HealthEquity, Inc. (HQY) 10-Year Financial Performance & Capital Metrics

HQY • • Industrial / General

HealthcareHealthcare ITRevenue Cycle ManagementPatient Financial Services

AboutHealthEquity, Inc. provides technology-enabled services platforms to consumers and employers in the United States. The company offers cloud-based platforms for individuals to make health saving and spending decisions, pay healthcare bills, compare treatment options and prices, receive personalized benefit and clinical information, earn wellness incentives, grow their savings, and make investment choices; and health savings accounts. It also provides mutual fund investment platform; and online-only automated investment advisory services through Advisor, a Web-based tool. In addition, the company offers flexible spending accounts; health reimbursement arrangements; and Consolidated Omnibus Budget Reconciliation Act continuation services, as well as administers pre-tax commuter benefit programs. It serves clients through a direct sales force; benefits brokers and advisors; and a network of health plans, benefits administrators, benefits brokers and consultants, and retirement plan record-keepers. The company was incorporated in 2002 and is headquartered in Draper, Utah.Show more

Revenue $1.2B +20.0%
EBITDA $325M +15.5%
Net Income $97M +73.6%
EPS (Diluted) 1.09 +70.3%
Gross Margin 64.78% +4.0%
EBITDA Margin 27.07% -3.8%
Operating Margin 13.53% +5.6%
Net Margin 8.06% +44.6%
ROE 4.66% +64.4%
ROIC 4.43% +20.0%
Debt/Equity 0.52 +14.3%
Interest Coverage 2.68 +15.9%

Technical Analysis

Key Insights

Based on financial data analysis

✓Strengths

✓Strong 5Y profit CAGR of 19.5%
✓FCF machine: 28.2% free cash flow margin
✓High quality earnings: Operating CF exceeds net income
✓Strong 5Y sales CAGR of 17.7%

✗Weaknesses

✗Weak 3Y average ROE of 2.0%
✗Thin 5Y average net margin of 1.2%

Price & Volume

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Growth Metrics

Revenue CAGR

10Y29.88%

5Y17.66%

3Y16.61%

TTM12.2%

Profit (Net Income) CAGR

10Y25.26%

5Y19.51%

3Y-

TTM98.37%

EPS CAGR

10Y17.9%

5Y13.45%

3Y-

TTM99.21%

ROCE

10Y Avg8.93%

5Y Avg3.07%

3Y Avg3.57%

Latest5.12%

Peer Comparison

Patient Financial Services

Name	Market Cap	Current Price	P/E Ratio	Revenue Growth 1Y	Net Margin	ROE	FCF Yield	Debt/Equity
HQYHealthEquity, Inc.	7.49B	86.94	79.76	20.03%	14.86%	8.99%	4.51%	0.52
GDRXGoodRx Holdings, Inc.	282.66M	2.68	64.11	5.61%	3.97%	5.29%	40.17%	0.75

