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HSTM, HealthStream Inc.

Software asset-light Serial acquirer

HealthStream's solutions help them to professionally develop their knowledge and skills, manage and fulfill their required continuing education and certifications, manage their schedules, including swapping and filling shifts, engage with peers, provide personalized competency development, and optimize their career pathways.

Today, we are characterized by our single platform strategy, which is designed to create interoperability among the various applications in our ecosystem through our proprietary hStream technology platform.

Increasingly, our hStream technology platform extends artificial intelligence (AI) capabilities to the applications it powers and serves as the system of record on which healthcare workforce AI relies.

Latest annual: FY2025 10-K

HSTM · HealthStream Inc.

The business

What it sells, where the money comes from, the kind of company it is.

Revenue · FY2025

$304M

+4.3% YoY · 4% 5-yr CAGR

Vital signs · TTM, with 5-yr average

Revenue $312M 5-yr avg $280M

Gross margin 85%

Operating margin 7.5% 5-yr avg 5.5%

ROIC 5% 5-yr avg 4%

Owner-earnings margin 19% 5-yr avg 19%

Free cash flow margin 19% 5-yr avg 19%

The business in brief

read the 10-K →

What this business is and what moves its needle, from its own SEC filings.

Situation: Serial acquirer. Goodwill and acquired intangibles are 54% of assets, with meaningful acquisition spending in 5 of the record's 10 years; much of what this business is was bought, at prices the record carries.
What moves the needle: Operating margin has run about 5.7% through the cycle, a thin margin, where volume, cost discipline and the price it gets all bear on the result. Read this kind of business on retention and the cost of growth. On its own account, the filing leans hardest on customer concentration, set against the numbers in what the filing emphasizes, below.
Is it a good business?: Return on capital has rarely cleared the cost of capital (median 4%, above 15% in 0 of 10 years). The steadier read is owner earnings: roughly 18% of revenue reaches owners as cash, consistently, and customers and suppliers fund the business through negative working capital. This is price-taker territory, where the balance sheet and the cycle matter more than any multiple; the rest is in the 10-K.

Every line is arithmetic on the company's filings, shown in full in the sections below.

The record

Ten years of arithmetic, read across the cycle.

