Well being Catalyst, Inc. (NASDAQ:HCAT), having a share value below $10, sturdy hedge fund curiosity, and a low price-to-earnings ratio, ranks among the many 11 Most Undervalued Cloud Shares Underneath $10 In keeping with Hedge Funds.
An information heart operator engaged on a rack of servers, emphasizing the corporate’s cloud companies.
On July 1, 2025, Wells Fargo set its value goal at $10 for Well being Catalyst, Inc. (NASDAQ:HCAT), sustaining a ‘Purchase’ score. HCAT’s shares are presently buying and selling at round $4, implying a big upside as per the analyst.
The analyst believes that Well being Catalyst, Inc. (NASDAQ:HCAT) is valued a lot decrease than its friends, which units the corporate up for future progress via constant efficiency. The agency expects optimistic progress within the firm’s bookings within the upcoming Q2, which is more likely to increase investor sentiment.
In the meantime, the corporate’s sturdy income visibility for 2025 is famous, together with an anticipated acceleration in its DOS shopper progress. Trying forward, the analyst expects the corporate to enhance its dollar-based retention price, enhancing its buyer loyalty and income base. Legislative uncertainties, alternatively, are anticipated to be short-term considerations with minimal long-term impression. Lastly, the corporate’s EBITDA progress was additionally highlighted as a key motive for the optimistic outlook.
With Well being Catalyst Ignite, a cloud-based knowledge and analytics platform, Well being Catalyst, Inc. (NASDAQ:HCAT) serves healthcare entities, enhancing scientific, monetary, and operational outcomes. It’s included in our record of the very best cloud shares.
Whereas we acknowledge the potential of HCAT as an funding, we imagine sure AI shares supply higher upside potential and carry much less draw back danger. If you happen to’re in search of an especially undervalued AI inventory that additionally stands to learn considerably from Trump-era tariffs and the onshoring development, see our free report on the greatest short-term AI inventory.
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Disclosure: None.