David Linetsky, Senior Vice President of Life Sciences at Phreesia, Inc. (NYSE:PHR), recently sold a portion of his holdings in the company. According to a filing with the Securities and Exchange Commission, Linetsky sold 2,011 shares of Phreesia's common stock on October 15, 2024. The shares were sold at a weighted average price of $21.0251, resulting in a total transaction value of approximately $42,281.
The shares were sold as part of Phreesia's mandatory sell-to-cover policy, which is designed to cover the holder's tax withholding obligations related to the settlement of restricted stock units. Following this transaction, Linetsky retains direct ownership of 201,307 shares of Phreesia, with an additional 8,971 shares held indirectly by his spouse.
In other recent news, Phreesia, a healthcare software company, has been in the spotlight following its Q2 fiscal year 2025 results. The company reported a 19% year-over-year revenue increase, surpassing expectations, and a positive EBITDA of $7 million, a significant improvement from the previous year's loss. Analysts at Baird raised their price target for Phreesia to $34, citing strong growth outlook.
In addition to Baird, other firms including Truist Securities, Piper Sandler, Canaccord Genuity, and Needham have expressed positive sentiments about Phreesia's financial performance. Truist Securities revised its financial outlook for the company, increasing its price target to $31, and emphasized the potential for robust EBITDA performance. Piper Sandler maintained a consistent price target of $30, while Canaccord Genuity held steady at $34, both firms highlighting the company's focus on long-term profitability.
Phreesia also provided an early framework for FY26, projecting an increase in Active Healthcare Service Clients to 4,500 by year's end, up from 4,200 in fiscal year 2025, and year-over-year growth in average revenue per user. These recent developments demonstrate Phreesia's commitment to operational efficiency and sustained profitable growth.
InvestingPro Insights
To provide context to David Linetsky's recent stock sale, it's worth examining Phreesia's current financial position and market performance. According to InvestingPro data, Phreesia has a market capitalization of $1.18 billion, reflecting its position in the healthcare technology sector. The company's revenue growth remains strong, with a 22.1% increase over the last twelve months, reaching $389.96 million.
Despite this growth, Phreesia is not currently profitable, as indicated by its negative P/E ratio of -11.6. This aligns with an InvestingPro Tip stating that analysts do not anticipate the company will be profitable this year. However, it's important to note that 6 analysts have revised their earnings upwards for the upcoming period, suggesting potential improvements in financial performance.
Phreesia's stock has shown mixed performance, with a 23.96% price total return over the past year, but a -14.58% return in the last month. The company's price is currently at 69.96% of its 52-week high, indicating room for potential growth if market conditions improve.
For investors seeking more comprehensive analysis, InvestingPro offers additional tips and insights. There are 5 more InvestingPro Tips available for Phreesia, which could provide valuable perspective on the company's financial health and future prospects.
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