The record, 2016–2025

realized figures from each filing · older years to the left

2016’16	2017’17	2018’18	2019’19	2020’20	2021’21	2022’22	2023’23	2024’24	2025’25	TTMTTMMar 2026
											Income statement
$192M	$215M	$232M	$254M	$245M	$257M	$267M	$279M	$292M	$304M	$312M	RevenueRevenue
13%	11%	11%	11%	13%	16%	17%	16%	17%	17%	17%	R&D / revenueR&D/rev
$7M	$9M	$15M	$15M	$16M	$8M	$12M	$16M	$21M	$20M	$23M	Operating incomeOp. inc.
3.7%	4.4%	6.7%	5.8%	6.5%	3.1%	4.7%	5.7%	7.3%	6.7%	7.5%	Operating marginOp. mgn
$4M	$10M	$32M	$16M	$14M	$6M	$12M	$15M	$20M	$18M	$20M	Net incomeNet inc.
44%	12%	9%	19%	21%	25%	22%	18%	19%	21%	23%	Effective tax rateTax rate
											Cash flow & returns
$24M	$47M	$43M	$66M	$36M	$42M	$51M	$64M	$58M	$63M	$63M	Operating cash flowOp. cash
$20M	$24M	$24M	$28M	$30M	$37M	$38M	$41M	$41M	$43M	$44M	DepreciationDeprec.
($2M)	$11M	($15M)	$18M	($11M)	($6M)	($2M)	$4M	($8M)	($7M)	($9M)	Working capital & otherWC & other
$5M	$6M	$7M	$22M	$2M	$3M	$2M	$2M	$1M	$4M	$3M	CapexCapex
2.5%	2.6%	3.1%	8.7%	0.8%	1.3%	0.7%	0.8%	0.5%	1.2%	1.1%	Capex / revenueCapex/rev
$19M	$41M	$36M	$44M	$34M	$39M	$49M	$62M	$56M	$60M	$60M	Owner earningsOwner earn.
10.1%	19.2%	15.6%	17.2%	13.8%	15.2%	18.5%	22.1%	19.3%	19.6%	19.2%	Owner earnings marginOE mgn
$19M	$41M	$36M	$44M	$34M	$39M	$49M	$62M	$56M	$60M	$60M	Free cash flowFCF
10.1%	19.2%	15.6%	17.2%	13.8%	15.2%	18.5%	22.1%	19.3%	19.6%	19.2%	Free cash flow marginFCF mgn
$55M	—	—	$27M	$121M	$5M	$4M	$7M	$1M	$35M	$35M	AcquisitionsAcquis.
—	—	$32M	$58K	$40K	$19K	$0	$3M	$3M	$4M	$4M	Dividends paidDiv. paid
—	—	—	$0	$20M	$5M	$23M	$9M	$0	$30M	—	BuybacksBuybacks
2%	4%	8%	6%	4%	2%	3%	4%	6%	5%	5%	ROICROIC
1%	3%	10%	5%	4%	2%	4%	4%	6%	5%	6%	Return on equityROE
—	—	−0%	5%	4%	2%	4%	4%	5%	4%	5%	Retained to equityRetained/eq
											Balance sheet
$103M	$131M	$134M	$132M	$37M	$47M	$46M	$40M	$59M	$36M	$93M	Cash & investmentsCash+inv
$45M	$37M	$38M	$28M	$41M	$30M	$37M	$34M	$30M	$32M	$38M	ReceivablesReceiv.
$3M	$4M	$8M	$5M	$9M	$5M	$7M	$7M	$7M	$8M	$5M	Accounts payablePayables
$42M	$33M	$30M	$23M	$31M	$25M	$29M	$27M	$24M	$24M	$33M	Operating working capitalOper. WC
$177M	$200M	$241M	$225M	$115M	$107M	$114M	$130M	$153M	$120M	$133M	Current assetsCur. assets
$95M	$101M	$107M	$105M	$119M	$100M	$117M	$118M	$116M	$124M	$137M	Current liabilitiesCur. liab.
1.9×	2.0×	2.3×	2.1×	1.0×	1.1×	1.0×	1.1×	1.3×	1.0×	1.0×	Current ratioCurr. ratio
$86M	$86M	$86M	$102M	$178M	$183M	$192M	$191M	$191M	$218M	$213M	GoodwillGoodwill
$396M	$411M	$442M	$490M	$500M	$487M	$498M	$500M	$511M	$520M	$527M	Total assetsAssets
$286M	$300M	$319M	$338M	$334M	$339M	$334M	$341M	$359M	$354M	$352M	Shareholders’ equityEquity
1.0%	0.8%	0.8%	1.7%	0.9%	2.1%	1.3%	1.5%	1.5%	2.7%	2.7%	Stock comp / revenueSBC/rev
											Per share
32.1M	32.2M	32.3M	32.4M	32.0M	31.6M	30.7M	30.7M	30.5M	30.1M	29.4M	Shares out (diluted)Shares
$5.99	$6.67	$7.16	$7.84	$7.65	$8.12	$8.69	$9.10	$9.55	$10.09	$10.60	Revenue / shareRev/sh
$0.12	$0.31	$1.00	$0.49	$0.44	$0.18	$0.39	$0.50	$0.66	$0.61	$0.68	EPS (diluted)EPS
$0.61	$1.28	$1.12	$1.35	$1.06	$1.23	$1.61	$2.01	$1.84	$1.98	$2.04	Owner earnings / shareOE/sh
$0.61	$1.28	$1.12	$1.35	$1.06	$1.23	$1.61	$2.01	$1.84	$1.98	$2.04	Free cash flow / shareFCF/sh
—	—	$1.00	$0.00	$0.00	$0.00	$0.00	$0.10	$0.11	$0.12	$0.13	Dividends / shareDiv/sh
$0.15	$0.17	$0.22	$0.68	$0.06	$0.11	$0.06	$0.07	$0.05	$0.12	$0.11	Cap. spending / shareCapex/sh
$8.92	$9.32	$9.86	$10.43	$10.44	$10.72	$10.88	$11.11	$11.77	$11.74	$11.96	Book value / shareBVPS

