HealthStream Inc (HSTM)

Total asset turnover

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	279,064	277,019	273,965	270,405	266,826	262,607	259,413	258,591	256,692	254,193	250,985	246,722	244,826	245,703	247,270	250,498	254,113	251,243	248,718	241,945
Total assets	US$ in thousands	499,942	498,050	493,474	503,159	497,741	481,197	477,704	483,926	486,753	494,714	496,302	501,682	500,313	476,557	477,825	481,511	489,544	480,197	476,451	483,500
Total asset turnover		0.56	0.56	0.56	0.54	0.54	0.55	0.54	0.53	0.53	0.51	0.51	0.49	0.49	0.52	0.52	0.52	0.52	0.52	0.52	0.50

December 31, 2023 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $279,064K ÷ $499,942K
= 0.56

Healthstream Inc's total asset turnover ratio has been relatively stable over the past eight quarters, ranging between 0.53 and 0.56. This indicates that the company is generating approximately $0.56 in revenue for every dollar of total assets on average. Consistency in this ratio suggests that Healthstream is effectively utilizing its assets to generate sales revenue.

A total asset turnover ratio of 0.56 means that Healthstream is efficient in converting its assets into sales. This can be interpreted positively as it indicates that the company is effectively managing its assets to generate revenue. However, it is important to consider industry benchmarks and trends over time to fully assess the company's efficiency in asset utilization.