Healthstream (Nasdaq: HSTM) reported earnings on Feb. 26. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended Dec. 31 (Q4), Healthstream beat expectations on revenues and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue grew significantly. GAAP earnings per share didn't change.

Margins dropped across the board.

Revenue details
 Healthstream notched revenue of $27.8 million. The five analysts polled by S&P Capital IQ foresaw a top line of $27.2 million on the same basis. GAAP reported sales were 27% higher than the prior-year quarter's $21.9 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 EPS came in at $0.07. The five earnings estimates compiled by S&P Capital IQ anticipated $0.08 per share. GAAP EPS of $0.07 were the same as the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
 For the quarter, gross margin was 60.1%, 130 basis points worse than the prior-year quarter. Operating margin was 12.0%, 160 basis points worse than the prior-year quarter. Net margin was 6.5%, 170 basis points worse than the prior-year quarter.

Looking ahead
 Next quarter's average estimate for revenue is $28.8 million. On the bottom line, the average EPS estimate is $0.08.

Next year's average estimate for revenue is $124.1 million. The average EPS estimate is $0.39.

Investor sentiment
 The stock has a four-star rating (out of five) at Motley Fool CAPS, with 68 members out of 73 rating the stock outperform, and five members rating it underperform. Among 18 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 16 give Healthstream a green thumbs-up, and two give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Healthstream is outperform, with an average price target of $27.50.

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