Per-share growththe realized rate an owner's share compounded

	9-yr	5-yr
Revenue / share	+6.0%/yr	+5.7%/yr
Owner earnings / share	+14.1%/yr	+13.3%/yr
EPS	+20.1%/yr	+6.7%/yr
Dividends / share	−25.8%/yr (7-yr)	+150.6%/yr
Capital spending / share	−2.2%/yr	+14.5%/yr
Book value / share	+3.1%/yr	+2.4%/yr

The record, charted

FY2016–2025

Each measure over its full record; the current point and the worst year marked.

Share count

30Mpeak FY2019

ROIC

5%low FY2016

Owner earnings vs. net income

Owner earningsNet income

The accountant's number, and the cash an owner can take; the gap is the tell.

$60Mowner earningsvs.$18Mnet incomelow FY2016

Where the cash went

ReinvestBuybacksDividendsAcquisitionsRetainedBeyond op. cash

Each year's outlays against its operating cash: the mix, and how it drifts. The hatched cap is spending beyond that year's operating cash — financed from the balance sheet or borrowing, not operations.

FY2016FY2025

Owner-earnings bridge

FY2021–FY2025cash-flow statement, SEC EDGAR →

Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.

In fiscal 2025 the business turned $18M of profit into $60M of owner earnings: more cash than the profit line showed, after the non-cash charges and the capital it put back in.

Reported net income$18M

Owner earnings$60M · 20% of revenue

	FY2025	FY2024	FY2023	FY2022	FY2021
Reported net income	$18M	$20M	$15M	$12M	$6M
Depreciation & amortizationnon-cash charge added back	+$43M	+$41M	+$41M	+$38M	+$37M
Stock-based compensationreal costnon-cash, but a real cost	+$8M	+$4M	+$4M	+$4M	+$5M
Working capital & othertiming of cash in and out, other non-cash items	−$7M	−$8M	+$4M	−$2M	−$6M
Cash from operations	$63M	$58M	$64M	$51M	$42M
Capital expenditurecash put back in to keep running and to grow	−$4M	−$1M	−$2M	−$2M	−$3M
Owner earnings	$60M	$56M	$62M	$49M	$39M
Owner-earnings marginowner earnings ÷ revenue	20%	19%	22%	19%	15%

Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position . The cash-flow statement also adds stock comp back as non-cash, but it is a real cost paid in shares; counted as the expense it is (less $8M), owner earnings is nearer $51M.

Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.

III

Quality & stewardship

Returns, the balance sheet, capital allocation, and pay.

Owner’s Scorecard

FY2025 10-K · source on SEC EDGAR →

Will it survive?

Can it pay its interest? —

No meaningful interest burden

Little or no interest expense reported

What this means
Little or no interest expense reported, the business isn't leaning on lenders to operate.
How heavy is the debt, net of cash? +$83M

Net cash, debt-free

Cash $36M + ST investments $46M − debt $0

What this means
Cash and short-term investments exceed every dollar of debt by $83M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
How long is cash tied up? -29d

Negative, funded by others

DSO 39 + DIO 0 − DPO 68 days

What this means
Days cash is tied up between paying suppliers and collecting from customers. A negative cycle is a quiet moat: suppliers and customers fund the operation (Buffett's “float”), the company grows on other people's money. (Little or no inventory, a services / asset-light model, so the inventory leg is ~0.)

Is it a good business?

