Phreesia, Inc. (PHR)
NYSEHealth CareMedical - Healthcare Information ServicesSnapshot 2026-09-04
$10.94-1.44%
Close 2026-09-04 · 1-day change
NYSEHealth CareMedical - Healthcare Information ServicesSnapshot 2026-09-04
Intact: The reason to own it still holds.
Phreesia aims for $510M-$520M revenue in fiscal 2027. Adjusted EBITDA target is $125M-$135M for 2027. The company cut costs with restructuring to improve profits. Revenue grew from $109.7M in 2025-Q4 to $130.9M in 2027-Q1.
Legal issues and competition may hurt growth and profits. Recent earnings missed expectations. Guidance was cut, showing risks to targets.
The price is about 9% below our fair value near $12. Analysts expect 5% revenue growth. Our view aligns with the Street on growth but sees risks from legal and profit pressures.
Breaks if: Adjusted EBITDA falls below $125M in FY 2027
Phreesia maintains its adjusted EBITDA outlook of $125 million to $135 million for fiscal year 2027.
Breaks if: Operating expenses do not decrease or align with priorities
Implement restructuring plan to reduce operating expenses and align cost structure with business priorities.
Stated as a priority in 2 of last 3 quarters. The restructuring plan was implemented in May 2026 with $2.8 million of charges recognized in 2026-Q3. Operating income improved from -$1.5 million in 2026-Q2 to $7.6 million in 2026-Q3, reflecting progress in expense reduction and cost structure alignment. The trajectory shows delivering on cost discipline through restructuring.
“Restructuring charges of approximately $2.8 million were recognized for the Plan during the second quarter of fiscal 2027.”
“In May 2026, we implemented a restructuring plan intended to reduce operating expenses and better align our cost structure with our current business priorities.”
Breaks if: Revenue falls below $510M in FY 2027
Maintain revenue growth target for fiscal year 2027 despite market variability and network solutions headwinds.
Stated as a priority in 3 of last 3 quarters. Revenue grew from $117.3 million in 2026-Q2 to $129.5 million in 2026-Q3. Management lowered the fiscal 2027 revenue guidance from $545-$559 million to $510-$520 million due to variability in network solutions but maintains the target. The trajectory shows delivering revenue growth but with increased forecasting variability.
“We are maintaining our revenue outlook for fiscal 2027. We expect revenue to be in the range of $510 million to $520 million.”
“We are maintaining our revenue outlook for fiscal 2027. We expect revenue to be in the range of $510 million to $520 million.”
“We expect revenue to be in the range of $510 million to $520 million from a previous range of $545 million to $559 million.”
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a durable compounder with a focus on revenue growth and margin expansion. The current thesis state is intact, but recent earnings misses raise concerns about near-term performance.
The market currently prices PHR at an expensive valuation compared to peers, reflecting a justified premium. There is a notable expectations gap, indicating that investors may be cautious about future performance.
Fundamentals are likely to show continued revenue growth and improved adjusted EBITDA, as management is focused on efficiency and cost discipline. However, the near-term risk of missing earnings estimates is significant, given the company's recent performance history.
The thesis hinges on management's ability to meet revenue and EBITDA targets, as well as external factors like sector performance and economic conditions. If guidance is cut or economic indicators worsen, the outlook could shift negatively.
In the 1-3 year view, PHR's strong fundamentals are tempered by high risks and an expensive valuation. Not investment advice.
The most important moves since the prior daily snapshot.
Mixed, the news cuts both ways. The company maintained its revenue outlook of $510M-$520M for FY 2027. It also set an adjusted EBITDA target of $125M-$135M for FY 2027. However, the latest earnings report showed a significant miss.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.