logo
How Will HealthEquity Stock React To Its Upcoming Earnings?

How Will HealthEquity Stock React To Its Upcoming Earnings?

Forbes02-06-2025
POLAND - 2025/02/14: In this photo illustration, the HealthEquity Inc company logo is seen displayed ... More on a smartphone screen. (Photo Illustration by Piotr Swat/SOPA Images/LightRocket via Getty Images)
HealthEquity (NASDAQ:HQY), a custodian for health savings accounts, is set to announce its earnings on Tuesday, June 3, 2025. Historically, the stock has demonstrated a strong likelihood of positive returns following its earnings announcements. Over the last five years, HQY has experienced a positive one-day return after earnings in 70% of cases, with a median increase of 3.4% and a peak one-day rise of 11.6%.
For traders focused on events, understanding these historical trends can be beneficial, although actual results will significantly impact stock performance. There are two main strategies to consider:
Analysts expect HealthEquity to report earnings of $0.81 per share on revenue of $322 million. This is an increase compared to the previous year's quarter, which recorded earnings of $0.80 per share on revenue of $288 million. From a fundamental view, HealthEquity currently boasts a market capitalization of $8.7 billion. Over the past twelve months, the company generated $1.2 billion in revenue and was operationally profitable, reporting $203 million in operating profits and a net income of $97 million. Therefore, if you are looking for growth with lower volatility than individual stocks, the Trefis High Quality portfolio offers an alternative—having outperformed the S&P 500 and delivering returns exceeding 91% since its inception. Additionally, see – Buy, Sell, or Hold HIMS Stock?
View earnings reaction history of all stocks
Some insights on one-day (1D) post-earnings returns:
Additional data for 5-Day (5D) and 21-Day (21D) returns observed post-earnings are summarized along with the statistics in the table below.
HQY 1D, 5D, and 21D Post-Earnings Return
A relatively less risky strategy (although not effective if the correlation is low) involves understanding the correlation between short-term and medium-term returns following earnings, identifying a pair with the highest correlation, and executing the appropriate trade. For instance, if 1D and 5D exhibit the highest correlation, a trader can take a 'long' position for the next 5 days if the 1D post-earnings return is positive. Here is some correlation data based on 5-year and 3-year (more recent) history. Note that the correlation 1D_5D refers to the correlation between 1D post-earnings returns and subsequent 5D returns.
HQY Correlation Between 1D, 5D, and 21D Historical Returns
Discover more about Trefis RV strategy that has outperformed its all-cap stocks benchmark (a combination of all three: the S&P 500, S&P mid-cap, and Russell 2000), delivering strong returns for investors. Furthermore, if you're seeking upside with a more stable performance than an individual stock like HealthEquity, consider the High Quality portfolio, which has outperformed the S&P and achieved returns greater than 91% since its inception.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Thinking of Buying Apple Stock? You Need to Hear What Google's CEO Just Said.
Thinking of Buying Apple Stock? You Need to Hear What Google's CEO Just Said.

Yahoo

time15 minutes ago

  • Yahoo

Thinking of Buying Apple Stock? You Need to Hear What Google's CEO Just Said.