Return on invested capital —

Not enough data

Industry peers: median 0%

What this means
The filing data didn't include the inputs for this check.
Owner-earnings margin 17%

High through the cycle

10-yr median margin, range 10%–22%; latest $60M = operating cash $63M − maintenance capex $4M

Industry peers: median 14%

What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's 20% of revenue this year, a 17% median across 10 years. Treating stock comp as the real expense it is (less $8M of SBC) leaves $51M.
Are earnings backed by cash? 3.45×

Cash-backed

Cash from ops $63M ÷ net income $18M

In the filing’s words The filing leans on adjusted, non-GAAP earnings, but the GAAP profit is itself cash-backed — the adjustments are not papering over a cash shortfall here.

What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.

How is the cash used?

Where do the earnings go? 57%

Returns about half

Dividends + buybacks $34M ÷ Owner Earnings $60M

What this means
Of $60M Owner Earnings, $34M (57%) went back to shareholders, $4M dividends, $30M buybacks. Net of $8M stock comp, the real buyback was about $22M. Returning most of it is the mark of a mature business with little left to reinvest at a high return; reinvesting most could mean a long runway, or empire-building. The split doesn't say which; the return earned on it (see ROIC) does.
Investing or harvesting? 0.08×

Harvesting

Capex $4M ÷ depreciation $43M

What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.

Graham’s defensive tests · 1 of 5 met

Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.

Adequate size Miss

Revenue ≥ $2B · $304M

What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
Strong liquidity Miss

Current ratio ≥ 2× · 0.96×

What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
Earnings stability Pass

A profit every year (10-yr record) · no losses

What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
Dividend record Miss

Uninterrupted dividends · 7 of 10 yrs

What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
Earnings growth Near

Earnings +33% over the record · +16%

What this means
At least a third more earnings than a decade ago, averaging three years at each end. Net income (not per-share), so stock splits don't distort it, buybacks and dilution show up in the share-count line instead.
Moderate price —

P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price

What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $0.61/share (latest year $0.63), the averaged base the calculator's gate runs on, and book value is $12.12/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.

Durability & moat, 2016–2025

Whether the record’s returns held, and what the capital reinvested earned.

Profitable years 10 of 10

What this means
Never lost money over the record, the earnings stability Graham insisted on.
Operating margin 5% → 7% (3-yr avg ends)

What this means
Through the cycle the operating margin widened — about 5% early to 7% lately, median 6% — pricing power intact or improving.
Owner earnings growth +7%/yr

What this means
Owner earnings grew about 7% a year over the record.
Worst year 2021 · 3.1% op. margin

What this means
Stayed profitable even in its hardest year, the resilience that survives recessions.
Share count −0.7%/yr

What this means
The share count is shrinking, buybacks are quietly growing your slice of the business.
Dividend record paid

What this means
Paid a dividend in 7 of the years on record.

Does AI threaten the moat?

Elevated contestability

The product is software or information, the very thing capable AI now produces more cheaply, so the moat is more contestable than the record alone implies.

In its own filing A competitive risk, new this year

Its FY2025 10-K names artificial intelligence as a competitive threat, in language that was not in the prior year's filing.

“AI technology and services are a highly competitive and rapidly evolving market.”

AI has collapsed the cost of building a capable substitute for the very thing this business sells. When a credible alternative can be assembled for a fraction of the incumbent's price, it is pricing power that erodes first, not revenue tomorrow. The live question is whether the moat survives that, not whether it held in the past. Whether that question is answerable at all is yours to decide, against your own circle of competence.

Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.

All figures as filed; the source filing is linked above.

Current Position

as of the latest quarter, Mar 31, 2026

Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.