Profit & Loss

	Jan 2016	Jan 2017	Jan 2018	Jan 2019	Jan 2020	Jan 2021	Jan 2022	Jan 2023	Jan 2024	Jan 2025
Sales/Revenue+	126.79M	178.37M	229.53M	287.24M	531.99M	733.57M	756.56M	861.75M	999.59M	1.2B
Revenue Growth %	0.44%	0.41%	0.29%	0.25%	0.85%	0.38%	0.03%	0.14%	0.16%	0.2%
Cost of Goods Sold+	54.19M	72.02M	94.61M	106.05M	206.08M	318.24M	332.85M	371.66M	376.95M	422.51M
COGS % of Revenue	0.43%	0.4%	0.41%	0.37%	0.39%	0.43%	0.44%	0.43%	0.38%	0.35%
Gross Profit+	72.6M	106.36M	134.92M	181.19M	325.91M	415.33M	423.71M	490.09M	622.64M	777.26M
Gross Margin %	0.57%	0.6%	0.59%	0.63%	0.61%	0.57%	0.56%	0.57%	0.62%	0.65%
Gross Profit Growth %	0.51%	0.46%	0.27%	0.34%	0.8%	0.27%	0.02%	0.16%	0.27%	0.25%
Operating Expenses+	46.45M	65.14M	80.5M	103.52M	216.79M	335.33M	383.14M	452.44M	504.28M	614.92M
OpEx % of Revenue	0.37%	0.37%	0.35%	0.36%	0.41%	0.46%	0.51%	0.53%	0.5%	0.51%
Selling, General & Admin	27.41M	38.47M	48.25M	62.54M	104.51M	134.46M	142.98M	164.48M	182.93M	223M
SG&A % of Revenue	0.22%	0.22%	0.21%	0.22%	0.2%	0.18%	0.19%	0.19%	0.18%	0.19%
Research & Development	16.83M	22.38M	27.39M	35.06M	77.58M	124.81M	157.36M	193.38M	218.81M	239.51M
R&D % of Revenue	0.13%	0.13%	0.12%	0.12%	0.15%	0.17%	0.21%	0.22%	0.22%	0.2%
Other Operating Expenses	-589K	-1.09M	-2.23M	-1.85M	34.7M	76.06M	82.79M	94.59M	0	152.41M
Operating Income+	26.14M	41.21M	54.42M	77.67M	77.01M	83.28M	34.64M	38.92M	128.13M	162.33M
Operating Margin %	0.21%	0.23%	0.24%	0.27%	0.14%	0.11%	0.05%	0.05%	0.13%	0.14%
Operating Income Growth %	0.55%	0.58%	0.32%	0.43%	-0.01%	0.08%	-0.58%	0.12%	2.29%	0.27%
EBITDA+	34.74M	54.4M	70.37M	95.86M	132.36M	199.18M	171.82M	200.13M	281.21M	324.79M
EBITDA Margin %	0.27%	0.3%	0.31%	0.33%	0.25%	0.27%	0.23%	0.23%	0.28%	0.27%
EBITDA Growth %	0.88%	0.57%	0.29%	0.36%	0.38%	0.5%	-0.14%	0.16%	0.41%	0.15%
D&A (Non-Cash Add-back)	8.6M	13.19M	15.95M	18.18M	55.35M	115.9M	137.19M	161.2M	153.08M	162.45M
EBIT	25.55M	40.12M	52.46M	76.09M	67.93M	39.02M	-30.17M	10.33M	129.34M	176.67M
Net Interest Income+	0	0	-274K	1.68M	-18.87M	-33.84M	-35.07M	-46.66M	-43.32M	-46.72M
Interest Income	0	0	0	1.68M	5.91M	1.04M	1.5M	1.76M	12.14M	13.91M
Interest Expense	0	0	274K	0	24.77M	34.88M	36.57M	48.42M	55.45M	60.63M
Other Income/Expense	-589K	-1.09M	-2.23M	-1.85M	-33.85M	-29.87M	-42.5M	-47.15M	-53.09M	-46.3M
Pretax Income+	25.55M	40.12M	52.19M	75.82M	43.16M	4.14M	-66.74M	-38.1M	75.04M	116.03M
Pretax Margin %	0.2%	0.22%	0.23%	0.26%	0.08%	0.01%	-0.09%	-0.04%	0.08%	0.1%
Income Tax+	8.94M	13.74M	4.83M	1.92M	3.49M	-4.69M	-22.45M	-11.95M	19.33M	19.33M
Effective Tax Rate %	0.65%	0.66%	0.91%	0.97%	0.92%	2.13%	0.66%	0.69%	0.74%	0.83%
Net Income+	16.61M	26.38M	47.36M	73.9M	39.66M	8.83M	-44.29M	-26.14M	55.71M	96.7M
Net Margin %	0.13%	0.15%	0.21%	0.26%	0.07%	0.01%	-0.06%	-0.03%	0.06%	0.08%
Net Income Growth %	0.63%	0.59%	0.8%	0.56%	-0.46%	-0.78%	-6.01%	0.41%	3.13%	0.74%
Net Income (Continuing)	16.61M	26.38M	47.36M	73.9M	39.66M	8.83M	-44.29M	-26.14M	55.71M	96.7M
Discontinued Operations	0	0	0	0	0	0	0	0	0	0
Minority Interest	0	0	0	0	0	0	0	0	0	0
EPS (Diluted)+	0.28	0.44	0.77	1.17	0.58	0.12	-0.53	-0.31	0.64	1.09
EPS Growth %	0.33%	0.57%	0.75%	0.52%	-0.5%	-0.79%	-5.42%	0.42%	3.06%	0.7%
EPS (Basic)	0.29	0.45	0.79	1.20	0.59	0.12	-0.53	-0.31	0.65	1.11
Diluted Shares Outstanding	58.86M	59.89M	61.85M	63.37M	68.45M	75.68M	83.13M	84.44M	86.96M	88.83M
Basic Shares Outstanding	56.72M	58.62M	60.3M	61.84M	67.03M	74.23M	83.13M	84.44M	85.56M	86.87M
Dividend Payout Ratio	-	-	-	-	-	-	-	-	-	-