Key Points Google's CEO thinks cellphones will be at the center of consumer experiences for "the next two to three years at least." The timeline for when cellphones might be replaced is critical for Apple investors. Apple CEO Tim Cook might provide hints at his company's post-iPhone strategy in the quarterly update on July 31. 10 stocks we like better than Apple › Apple (NASDAQ: AAPL) is scheduled to announce its fiscal year 2025 third-quarter results on Thursday, after the market closes. Investors will almost certainly focus more on what management says during the earnings call than they do the Q2 results themselves. But if you're thinking about buying Apple stock, there's another earnings call to which you might want to pay attention. Google parent Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) provided its second-quarter (Q2) update last week. And anyone considering investing in Apple needs to hear what Google's CEO -- who is also Alphabet's CEO -- just said. Parsing Pichai's comments During Alphabet's Q2 earnings call, an analyst referenced Google's partnership with Warby Parker (NYSE: WRBY) to develop AI glasses. He then asked Sundar Pichai, CEO of both Alphabet and Google, if he could picture a scenario where cellphones aren't central to people's experience. Pichai's answer was interesting. He first noted that AI will "drive new experiences" and will "spur a whole new wave of innovation." He said that Google is "super excited" about its investment in AI glasses. Pichai believes the devices will "be an exciting new emerging category." He then answered the question more directly. Pichai said, "But I still expect phones to be at the center of the experience for the next two to three years at least. And so I still think that's going to be -- phones would continue to be at the center of the consumer experience. But we are excited about the emerging categories as well." I think Pichai's comments are similar to a Rorschach test, a psychological assessment where subjects look at inkblots and describe what they see. Some could focus more on the Google CEO's inclusion of the words "at least." They could interpret his remarks as good news for Apple, since they imply there will be no existential threat to the iPhone for at least a few years and perhaps much longer. Others, though, might note that Pichai used a relatively short time frame as his baseline ("two to three years") instead of a decade or longer. This perspective implies that the days of the iPhone being at the center of the consumer experience are limited, regardless of exactly how long Apple's top product has left. Why it's important for investors now Why is what Google's CEO said important for Apple investors now? As the top executive of one of the leading developers of both smartphones and AI glasses, Pichai arguably has better insights than most into what might happen in both markets. More importantly, Apple's fortunes currently hinge on its iPhone ecosystem. Any threat to the iPhone, especially one that could conceivably be as imminent as two or three years away, could change the dynamics related to owning Apple stock. In Apple's fiscal 2025 first quarter, iPhone sales made up 49% of total net sales. However, the product's impact is even greater than that. A significant portion of services revenue, which comprised almost 28% of total sales, came from iPhone users. Part of the nearly 8% of total sales generated by wearables, home, and accessories stemmed from Apple Watches, which connect Pichai didn't sound an alarm as loudly as some industry observers have. However, his comments nonetheless underscore the critical need for Apple to successfully navigate the transition from smartphones to the next new thing -- whatever it may be and whenever it may arrive. Listen to what Tim Cook says, too When Apple gives its quarterly update later this week, you'll probably hear some people talk a lot about how the company is handling the Trump administration's tariffs. Others might focus on whether or not new generative AI capabilities for Apple Intelligence will move the needle. While those are key short-term issues, I think the most important thing to listen for is anything related to Apple's strategy for new devices, especially AI glasses. To be sure, the company's management team rarely reveals many details until they're ready to launch a new product. However, whether or not it makes sense to buy Apple stock right now depends heavily on the company's post-iPhone strategy. I predict that Apple will be able to develop AI glasses that consumers love. I fully expect the company will remain successful for a long time to come. But investors should pay attention to what Apple CEO Tim Cook and other executives say (and don't say) about what might come after the iPhone. It could be important to Apple's investment thesis. Should you invest $1,000 in Apple right now? Before you buy stock in Apple, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Apple wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $636,628!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,063,471!* Now, it's worth noting Stock Advisor's total average return is 1,041% — a market-crushing outperformance compared to 183% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 28, 2025 Keith Speights has positions in Alphabet and Apple. The Motley Fool has positions in and recommends Alphabet and Apple. The Motley Fool recommends Warby Parker. The Motley Fool has a disclosure policy. Thinking of Buying Apple Stock? You Need to Hear What Google's CEO Just Said. was originally published by The Motley Fool Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data

Where Will Chime Be in 3 Years?
Where Will Chime Be in 3 Years?

Yahoo

time15 minutes ago

  • Yahoo

Where Will Chime Be in 3 Years?

Key Points Chime stock is trading around its closing price on its first day of trading, giving retail investors a chance to buy early. It's reporting strong growth in a niche financial services sector. Management sees a large opportunity to expand its platform and its audience. 10 stocks we like better than Chime Financial › Every investor would love the opportunity to get in early on initial public offerings (IPOs). The earlier you buy, the better the chance to gain, at least in theory. That's not what always happens, especially today, when IPOs are very public indeed and often come with a lot of hype. Part of the problem is that most of an IPO's shares go to institutional investors, especially the investment banks that underwrite the offering. Retail investors get a chance to buy only after the stock is already on the open market, and with the speed at which stocks trade in the markets in the digital age, prices can run up quickly, making it unaffordable for retail investors to have any real chance at a low price. The good news, for retail investors at least, is that this model lends itself to price drops. IPO stock Chime Financial (NASDAQ: CHYM) is a great example. The IPO market has been quiet lately, and Chime was one of few exciting stocks going public in recent months. It priced its IPO at $27 per share, and the stock opened on the stock market at $43. However, it ended the first day at $35, about where it stands today, a few weeks later. Is this an opportunity for retail investors? Let's see where Chime could be three years from now. Equal access in banking Chime is an all-digital bank targeting lower-income clients with financial products to make their lives easier. It grew out of a desire to fill a gap in the banking system, which it says isn't favorable to the two-thirds of Americans who are living paycheck to paycheck. Since this population isn't filling their bank accounts with lucrative deposits, the traditional banking system charges them fees in order to make a profit from them. With today's abundant technology, Chime's founders set out to create an agile and low-cost bank with a different money-making model that relies on interchange fees from credit card payments. Instead of investing in creating its own bank, it has partnerships with two banks that give the company a small cut for the deposits they get from it. Today, Chime offers a small but growing set of services, including savings accounts and credit cards, and it has 8.6 million customers. Of the 75% of transactions per customer in the first quarter, 70% were for nondiscretionary purchases, and 67% of account holders use Chime as their primary bank account. The target population is finding value with Chime. According to a 2024 internal company survey, more people making less than $100,000 annually switched to the company or opened with it for direct deposit more than any other bank, and 75% of Chime members say they will be members for life. They have 3.3 products on average, indicating that members are enjoying being in the ecosystem. Expanding access and its market Right now, management sees an $86 billion opportunity in serving the 196 million Americans who make less than $100,000 annually, of which it has a 3% share. However, it sees potential to expand its platform and its audience and envisions a market opportunity of $426 billion. It's still getting started, which is why it could be attractive for investors. Revenue increased 24% year over year in the 2025 first quarter to $519 million, and gross margin remained at 88%. It reported positive net income in the first quarter in 2024 and 2025, but it has yet to report an annual net profit. New stocks are generally risky, but it looks like Chime has a strong and innovative business model as well as the loyalty of its members. Three years from now, the company is likely to be a lot larger, with more customers and products. Taking that 24% figure as a potential compound annual growth rate during the next three years, it would have about $3.2 billion in revenue, or close to double today's figure. It could be profitable, and if it is, the market might give it a higher valuation, increasing the chance of significant stock gains. Should you buy stock in Chime Financial right now? Before you buy stock in Chime Financial, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Chime Financial wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $636,628!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,063,471!* Now, it's worth noting Stock Advisor's total average return is 1,041% — a market-crushing outperformance compared to 183% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 28, 2025 Jennifer Saibil has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Where Will Chime Be in 3 Years? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

