HealthEquity price target raised to $95 from $85 at KeyBanc

KeyBanc analyst Scott Schoenhaus raised the firm’s price target on HealthEquity to $95 from $85 and keeps an Overweight rating on the shares. The firm cites higher custodial yields for the price target increase, which it thinks will continue to ramp nicely each year to 60% by 2027 if not earlier, the analyst tells investors in a research note. HealthEquity is well-positioned to grow revenue by gaining share within the Health Savings Accounts markets, growing its enhanced rate business and leveraging AI to drive both the top and bottom lines, KeyBanc says.