| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 37 | 41.0x | 17.3x | Bottom tier | |
Growth | 86 | 19.2% | 7.1% | Top tier | |
Quality | 70 | 4.4% | 4.5% | Top tier | |
Safety | 62 | 3.0x | 2.6x | Around median | |
Capital Return | 28 | 0.00% | 0.06% | Bottom tier | |
Momentum | 59 | -32.7% | -1.6% | Around median | |
Sentiment | 62 | 13 | 3 | Around median |
The floor: what the company is worth if growth stopped today
83% of today's price is what a buyer pays for growth that has not happened yet.
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Waystar Holding Corp., listed under the ticker WAY on NASDAQ, develops a software platform for healthcare revenue cycle management, connecting healthcare providers with insurers through coverage verification, claims submission, payment processing, and collections. It generates revenue from subscriptions and transaction volume-based services; in quarter 2 of fiscal year 2026 (ended 2026-06-30), subscription revenue was 176 million dollars and accounted for 55% of the total, while volume-based revenue was 142 million dollars. The platform processes more than 7.5 billion transactions annually and integrates with more than 500 electronic health record system providers.
Revenue for quarter 2 of fiscal year 2026 (ended 2026-06-30) was 319.7 million dollars, up 18.1% from the same quarter of the previous year, while net income was 40.9 million dollars and diluted earnings per share were 0.21 dollars. The operating margin was 23.8%, compared with 24.0% in quarter 2 of fiscal year 2025, showing that revenue growth was not accompanied by a year-over-year increase in operating margin. Operating cash flow, according to EL7 data, was approximately 59.4 million dollars for quarter 2 of fiscal year 2026.
Commercial expansion centers on selling multiple solutions to the same healthcare organization, while integrating Iodine's clinical capabilities and Waystar Altitude AI solutions to prevent claim denials and identify missed revenue. In quarter 2 of fiscal year 2026 (ended 2026-06-30), the number of clients each generating more than 100 thousand dollars in revenue over the last 12 months reached 1,453, up 15% from the same quarter of the previous year, and net revenue retention was 108%. This expanding base matters because larger deals enable sales of the entire platform, but they typically require an implementation period of 6 to 18 months before their impact becomes visible.
Q2 FY2026
Last 12 months to 2026-06-30
When: 2026-11-02
Revenue growth compared with the same quarter of the previous year at the 18.1% threshold
Operating margin at the 23.8% threshold
Net revenue retention at the 108% threshold
The median analyst target is 33 dollars, within a range of 28 dollars to 39 dollars among 5 analysts, a method that prices in expected growth and is inherently inclined toward optimism. The industry-multiple value is 32 dollars, within a range of 18 dollars to 51 dollars, based on next year's earnings and a median multiple of 18.2 among 18 companies, meaning Waystar is valued relative to its peers. The no-growth value is 4.77 dollars at a discount rate of 8.7%, representing the value of current after-tax operating profit if it remains constant forever. The analyst target of 33 dollars is close to the industry-multiple value of 32 dollars, while the no-growth value of 4.77 dollars differs substantially from both, highlighting the importance of continued growth because the first two methods reflect future expectations that the assumption of halted growth does not include.
Figures in the text are as of 2026-10-20; the live price is shown at the top of the page.
Waystar sells software for claims management, coverage verification, and collections within the healthcare revenue cycle. In quarter 2 of fiscal year 2026 (ended 2026-06-30), subscription revenue was 176 million dollars and accounted for 55% of the total, while volume-based revenue was 142 million dollars. Subscriptions grew 34% from the same quarter of the previous year, compared with growth of 3% for volume-based revenue, making the different growth drivers of the two components important to understanding the results.
Operating cash flow, according to EL7 data, for the last 12 months through 2026-06-30 was 293.0 million dollars, compared with net income of 134.8 million dollars for the same period, a conversion ratio of 217%. Free cash flow as calculated by EL7 (operating cash flow minus capital expenditures) for the last 12 months through 2026-06-30 was 246.3 million dollars. However, operating cash flow, according to EL7 data, for quarter 2 of fiscal year 2026 (ended 2026-06-30) was 59.4 million dollars, compared with 96.8 million dollars in quarter 2 of fiscal year 2025, so monitoring quarterly performance remains important alongside the last 12 months' total.
Automated analysis for informational purposes only — not investment advice.
Bookings for Iodine capabilities among existing Waystar clients exceeded 6 million dollars in quarter 2 of fiscal year 2026 (ended 2026-06-30), and AI-powered solutions accounted for approximately 40% of bookings in the same quarter. On the 2026-07-29 call, the company presented an outcome at U.S. Renal Care that achieved an 88% automated match rate between insurer recoupments and original claims, while reducing the time spent managing them by approximately 80%. These examples support the existence of commercial and operational use, but converting large deals into revenue typically takes 6 to 18 months.
The 2026-11-02 announcement provides an opportunity to assess the continuity of revenue growth after recording 18.1% compared with the same quarter of the previous year in quarter 2 of fiscal year 2026 (ended 2026-06-30). It is important to monitor the operating margin against the 23.8% level in that quarter, as spending on software development and AI continues. Net revenue retention of 108% in the same quarter also provides a benchmark for monitoring expansion among existing clients. Fiscal year 2026 revenue guidance of 1.276 billion dollars to 1.294 billion dollars remains a reference for testing whether bookings can support results.