Balance Sheet

	Jan 2016	Jan 2017	Jan 2018	Jan 2019	Jan 2020	Jan 2021	Jan 2022	Jan 2023	Jan 2024	Jan 2025
Total Current Assets+	143.05M	200.82M	265.4M	394.68M	297.3M	460.18M	351.34M	382.89M	557.44M	477.75M
Cash & Short-Term Investments	123.78M	180.36M	240.27M	361.48M	191.73M	328.8M	225.41M	254.27M	403.98M	295.95M
Cash Only	83.64M	139.95M	199.47M	361.48M	191.73M	328.8M	225.41M	254.27M	403.98M	295.95M
Short-Term Investments	40.13M	40.41M	40.8M	0	0	0	0	0	0	0
Accounts Receivable	14.31M	17M	21.6M	25.67M	70.86M	72.77M	87.43M	96.83M	104.89M	118.01M
Days Sales Outstanding	41.19	34.79	34.35	32.62	48.62	36.21	42.18	41.02	38.3	35.9
Inventory	620K	592K	215K	0	0	0	0	0	0	0
Days Inventory Outstanding	4.18	3	0.83	-	-	-	-	-	-	-
Other Current Assets	4.34M	2.87M	3.31M	7.53M	34.71M	58.61M	38.49M	31.79M	48.56M	63.8M
Total Non-Current Assets+	76.75M	78.32M	103.76M	115.34M	2.27B	2.25B	2.76B	2.71B	2.61B	2.97B
Property, Plant & Equipment	3.51M	5.17M	7.84M	8.22M	116.66M	118.61M	86.98M	69.32M	54.39M	46.42M
Fixed Asset Turnover	36.16x	34.50x	29.29x	34.93x	4.56x	6.18x	8.70x	12.43x	18.38x	25.84x
Goodwill	4.65M	4.65M	4.65M	4.65M	1.33B	1.33B	1.65B	1.65B	1.65B	1.65B
Intangible Assets	66.84M	65.02M	83.64M	79.67M	783.28M	767M	973.14M	936.36M	835.95M	1.2B
Long-Term Investments	-2.64M	760K	706K	0	0	0	0	0	0	0
Other Non-Current Assets	1.75M	1.1M	1.47M	21.12M	35.09M	37.42M	49.81M	52.18M	67.87M	71.57M
Total Assets+	219.79M	279.14M	369.16M	510.02M	2.56B	2.71B	3.11B	3.09B	3.16B	3.45B
Asset Turnover	0.58x	0.64x	0.62x	0.56x	0.21x	0.27x	0.24x	0.28x	0.32x	0.35x
Asset Growth %	0.38%	0.27%	0.32%	0.38%	4.03%	0.06%	0.15%	-0.01%	0.02%	0.09%
Total Current Liabilities+	12.11M	15.7M	20.49M	29.05M	151.94M	204.7M	153.19M	131.06M	117.09M	156.32M
Accounts Payable	2.43M	3.22M	2.42M	3.52M	3.98M	1.61M	27.54M	13.9M	12.04M	14.36M
Days Payables Outstanding	16.37	16.33	9.34	12.12	7.05	1.85	30.2	13.65	11.66	12.41
Short-Term Debt	0	0	0	0	39.06M	62.5M	8.75M	17.5M	0	0
Deferred Revenue (Current)	0	0	0	0	0	0	0	0	0	0
Other Current Liabilities	7.78M	8.72M	12.55M	16.98M	50.12M	50.67M	47.14M	45.84M	49.61M	69.33M
Current Ratio	11.82x	12.79x	12.95x	13.58x	1.96x	2.25x	2.29x	2.92x	4.76x	3.06x
Quick Ratio	11.77x	12.75x	12.94x	13.58x	1.96x	2.25x	2.29x	2.92x	4.76x	3.06x
Cash Conversion Cycle	28.99	21.46	25.85	-	-	-	-	-	-	-
Total Non-Current Liabilities+	4.23M	1.49M	2.4M	3.88M	1.38B	1.13B	1.1B	1.06B	1.01B	1.18B
Long-Term Debt	0	0	0	0	1.18B	924.22M	922.08M	907.84M	874.97M	1.06B
Capital Lease Obligations	0	0	0	0	68.02M	74.22M	65.23M	58.99M	48.77M	42.22M
Deferred Tax Liabilities	4M	37K	0	916K	130.49M	119.73M	99.85M	82.67M	68.67M	55.83M
Other Non-Current Liabilities	236K	1.46M	2.4M	2.97M	2.63M	8.81M	14.19M	12.71M	19.27M	22.96M
Total Liabilities	16.34M	17.2M	22.89M	32.94M	1.53B	1.33B	1.25B	1.19B	1.13B	1.33B
Total Debt+	0	0	0	0	1.3B	1.07B	1.01B	994.49M	933.14M	1.11B
Net Debt	-83.64M	-139.95M	-199.47M	-361.48M	1.11B	746.17M	782.82M	740.22M	529.16M	812.57M
Debt / Equity	-	-	-	-	1.26x	0.78x	0.54x	0.52x	0.46x	0.52x
Debt / EBITDA	-	-	-	-	9.83x	5.40x	5.87x	4.97x	3.32x	3.41x
Net Debt / EBITDA	-2.41x	-2.57x	-2.83x	-3.77x	8.38x	3.75x	4.56x	3.70x	1.88x	2.50x
Interest Coverage	-	-	198.61x	-	3.11x	2.39x	0.95x	0.80x	2.31x	2.68x
Total Equity+	203.46M	261.94M	346.27M	477.08M	1.03B	1.38B	1.85B	1.9B	2.04B	2.11B
Equity Growth %	0.41%	0.29%	0.32%	0.38%	1.16%	0.34%	0.34%	0.02%	0.07%	0.04%
Book Value per Share	3.46	4.37	5.60	7.53	15.05	18.22	22.28	22.45	23.40	23.81
Total Shareholders' Equity	203.46M	261.94M	346.27M	477.08M	1.03B	1.38B	1.85B	1.9B	2.04B	2.11B
Common Stock	6K	6K	6K	6K	7K	8K	8K	8K	9K	9K
Retained Earnings	3.61M	29.98M	85.3M	171.85M	211.51M	220.35M	176.06M	149.92M	205.63M	209.27M
Treasury Stock	0	0	0	0	0	0	0	0	0	0
Accumulated OCI	-98K	-165K	-269K	0	0	0	0	0	0	0
Minority Interest	0	0	0	0	0	0	0	0	0	0

