Piper Sandler’s Top Technical Stock Picks: 20 Best Stocks

18. Phreesia, Inc. (NYSE:PHR)

Number of Hedge Fund Holders In Q2 2024: 22

Phreesia, Inc. (NYSE:PHR) is a healthcare specific SaaS provider. The firm enables providers and others to manage appointments, automate registration, manage revenue, and conduct other operations. Phreesia, Inc. (NYSE:PHR) is not a profitable company as its trailing twelve month profit is -$100 million. Consequently, investors are laser focused on growth, cost control, and recurring revenue – with the last being quite important to enable Phreesia, Inc. (NYSE:PHR) to manage its margins and turn a profit. Consequently, the stock soared by 8% in September after Q2 earnings saw the firm beat operating income expectations by a whopping 56.5% and post an operating margin of 6.4%. While Phreesia, Inc. (NYSE:PHR)’s shares are down 3.2% year to date, a key catalyst for the firm could be its Network Solutions business division. This division is responsible for increasing patient access to healthcare coverage by enabling greater communications, and with technology evolving, Phreesia, Inc. (NYSE:PHR) could increase the revenue from this business. As of H1 2024, Network Solutions grew revenue by 95% annually, and Phreesia, Inc. (NYSE:PHR) also benefits from a stable subscription business for predictable revenue.

Phreesia, Inc. (NYSE:PHR)’s management shared details about Network Solutions during the Q2 2025 earnings call:

“So first point, Daniel, the Network Solutions revenue is actually the first revenue line both in the history of the company, going back to 2005. So I just want to make sure, when you said [nascent] (ph), it’s the earliest revenue we had and the first product we had. I think what you have to appreciate is how much smaller the network was then. And we had done 54 million visits the year we went public. And so one of the reasons the Network Solutions has grown so much, we’re now working with over 100 brands. And I think that’s because the size of the network has grown so much that it gives us a nice tailwind to be able to have a lot of these conversations with a lot more people, frankly, that we won’t a few years ago.

So I think that is a very different sort of thing. And I think as you talked about next year, I want to also clarify, we’ve never talked about 20% growth as any kind of target. I think we’ll talk to you, we’ll keep giving you updates about the things we’ll talk about ‘26 in December. But that’s really – I mean, that’s – I think you’ll get updates from us. But this year, you obviously have the growth the revenue that we’re targeting.”