xSuite Group Receives Great Place to Work Certification
xSuite Group Receives Great Place to Work Certification

Yahoo

time15 minutes ago

  • Yahoo

xSuite Group Receives Great Place to Work Certification

Amazing_Culture!_US Press Release xSuite Recognition confirms the software company's commitment to creating an exceptional workplace culture Ahrensburg/Germany, July 29, 2025 – xSuite Group, a global software provider specializing in automated business processes, has officially been recognized as a 'Great Place to Work®.' The certification is awarded by the international research and consulting institute of the same name and is based on a validated process that assesses a company's workplace culture. To earn the certification, xSuite underwent a thorough review process that included anonymous feedback from employees and an evaluation of its HR practices and programs. The company, which provides innovative SaaS and software solutions—especially in the area of invoice processing within SAP—places strong emphasis on both customer-centric development and the personal and professional growth of its global team. 'We're incredibly proud of this recognition—especially because it reflects the positive feedback of our employees both in Germany and abroad,' said Haiko van Lengen, CEO of xSuite Group. 'It's a testament to the strong team spirit that defines our company culture every single day.' The survey results speak for themselves: 83% of employees rate xSuite as a 'great place to work' 96% feel they have the resources and tools needed to succeed 92% of new hires report feeling welcomed 94% agree that their managers trust them to do a good job without micromanagement 'Expertise and experience form the foundation of our success,' van Lengen continued. 'We strive to grow continuously as a team and to adopt the latest technologies so we can deliver innovative solutions to our customers. We're particularly proud of our work in artificial intelligence and our ongoing efforts to remain at the forefront of SAP-related innovation.' Evelyn Funke, Global Vice President of Human Resources, added: 'At xSuite, every single employee plays a vital role in our success—whether through writing code or delivering customer solutions. We take responsibility for our clients' business processes and the quality of our products. While the company is on a strong growth trajectory, we remain committed to maintaining a family-like atmosphere that encourages creativity and open collaboration. Our informal culture fosters a sense of belonging, allowing everyone to be themselves while contributing meaningfully to the larger mission.' About Great Place to Work® Great Place to Work® is a global authority on workplace culture, helping organizations develop strong employer brands and gain a competitive edge. Certification is based on a representative and anonymous employee survey and a cultural audit of the organization. The institute surveys over 20 million employees each year across 18,000 companies in 170 countries. The German branch, founded in 2002 and headquartered in Cologne, employs around 100 staff members. It was launched at the initiative of the European Commission as part of the Lisbon Strategy to provide a credible tool for promoting and recognizing effective workplace cultures. About xSuite Group xSuite is a software manufacturer of applications for document-based processes and provides standardized, digital solutions worldwide that enable simple, secure, and fast work. We focus mainly on the automation of important work processes in conjunction with end-to-end document management. Our core competence lies in accounts payable (AP) automation in SAP (including e-invoicing), for leading companies worldwide, as well as for public clients. This is supplemented by applications for purchasing and order processes as well as archiving – all delivered from a single source, including both software components and services. xSuite solutions operate in the cloud or in hybrid scenarios. We take pride in the high-quality solutions we offer, as evidenced by the regular certifications we receive for our SAP solutions and deployment environments." With over 300,000 users benefitting from our solutions, xSuite processes more than 80 million documents per year in over 60 countries. Founded in 1994 and headquartered in Ahrensburg, Germany, xSuite has around 300 staff across nine locations worldwide – in Europe, Asia, and the United States. Our company has an established information security management system that is certified in accordance with ISO 27001:2022. Press Contact Headquarters:Barbara WirtzxSuite Group GmbHMarketing & PRTel. +49 (0)4102/88 38 Attachment Amazing_Culture!_USError in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store