Current assets$133M

Cash & short-term investments$93M
Receivables$38M
Other current assets$2M

Current liabilities$137M

Accounts payable$5M
Other current liabilities$131M

Current ratio0.97×all current assets ÷ what's due · Graham looked for 2×

Quick ratio0.97×stricter: inventory excluded

Cash ratio0.68×strictest: cash alone against what's due

Working capital($3M)the cushion left after near-term bills

Its current ratio is below 1, which usually reads as strain; here it is likely structural strength. This business collects from customers before it pays suppliers (a negative cash-conversion cycle), so the balance sheet is funded by that float, the way Costco's and Amazon's are. The low ratio can be the edge, not the risk; the cash-conversion cycle and the debt due above say which.

Revenue, latest quarter vs. a year ago+10.5%the freshest read on whether the business is still growing

Current ratio, recent quarters1.2× → 1.0×

Deeper floors

Tangible book value$76Mequity stripped of goodwill & intangibles

Debt incl. operating leases$45M$17M of it operating leases

Deferred revenue$108Mcustomer cash collected before delivery; operating float

From the company's latest filing.

How the cash was used, 2016–2025

Over the record, the business generated $494M of operating cash; how management split it reads as a balanced allocator, splitting cash between the business, owners, and the balance sheet.

Reinvested$54M · 11%
Dividends$43M · 9%
Buybacks$87M · 18%
Retained (debt / cash)$311M · 63%

Returned to owners$130M
29% of the owner earnings the business produced over the span, $43M as dividends and $87M as buybacks.
Average price paid for buybacks$20.91
Across the years where the filing reports a share count, 1M shares were bought for $20M, about $20.91 each.
Net change in share count−8.2%
The diluted count fell from 32M to 29M, so the buybacks outran the stock issued to staff.
Dividend record$0.12/sh
Paid in 7 of the years on record, the per-share dividend shrinking about 26% a year. It was cut at least once along the way.
Return on what it retained154%
Of the earnings it kept rather than paid out ($18M over the span), annual owner earnings (first three years vs last three) grew $27M, so each retained $1 added about 1.54 of yearly owner earnings. Buffett's test, run on owner earnings instead of market value.

Buybacks are gross of stock issued to staff; the share-count line above is the net of that, the figure that decides whether owners gained. The average price paid blends a year of purchases (and any accelerated repurchase), so it is close, not exact. The record of where the cash went and on what terms.

Acquisitions & goodwill

from the balance sheet & the 10-year cash-flow record

Goodwill grows only when a company acquires and falls only when it concedes it overpaid. The size of that bet, the cash put into buying rather than building, and how much has already been written off.

Goodwill & intangibles$282M54% of all assets; the premium carried on the balance sheet for businesses acquired

Against book equity61%goodwill is this share of book equity; the rest is the company’s own retained and paid-in capital

Cash spent acquiring$255Mover 10 years buying other businesses, against $54M of capital spent building

None written down over the record; the goodwill is still carried at full cost. That is the deals holding their value on the books so far; whether they keep doing so is the test an owner watches, since the write-down, when it comes, is the admission the price was too high.

Goodwill, acquired intangibles and equity from the latest balance sheet; acquisition spend and write-downs summed across the 10-year record, from the company's own filings.

Management, ownership & pay

read the proxy →

From the proxy: how much of the business the people running it own, and how they are paid, beside what the business earned for its owners in the same years.

Fiscal year	Chief executive	Pay, as filed	“Actually paid”	Owner earnings
2021	Robert A. Frist, Jr.	$642k	$714k	$39M
2022	Robert A. Frist, Jr.	$750k	$735k	$49M
2023	Robert A. Frist, Jr.	$727k	$788k	$62M
2024	Robert A. Frist, Jr.	$702k	$787k	$56M
2025	Robert A. Frist, Jr.	$868k	$715k	$60M

Both pay figures are the company’s own, from the pay-versus-performance table its proxy statement files. “As filed” is the Summary Compensation Table total: salary, bonus, and equity awards at their value on the day of grant. “Actually paid” is the SEC’s prescribed recalculation, which re-marks those equity awards to what they became as they vested; it can swing far above or below the filed figure in either direction, and negative years occur. Owner earnings are the whole business's, from the record above, for the same fiscal years.