Cash Flow

	Jan 2016	Jan 2017	Jan 2018	Jan 2019	Jan 2020	Jan 2021	Jan 2022	Jan 2023	Jan 2024	Jan 2025
Cash from Operations+	26.54M	45.59M	81.7M	113.42M	105.86M	181.62M	141M	150.65M	242.83M	339.86M
Operating CF Margin %	0.21%	0.26%	0.36%	0.39%	0.2%	0.25%	0.19%	0.17%	0.24%	0.28%
Operating CF Growth %	0.76%	0.72%	0.79%	0.39%	-0.07%	0.72%	-0.22%	0.07%	0.61%	0.4%
Net Income	16.61M	26.38M	47.36M	73.9M	39.66M	8.83M	-44.29M	-26.14M	55.71M	96.7M
Depreciation & Amortization	8.6M	13.19M	15.95M	18.18M	55.35M	115.9M	137.19M	161.2M	153.08M	162.45M
Stock-Based Compensation	5.88M	8.4M	14.31M	21.06M	39.84M	42.86M	52.75M	62.61M	77.15M	96.42M
Deferred Taxes	-2.18M	-2.89M	4.31M	408K	3.67M	-5.13M	-23.43M	-17.18M	-13.99M	-12.84M
Other Non-Cash Items	47K	103K	220K	1.17M	-23.15M	6.86M	17.15M	3.53M	4.01M	3.64M
Working Capital Changes	-2.42M	419K	-448K	-1.3M	-9.52M	12.29M	1.63M	-33.37M	-33.13M	-6.53M
Change in Receivables	-5.17M	-2.73M	-4.73M	-4.31M	-6.13M	-413K	-11.2M	-9.57M	-8.06M	-13.11M
Change in Inventory	5K	28K	377K	-2.29M	-4.1M	-30.42M	0	0	0	0
Change in Payables	1.01M	567K	-581K	863K	-3.84M	30.42M	-2.18M	-26.67M	-204K	8.89M
Cash from Investing+	-90.55M	-13.05M	-36.75M	25.65M	-1.74B	-96.96M	-639.25M	-119.13M	-46.07M	-505.45M
Capital Expenditures	-49.76M	-12.68M	-33.38M	-15.04M	-42.07M	-96.96M	-137.08M	-119.13M	-1.69M	-2.08M
CapEx % of Revenue	0.39%	0.07%	0.15%	0.05%	0.08%	0.13%	0.18%	0.14%	0%	0%
Acquisitions	-	-	-	-	-	-	-	-	-	-
Investments	-	-	-	-	-	-	-	-	-	-
Other Investing	-88.18M	-9.41M	-27.93M	-11.17M	-34.79M	-83.87M	-128.17M	-115.76M	-44.38M	-503.37M
Cash from Financing+	36.65M	23.78M	14.56M	22.93M	1.47B	52.42M	394.86M	-2.67M	-47.04M	57.57M
Debt Issued (Net)	-	-	-	-	-	-	-	-	-	-
Equity Issued (Net)	-	-	-	-	-	-	-	-	-	-
Dividends Paid	0	0	0	0	0	0	0	0	0	0
Share Repurchases	-	-	-	-	-	-	-	-	-	-
Other Financing	13.15M	23.78M	14.56M	22.93M	-234.95M	4.71M	3.27M	-603K	865K	4.06M
Net Change in Cash	-	-	-	-	-	-	-	-	-	-
Free Cash Flow+	-23.22M	32.92M	48.32M	98.38M	63.78M	84.66M	3.91M	31.52M	196.75M	337.77M
FCF Margin %	-0.18%	0.18%	0.21%	0.34%	0.12%	0.12%	0.01%	0.04%	0.2%	0.28%
FCF Growth %	-4.36%	2.42%	0.47%	1.04%	-0.35%	0.33%	-0.95%	7.05%	5.24%	0.72%
FCF per Share	-0.39	0.55	0.78	1.55	0.93	1.12	0.05	0.37	2.26	3.80
FCF Conversion (FCF/Net Income)	1.60x	1.73x	1.73x	1.53x	2.67x	20.56x	-3.18x	-5.76x	4.36x	3.51x
Interest Paid	51K	213K	203K	203K	21.81M	0	0	43.57M	49.56M	58.59M
Taxes Paid	1.36M	863K	27K	587K	9.28M	0	0	1.53M	35.35M	26.07M

