MeritValue

Health Catalyst, Inc.

HCATdata completeness 100%9 fiscal years on file

Data notes: no data for concept 'interestExpense'

The thesis, from the filings

Health Catalyst, Inc. earns about -16% on invested capital, but has diluted owners by 47% over 5 years — worth asking whether the growth reaches owners. The cash-flow models don't apply cleanly here — the ledger says why below.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$241.9M1$276.2M2$295.9M3$306.6M3$311.1M3
Net income−$153.2M4−$137.4M5−$118.1M6−$69.5M6−$178M6
Operating cash flow−$23.1M7−$35.3M8−$33.1M9$14.6M9$731,0009
Capital expenditure$10.5M10$2.17M11$1.24M12$1.62M12$968,00012
Free cash flow (derived)−$33.6M7−$37.4M8−$34.3M9$12.9M9−$237,0009
Total debt$180.9M13$226.5M14$456.1M15$764.7M16$306.5M16
Cash & equivalents$193.2M17$116.3M18$106.3M19$249.6M20$50.8M20
Diluted shares47.5M54.1M56.4M60.2M69.9M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$35.16
your share of equity
Profit it earned you last year
−$25.46
Free cash flow it threw off
−$0.03
Debt you’d be carrying
$43.85

10 shares is a claim on $35.16 of net worth that earned you −$25.46 and generated −$0.03 of cash last year, against $43.85 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-16% avg · 5y
FY21 —FY22 —FY23 -13%FY24 -6%FY25 -28%

It earned an average -16% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+47% shares · 5y

Share count is up 47% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 69% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001636422-24-000016 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001636422-25-000028 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001636422-26-000035 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0001636422-24-000016 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001636422-25-000028 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001636422-26-000035 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001636422-24-000016 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001636422-25-000028 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001636422-26-000035 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001636422-24-000016 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-12-31 · accession 0001636422-25-000028 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2023-12-31 · accession 0001636422-26-000035 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2021-12-31 · accession 0001636422-23-000033 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2022-12-31 · accession 0001636422-24-000016 (LongTermDebtNoncurrent)
  15. 10-K · period ending 2023-12-31 · accession 0001636422-25-000028 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2024-12-31 · accession 0001636422-26-000035 (LongTermDebtNoncurrent)
  17. 10-K · period ending 2021-12-31 · accession 0001636422-23-000033 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0001636422-24-000016 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0001636422-25-000028 (CashAndCashEquivalentsAtCarryingValue)
  20. 10-K · period ending 2024-12-31 · accession 0001636422-26-000035 (CashAndCashEquivalentsAtCarryingValue)