Insider ownership<1%
The stake all directors and executive officers hold together, per the 2026 proxy: skin in the game, the first thing Munger reads.
CEO pay ratio52:1
What the chief earns for every dollar the median employee makes, per the 2026 proxy. A high ratio alone settles nothing; some businesses are genuinely top-heavy in scarce skill. A runaway figure is where Buffett starts asking whether the board is doing its job.
Stock-based compensation$8M
The slice of the business handed to employees in shares this year, 3% of revenue, equal to 40% of operating profit. Buffett's oldest accounting fight: this is compensation, compensation is an expense, real whether or not the headline earnings admit it. One trap: the cash-flow statement adds SBC back, so the operating cash, and the owner earnings drawn from it, are flattered by exactly this amount; counted as the cost it is, what an owner keeps is lower.

Inverting the record

Invert: instead of why HealthStream Inc. is a good business, the question is what would make owning it a mistake, and whether those marks are in the record. Disconfirming tests across 2016–2025.

None of the 4 tests turned up a mark; each came back clean. A clean panel says only that these particular ways of being wrong are not written into the record.

Each test came back clean

Is it less profitable than it was?
Did the share count rise anyway?
Did reported profit become cash?
Did receivables and inventory outpace sales?

Each test is read from the filings and is noisy alone; a flag can mark a cyclical trough or a year of heavy investment as easily as a problem. The filing says which.

Peers, Software

The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.

Company	Revenue	Gross margin	Op. margin	ROIC	Owner earn. margin
ZIPZipRecruiter Inc.	$449M	89%	0.3%	10%	14%
GRNDGrindr Inc.	$440M	—	21.4%	22%	26%
DSPViant Technology Inc.	$344M	46%	1.2%	-8%	13%
AGYSAgilysys	$319M	61%	-2.5%	-14%	17%
DOMODomo, Inc.	$319M	73%	-34.5%	—	-8%
HSTMHealthStream Inc.	$304M	86%	5.8%	4%	18%
PUBMPubMatic Inc.	$283M	68%	7.5%	8%	25%
NXDRNextdoor Holdings Inc.	$258M	83%	-55.8%	-24%	-28%
Group median	—	73%	0.7%	4%	15%

The price

What a price has to assume.

What the price implies

reverse-DCF

Type today's close and see the owner-earnings growth you'd have to believe to justify it, beside what HealthStream Inc. has delivered.

Today’s price $

Through the cycle, HealthStream Inc. earns about $54M on its 17.9% median owner-earnings margin. This year’s 19.6% margin runs in line with that. Normalize, below, values the price on that through-cycle figure rather than the latest year.

Base Normalize · through-cycle ($54M) Net of stock comp (−$8M)

—

The assumptions Required return 9% Years of high growth 10 Terminal growth 2.5%

9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.

Enter a price above to run it.

Implied by the price—

Owner-earnings growth · ’21→’25+7%/yr

Owner-earnings growth · ’16→’25+7%/yr

Owner-earnings yield—

P/E (3-yr earnings ’23–’25)—

P/B—

Graham’s price gate—

Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.

Against a high-grade bond: Graham’s yardstick bond yield%

Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.

Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.

Owner earnings $60M on 29M shares outstanding, per the 10-Q cover, as of 2026-05-04; net cash $65M. The base is the latest year by default; Normalize values it on the through-cycle median owner-earnings margin (to avoid paying on a peak year). Net of stock comp treats option pay as the expense it is. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.

Weigh HSTM against another business →

The owners of HSTM: the meeting and the votes →

Cite: Owner Scorecard, "HealthStream Inc. (HSTM), the owner's record," https://ownerscorecard.com/c/HSTM, data as of 2026-07-09.

Manual order: ← HST its page in the Manual HSY →

Industry order: ← HPAI the Software chapter HUBS →