Feb 1 (Reuters) - Shares of mental healthcare provider LifeStance fell 5.8% to $5.64 on Thursday, after Hindenburg Research said it had taken a short position on the company's stock.

The stock declined as much as 21%, to hit a nearly one-year low of $4.74 earlier on Thursday. It has declined 72.7% since its debut on the Nasdaq in June 2021.

LifeStance Health manages a network of psychiatrists, psychologists, nurse practitioners and licensed therapists across the United States, offering in-person and telehealth services, including customized treatment plans.

Short-seller Hindenburg said in its report that LifeStance has had three chief financial officers in the last three years, which can be a "key sign of financial stress".

Currently, David Bourdon serves as LifeStance's finance chief and has held the position since

November 2022.

The short-seller said its assessment showed LifeStance will need to raise cash imminently.

The company reported cash balance of $42.6 million at the end of the third quarter, which Hindenburg referred to as "razor-thin".

LifeStance Health said that Hindenburg's report was "designed to mislead investors".

The company said it had "robust cash flow generation in the recently closed fourth quarter and has strong liquidity" to support its business. (Reporting by Bhanvi Satija in Bengaluru; Editing by Pooja Desai)