Talkspace’s (TALK) “Hold” Rating Reiterated at Needham & Company LLC

Talkspace (NASDAQ:TALK)‘s stock had its “hold” rating restated by equities researchers at Needham & Company LLC in a research note issued to investors on Monday,Benzinga reports.

TALK has been the subject of a number of other reports. Barclays initiated coverage on shares of Talkspace in a research note on Monday, December 8th. They set an “equal weight” rating and a $3.50 target price for the company. UBS Group restated a “buy” rating on shares of Talkspace in a research note on Tuesday, December 30th. Canaccord Genuity Group set a $6.00 target price on shares of Talkspace in a research report on Tuesday, December 30th. Weiss Ratings reiterated a “hold (c-)” rating on shares of Talkspace in a report on Monday, December 29th. Finally, KeyCorp raised their price objective on Talkspace from $4.00 to $5.00 and gave the stock an “overweight” rating in a report on Thursday, January 8th. Three analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $5.13.

Talkspace Stock Up 7.5%

Talkspace stock traded up $0.36 during midday trading on Monday, reaching $5.12. The stock had a trading volume of 41,023,296 shares, compared to its average volume of 2,510,414. The firm has a market cap of $847.33 million, a price-to-earnings ratio of 102.32 and a beta of 1.18. Talkspace has a 52-week low of $2.22 and a 52-week high of $5.18. The company has a fifty day moving average of $4.09 and a 200 day moving average of $3.38.

Talkspace (NASDAQ:TALK) last released its earnings results on Thursday, February 19th. The company reported $0.03 EPS for the quarter, beating analysts’ consensus estimates of $0.02 by $0.01. Talkspace had a return on equity of 6.97% and a net margin of 3.40%.The firm had revenue of $63.00 million for the quarter, compared to analysts’ expectations of $61.91 million. Equities research analysts predict that Talkspace will post 0.08 EPS for the current year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Mak Capital One LLC acquired a new stake in Talkspace during the 4th quarter worth about $8,042,000. Stoic Point Capital Management LLC purchased a new position in Talkspace during the fourth quarter worth approximately $7,554,000. Royce & Associates LP increased its position in shares of Talkspace by 526.9% in the third quarter. Royce & Associates LP now owns 2,174,262 shares of the company’s stock valued at $6,001,000 after buying an additional 1,827,459 shares in the last quarter. CenterBook Partners LP raised its stake in shares of Talkspace by 114.6% during the 2nd quarter. CenterBook Partners LP now owns 2,478,970 shares of the company’s stock worth $6,892,000 after buying an additional 1,323,964 shares during the period. Finally, Metavasi Capital LP increased its holdings in shares of Talkspace by 77.3% during the 4th quarter. Metavasi Capital LP now owns 2,704,577 shares of the company’s stock worth $9,818,000 after buying an additional 1,179,156 shares during the last quarter. Hedge funds and other institutional investors own 57.37% of the company’s stock.

Key Talkspace News

Here are the key news stories impacting Talkspace this week:

• Positive Sentiment: Definitive acquisition agreement: Universal Health Services will buy Talkspace for $5.25 per share in an approximately $835 million transaction, giving Talkspace shareholders a clear cash exit and strategic tie-up with a large hospital operator. PR Newswire: Universal Health Services, Inc. to Acquire Talkspace, Inc.
• Positive Sentiment: Strategic rationale supports valuation: UHS says the deal accelerates its outpatient and virtual behavioral health capabilities, which frames the purchase as strategic rather than opportunistic and could improve execution for Talkspace’s platform. Reuters: Universal Health strikes $835 million Talkspace deal
• Neutral Sentiment: Market reaction and trading activity: Trading was briefly halted for TALK ahead of the announcement; volume has spiked as investors reprice the shares to the takeover consideration. PR Newswire: Universal Health Services, Inc. to Acquire Talkspace, Inc.
• Neutral Sentiment: Analyst/coverage note: A recent coverage change was reported but appears secondary to the takeover news; broker views may adjust to the deal price rather than standalone fundamentals. American Banking News: Wall Street Zen coverage note
• Negative Sentiment: Shareholder law-firm investigations: Two investor-rights firms (Halper Sadeh LLC and Ademi LLP) have announced probes alleging the deal price may be unfair or that the board breached duties, which could lead to litigation, slow the closing, or pressure the price. BusinessWire: Halper Sadeh investigation PR Newswire: Ademi LLP investigation
• Neutral Sentiment: Press coverage and commentary: Multiple outlets covered the deal (Stat, MarketWatch, Becker’s, FierceHealthcare), underscoring broad market attention but not changing deal terms. STAT: Acquisition coverage

Talkspace Company Profile

Talkspace, Inc (NASDAQ:TALK) is a digital mental health company that provides online therapy and psychiatry services through a secure, cloud-based platform. Headquartered in New York City, Talkspace enables individuals and couples to connect with licensed therapists and psychiatrists via text messaging, live audio, and video sessions. The company’s platform is accessible through web and mobile applications, allowing clients to seek professional support anytime and from any location with an internet connection.

The company’s core offerings include therapy plans that range from unlimited text-based messaging with a dedicated therapist to scheduled live video sessions.