New Mexico-based Westwind Capital sold 420,897 shares of Waystar for $15.96 million, exiting the position entirely by the end of the fourth quarter, representing 3.3% of fund AUM. Top holdings now include Visa, Mastercard, Alphabet, Amazon, and Intuitive Surgical. Waystar’s stock price was $33.08, down 11.81% in the past year.

Westwind Capital disclosed a $15.96 million sale of 420,897 shares of Waystar in an SEC filing, reducing its stake to zero. Waystar specializes in cloud-based healthcare payment solutions, generating revenue through subscriptions and transaction fees. Recent growth included $268.7 million in revenue, a 12% increase YoY, with an EBITDA margin of 42% and net revenue retention of 113%.

Despite Waystar’s growth, Westwind Capital chose to exit its position due to underperformance. Waystar generated $82 million in operating cash flow, but faces integration risks post-acquisitions. The fund now focuses on mega-cap compounders like Visa and Mastercard. Portfolio exits are significant when they counter improving fundamentals, as in this case.

Read more at Yahoo Finance.: This Fund Dumped a $16 Million Waystar Stake as Shares Lagged the Market by Nearly 30 Points