Healthcare Triangle (HCTI) AI Stock Analysis

• Market Cap: $357.17K
• Dividend Yield: N/A
• Average Volume (3M): 14.74M
• Price to Earnings (P/E): ―
• Beta (1Y): -1.19
• Revenue Growth: -64.77%
• EPS Growth: 43.53%
• Country: US
• Employees: 36
• Sector: Healthcare
• Sector Strength: 41
• Industry: Medical - Healthcare Information Services
• EPS (TTM): -1.16
• Shares Outstanding: 45,211,422
• 10 Day Avg. Volume: 32,189,254
• 30 Day Avg. Volume: 14,737,163
• PEG Ratio: >-0.01
• Price to Book (P/B): -0.22
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.30
• Enterprise Value/Market Cap: 32.49
• Enterprise Value/Revenue: 0.15
• Enterprise Value/Gross Profit: 4.93
• Enterprise Value/Ebitda: -0.93
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Healthcare Triangle is currently in a challenging financial position with negative revenue growth, persistent losses, and negative equity. The technical analysis further highlights a bearish trend, with the stock trading below key moving averages. Valuation metrics are poor, with a negative P/E ratio and no dividend yield. While the new CFO appointment is a positive corporate event, it is not sufficient to offset the overall negative outlook.

Healthcare Triangle Business Overview & Revenue Model

Company Description

Healthcare Triangle (HCTI) is a leading provider of cloud and data transformation services tailored to the healthcare and life sciences sectors. The company leverages its expertise in cloud technology, data analytics, and security to offer solutions that enhance operational efficiency, compliance, and patient outcomes. HCTI's core services include cloud migration, managed services, data analytics, and AI-powered solutions designed to meet the unique needs of healthcare organizations.

How the Company Makes Money

Healthcare Triangle generates revenue primarily through its comprehensive suite of cloud and data services offered to healthcare providers, payers, and life sciences companies. The company makes money by delivering subscription-based cloud services, consulting fees for data analytics and transformation projects, and managed services contracts. Additionally, HCTI partners with major cloud providers like AWS, Google Cloud, and Microsoft Azure, which enhances its service offerings and expands its market reach. These strategic partnerships, along with a focus on innovation and compliance with healthcare regulations, are significant factors contributing to its earnings.

Healthcare Triangle Financial Statement Overview

Summary

Healthcare Triangle is facing significant financial difficulties. The company has been unable to generate positive revenues or profits, and its balance sheet reflects negative equity, indicating financial instability. The cash flow situation is also concerning, with ongoing negative cash flows. Overall, the company is in a precarious financial position.

Income Statement

The company has experienced declining revenues from $45.89M in 2022 to $11.70M in 2024, leading to negative revenue growth rates. Gross profit margins have been low, and both EBIT and EBITDA margins are negative, indicating ongoing operational challenges. Net profit margins are also negative, reflecting persistent losses.

Balance Sheet

The balance sheet shows a negative stockholders' equity of -$5.11M in 2024, indicating financial distress. The equity ratio is negative, and the company has high liabilities relative to its assets. The debt-to-equity ratio cannot be calculated due to negative equity, highlighting potential solvency issues.

Cash Flow

The company has consistently negative operating and free cash flows, indicating cash flow challenges. Free cash flow growth is negative, reflecting an inability to generate cash. The operating cash flow to net income ratio is unfavorable due to negative figures.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
11.70M	33.20M	45.89M	35.27M	31.34M
	Gross Profit
2.89M	6.78M	11.29M	10.52M	8.59M
	EBIT
-4.75M	-11.35M	-10.42M	-5.36M	1.18M
	EBITDA
-3.85M	-4.10M	-5.96M	-3.94M	1.98M
	Net Income Common Stockholders
-5.97M	-12.34M	-9.61M	-5.95M	2.35M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
20.00K	1.23M	1.34M	1.77M	1.40M
	Total Assets
1.96M	10.05M	20.76M	24.61M	11.11M
	Total Debt
2.65M	4.32M	2.41M	3.45M	754.40K
	Net Debt
2.63M	3.08M	1.07M	1.68M	-648.30K
	Total Liabilities
7.08M	9.51M	8.38M	8.48M	6.78M
	Stockholders Equity
-5.11M	538.00K	12.39M	16.13M	4.33M
Cash Flow		Free Cash Flow
-1.08M	-1.63M	-5.92M	-10.42M	-1.21M
	Operating Cash Flow
-1.08M	-1.61M	-2.60M	-7.29M	-734.67K
	Investing Cash Flow
0.00	-13.00K	-3.32M	-7.63M	-477.46K
	Financing Cash Flow
-133.00K	1.52M	5.49M	15.29M	1.64M

Healthcare Triangle Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HCTI, the sentiment is Negative. The current price of 0.04 is below the 20-day moving average (MA) of 0.19, below the 50-day MA of 0.26, and below the 200-day MA of 0.61, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 30.63 is Neutral, neither overbought nor oversold. The STOCH value of 12.22 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HCTI.

Healthcare Triangle Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	52 Neutral	$5.19B	3.04	-44.64%	2.82%	16.45%	-0.53%
MTNB	45 Neutral	$3.87M	―	-192.85%	―	-100.00%	5.43%
SXTP	41 Neutral	$3.64M	―	-181.43%	―	109.29%	-206.99%
QLGN	31 Underperform	$2.79M	―	367.65%	―	-100.00%	69.07%
GLMD	28 Underperform	$2.89M	―	-49.77%	―	―	71.41%
HCTI	27 Underperform	$357.17K	―	-292.41%	―	-64.77%	43.53%

Healthcare Triangle Corporate Events

Healthcare Triangle Announces New CFO Appointment

On April 10, 2025, Healthcare Triangle announced significant leadership changes with the resignation of CFO Thyagarajan Ramachandran and the appointment of David Ayanoglou as the new CFO. Ayanoglou brings over 23 years of corporate finance experience, notably in software M&A and financial reporting, which is expected to drive the company’s strategic growth. Additionally, Sujatha Ramesh was appointed as a Director on the Board, reinforcing the company’s commitment to operational excellence and digital innovation. Ramesh’s extensive experience in technology and financial services is anticipated to enhance the company’s leadership team as it continues its global expansion and transformation initiatives.

Spark’s Take on HCTI Stock

According to Spark, TipRanks’ AI Analyst, HCTI is a Underperform.

Healthcare Triangle is facing substantial financial challenges with negative revenue growth, persistent losses, and negative equity. The technical analysis indicates a bearish trend, with the stock trading below key moving averages. The lack of positive earnings and dividend yield further exacerbates the company’s weak position. These factors collectively contribute to a low overall stock score.

To see Spark’s full report on HCTI stock, click here.