Is HeartFlow Stock a Buy After Capricorn Investment Group Bought 1.7 Million Shares?

What happened

According to a Securities and Exchange Commission (SEC) filing dated February 17, 2026, Capricorn Investment Group LLC reported a new position in HeartFlow (NASDAQ:HTFL).

The fund purchased 1,661,601 shares during the fourth quarter of 2025, with the estimated transaction value totaling $48.18 million based on the quarter’s average price. At quarter end, the stake’s value also stood at $48.18 million, reflecting the aggregate impact of buying activity and market pricing.

What else to know

The new HeartFlow position accounts for 5.83% of Capricorn Investment Group LLC’s 13F reportable assets under management.

Top five holdings after the filing:

• NYSE: JOBY: $375.81 million (45.8% of AUM)
• NYSE: PL: $140.82 million (17.2% of AUM)
• NASDAQ: QS: $119.80 million (14.6% of AUM)
• NYSE: OTF: $78.91 million (9.6% of AUM)
• NASDAQ: NVTS: $57.07 million (7.0% of AUM)

As of March 20, 2026, HeartFlow shares were priced at $26.30, down 10.7% in 2026.

Company overview

Metric	Value
Price (as of market close March 20, 2026)	$26.30
Market Capitalization	$2.22 billion
Revenue (TTM)	$161.88 million
Net Income (TTM)	($125.37 million)

Company snapshot

• HeartFlow, Inc. offers the HeartFlow Platform, an AI-driven, non-invasive diagnostic solution for coronary artery disease, generating revenue primarily from healthcare providers and systems adopting its technology.
• It operates a technology-enabled business model, monetizing its proprietary software and analytics services for cardiovascular diagnostics and patient management.
• The company targets hospitals, cardiology practices, and integrated health networks seeking advanced tools for cardiac imaging and decision support.

HeartFlow, Inc. is a healthcare technology company specializing in AI-powered, non-invasive cardiac diagnostic solutions. With a focus on providing detailed, actionable insights for coronary artery disease management, the company leverages advanced computational modeling to differentiate itself in the medical imaging sector.

Its scalable platform and data-driven approach position it as a key partner for healthcare providers aiming to enhance cardiovascular care outcomes.

What this transaction means for investors

Hedge fund Capricorn Investment Group’s purchase of 1.7 million shares in HeartFlow is a noteworthy event. The buy represents a new position for Capricorn, and since the fund only had seven holdings valued at over $825 million at the end of 2025, it is selective about the stocks it chooses.

HeartFlow shares went public in August of 2025, so limited history is available in terms of its financial performance. Shares hit a 52-week high of $41.22 last October, but have dropped in 2026.

The company is doing great. In 2025, HeartFlow generated $176.0 million in revenue, a strong 40% year-over-year increase.

HeartFlow is not profitable, however. It ended the fourth quarter with a net loss of $24.4 million, but that is a drop from the previous year’s loss of $33 million. This indicates the company is working to reduce costs.

With the decline in its share price, HeartFlow’s price-to-sales ratio of 12 is near a low point since its IPO. This suggests now is a good time to pick up the stock.

Since it has a brief history as a public company, HeartFlow is still a risky investment at this time, so this is a stock for investors with a high risk tolerance.

Robert Izquierdo has positions in Planet Labs PBC. The Motley Fool has positions in and recommends Planet Labs PBC. The Motley Fool has a disclosure policy.