Analyst Peter Heckmann says HealthStream will struggle in 2016 to post the growth investors have become used to of late because of the expected dropoff in revenues from training products related to the new ICD-10 medical classification system. That book of business accounted for 17 percent of HealthStream's top line last year but Heckmann says that share will fall off to less than 4 percent by the end of 2016.
HealthStream's leaders are working to offset that drag — their Precyse DNA coding proficiency platform should bring in $2 million in sales this year — but Heckmann has nonetheless lowered his price target for the company's shares to $30 from $34 while keeping his 'market outperform' rating. HealthStream (Ticker: HSTM) closed Friday's trading session at $24.21.
SEE ALSO: CEO Bobby Frist earlier this summer discussed his team's plans to migrate to other products customers who came to HealthStream for ICD-10 services
Eleanor Kennedy at the Business Journal has caught up with the happenings at health care technology company Shareable Ink. Founder and CTO Stephen Hau, who relocated the company here from Boston in 2010, left in May and CEO Hal Andrews says he is refocusing his team's efforts on working with electronic health vendors rather than selling directly to doctors. Get the full story here.
A baker's dozen of companies will make up the Innovator's Row exhibition area at the Health:Further conference being hosted next month by Jumpstart Foundry. Among them are some well-known names such as Amplion, TriZetto and HCA Holdings' Parallon division, which is the gathering's headline sponsor. Others are less known but also promise to show how their technologies can be integrated into the health care system.
“There are so many emerging companies that are changing the healthcare landscape today. Innovator’s Row will give exposure to some of these companies in a handson way,” said Jumpstart Foundry CEO Vic Gatto. “There’s a lot of good that can come from large healthcare companies interacting with emerging companies.
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