Universal Health Services Inc. (NYSE:UHS) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research report issued to clients and investors on Tuesday.
According to Zacks, “Universal Health is expected to be hurt by margin contractions at both acute care and behavioural hospitals. Further, mounting debt levels remain a significant headwind for the company. Universal Health's second quarter 2016 results were mixed. While adjusted earnings were in-line with the Zacks Consensus Estimate, revenues beat the same comfortably. Meanwhile, the company's frequent acquisitions are poised for significant integration risks in our view. We are also concerned about the highly leveraged balance sheet, the upcoming presidential election, highly competitive markets and sluggish macroeconomic situations.”
Several other brokerages also recently commented on UHS. Barclays PLC cut their target price on Universal Health Services from $150.00 to $147.00 and set an “equal weight” rating on the stock in a report on Thursday, July 28th. Ladenburg Thalmann raised Universal Health Services from a “not rated” rating to an “outperform” rating in a report on Monday, June 13th. JPMorgan Chase & Co. lifted their target price on Universal Health Services from $138.00 to $150.00 and gave the stock an “overweight” rating in a report on Friday, July 29th. Leerink Swann reaffirmed a “buy” rating and set a $150.00 target price on shares of Universal Health Services in a report on Friday, July 29th. Finally, Credit Suisse Group AG reissued a “hold” rating and issued a $130.00 price objective on shares of Universal Health Services in a research note on Tuesday, August 30th. One investment analyst has rated the stock with a sell rating, six have assigned a hold rating and ten have given a buy rating to the company’s stock. Universal Health Services presently has a consensus rating of “Buy” and an average price target of $142.71.
Universal Health Services (NYSE:UHS) opened at 122.96 on Tuesday. The firm has a market cap of $11.97 billion, a price-to-earnings ratio of 17.51 and a beta of 1.33. Universal Health Services has a 1-year low of $100.82 and a 1-year high of $139.77. The firm has a 50-day moving average price of $122.04 and a 200-day moving average price of $128.33.
Universal Health Services (NYSE:UHS) last announced its earnings results on Tuesday, July 26th. The company reported $1.94 EPS for the quarter, hitting the Thomson Reuters’ consensus estimate of $1.94. The firm had revenue of $2.43 billion for the quarter, compared to the consensus estimate of $2.47 billion. Universal Health Services had a return on equity of 16.56% and a net margin of 7.43%. The business’s quarterly revenue was up 6.8% compared to the same quarter last year. During the same period in the previous year, the business earned $1.85 EPS. On average, analysts expect that Universal Health Services will post $7.52 earnings per share for the current fiscal year.
The company also recently declared a quarterly dividend, which was paid on Thursday, September 15th. Investors of record on Thursday, September 1st were paid a dividend of $0.10 per share. This represents a $0.40 dividend on an annualized basis and a yield of 0.33%. The ex-dividend date of this dividend was Tuesday, August 30th. Universal Health Services’s dividend payout ratio (DPR) is currently 5.68%.
Hedge funds and other institutional investors have recently bought and sold shares of the company. Tower Research Capital LLC TRC purchased a new position in Universal Health Services during the second quarter worth $124,000. Checchi Capital Advisers LLC increased its position in Universal Health Services by 1.2% in the second quarter. Checchi Capital Advisers LLC now owns 1,030 shares of the company’s stock worth $138,000 after buying an additional 12 shares during the period. Creative Planning increased its position in Universal Health Services by 5.2% in the second quarter. Creative Planning now owns 1,108 shares of the company’s stock worth $149,000 after buying an additional 55 shares during the period. Mizuho Asset Management Co. Ltd. increased its position in Universal Health Services by 118.7% in the second quarter. Mizuho Asset Management Co. Ltd. now owns 1,323 shares of the company’s stock worth $177,000 after buying an additional 718 shares during the period. Finally, IFP Advisors Inc increased its position in Universal Health Services by 2.7% in the first quarter. IFP Advisors Inc now owns 1,498 shares of the company’s stock worth $187,000 after buying an additional 39 shares during the period. 85.09% of the stock is currently owned by institutional investors and hedge funds.
Universal Health Services Company Profile
Universal Health Services, Inc is a holding company. The Company, through its subsidiaries, is engaged in owning and operating acute care hospitals, behavioral health centers, surgical hospitals, ambulatory surgery centers and radiation oncology centers. Its segment is acute care hospital services and behavioral healthcare services.
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