Key Ratios

Metric	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Return on Equity (ROE)	9.56%	11.33%	15.57%	17.95%	5.26%	0.73%	-2.74%	-1.4%	2.83%	4.66%
Return on Invested Capital (ROIC)	25.65%	25.57%	30.37%	44.4%	5.12%	2.93%	1.09%	1.11%	3.7%	4.43%
Gross Margin	57.26%	59.63%	58.78%	63.08%	61.26%	56.62%	56%	56.87%	62.29%	64.78%
Net Margin	13.1%	14.79%	20.63%	25.73%	7.46%	1.2%	-5.85%	-3.03%	5.57%	8.06%
Debt / Equity	-	-	-	-	1.26x	0.78x	0.54x	0.52x	0.46x	0.52x
Interest Coverage	-	-	198.61x	-	3.11x	2.39x	0.95x	0.80x	2.31x	2.68x
FCF Conversion	1.60x	1.73x	1.73x	1.53x	2.67x	20.56x	-3.18x	-5.76x	4.36x	3.51x
Revenue Growth	44.31%	40.69%	28.68%	25.15%	85.21%	37.89%	3.13%	13.9%	16%	20.03%

Revenue by Segment

	2019	2020	2021	2022	2023	2024	2025
Financial Service, Other	126.18M	181.89M	190.93M	202.82M	283.11M	386.59M	545.41M
Financial Service, Other Growth	-	44.16%	4.97%	6.22%	39.59%	36.55%	41.08%
Service	100.56M	262.87M	430.97M	426.91M	430.2M	455.69M	478.32M
Service Growth	-	161.39%	63.95%	-0.94%	0.77%	5.93%	4.97%
Credit and Debit Card	60.5M	87.23M	111.67M	126.83M	148.44M	157.3M	176.04M
Credit and Debit Card Growth	-	44.18%	28.01%	13.57%	17.04%	5.97%	11.91%

Frequently Asked Questions

Valuation & Price

HealthEquity, Inc. (HQY) has a price-to-earnings (P/E) ratio of 79.8x. This suggests investors expect higher future growth.

Growth & Financials

HealthEquity, Inc. (HQY) reported $1.29B in revenue for fiscal year 2025. This represents a 2700% increase from $46.1M in 2013.

HealthEquity, Inc. (HQY) grew revenue by 20.0% over the past year. This is strong growth.

Yes, HealthEquity, Inc. (HQY) is profitable, generating $191.8M in net income for fiscal year 2025 (8.1% net margin).

Dividend & Returns

HealthEquity, Inc. (HQY) has a return on equity (ROE) of 4.7%. This is below average, suggesting room for improvement.

HealthEquity, Inc. (HQY) generated $399.7M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.

US Stock Screener

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