October 14, 2025 · 8:00 AM UTC

HealthEquity Introduces GLP-1 Telehealth and Direct HSA Enrollment Platforms

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September 25, 2025 · 9:00 AM UTC

HealthEquity Strengthens Executive Leadership Team with Strategic Appointments to Drive Growth and Innovation

Read more