Waystar fell about 1 percent today, its first drop in several days, but it remains within striking distance of its recent high. We think today's move is just ordinary market noise, as the stock drifted lower alongside the major indexes with no new company news.
Our view
Waystar is proving it can grow profits even faster than sales as more hospitals adopt its automated billing software. If you have been thinking about buying it, the current price is a fair one to pay for a business with such a strong grip on healthcare payments.
Barclays kept its overweight rating, which is their way of saying they expect the stock to do better than the average company. They raised their target price from $25 to $27. This suggests they see a bit more value in the business after the recent numbers, though it is a small adjustment compared to the current stock price.
Deutsche Bank raised its target from $36 to $39. This follows the company's report of 18 percent revenue growth and an increase in its full-year expectations. A higher target from a major firm like this shows they are becoming more confident in the company's ability to grow its profits as it automates more healthcare payments.
UBS maintained its buy rating while lowering its target from $37 to $33. Even with the lower target, the firm still sees significant room for the stock to rise from its current level. This kind of move often happens when an analyst still likes the business but wants their target to be more realistic given where the stock is actually trading.
Wells Fargo kept its overweight rating but cut its target from $36 to $33. This matches the target set by UBS on the same day. It suggests that while analysts are happy with the 18 percent growth the company just reported, they are being more cautious about how much investors are willing to pay for those earnings right now.
Alpana Wegner named as new Chief Financial Officer
The company appointed Alpana Wegner as its new Chief Financial Officer, effective August 1. She joins from a background in technology finance, which fits Waystar's focus on growing its software and AI capabilities.
A change in the person running the finances is always worth watching, but this looks like a planned move to bring in leadership that matches the company's next phase of growth. Since the company also raised its financial goals on the same day, the transition appears to be happening from a position of strength.
Analysts issued a flurry of updates following the company's latest earnings report in late July. All 17 analysts rate the stock a buy, and the average target of $33 suggests the price could rise by 32%.
Average target$32.77+32%vs $24.78 today
TodayAvg price
Low $27High $41
Strong Buy17 analysts
0Bearish
0Neutral
17Bullish
FirmRatingPrice TargetDate
Truist Financial
Buy
$33
8/13/2026
Barclays
Overweight
$25→$27
8/7/2026
Deutsche Bank
Buy
$36→$39
7/31/2026
UBS
Buy
$37→$33
7/30/2026
Wells Fargo
Overweight
$36→$33
7/30/2026
UBS
Buy
$34
7/20/2026
KeyBanc
Overweight
$30
7/1/2026
Raymond James
Strong Buy
$35→$32
4/30/2026
UBS
Buy
$41→$37
4/30/2026
Raymond James
Strong Buy
$35
3/5/2026
Wells Fargo
Overweight
$41→$36
2/19/2026
Jefferies
—
$41
2/18/2026
Waystar earnings
Management has a very consistent habit of beating expectations, clearing the bar in seven of the last eight quarters. It shows they have a firm handle on their growth and costs.
Earnings history
EstimateBeatMiss
Waystar past earnings results
Expected
Actual
Surprise
EPS
$0.40
$0.43
+8.0%
Revenue
$316M
$320M
+1.1%
Key highlights
Subscription revenue surging: Subscription sales grew 34% to $176.3 million, and this reliable recurring income now makes up 55% of the total business. This shift is vital for long-term owners because it provides more predictable cash flow compared to the slower 3% growth seen in one-time transaction fees.
Large client base expanding: The number of high-value customers who spend over $100,000 annually rose 15% to 1,453 clients. Landing these bigger contracts is essential because they are usually more stable and help maintain the company's 108% net revenue retention, which means existing clients are spending 8% more than they did last year.
Profit margins widening: Adjusted EBITDA margin, which shows the profit the company keeps from every dollar of sales after regular operating costs, increased to 43% from 41.6% a year ago. This improvement happened even as the company spent $1.6 million on costs related to a cybersecurity incident, proving the business can stay profitable while handling unexpected problems.
Guidance raised for 2026: Management now expects full year revenue to reach between $1.276 billion and $1.294 billion, up from previous targets. The company also boosted its profit outlook, projecting adjusted EBITDA to finish between $535 million and $545 million, signaling that the momentum from the first half of the year is expected to continue.
Our take: A very strong quarter that shows the business is successfully moving toward a more valuable subscription model. The 34% growth in recurring revenue is the standout figure here, as it makes the company more resilient and predictable. These results reinforce the case for holding the stock as it scales efficiently.
