According to Zacks, “Universal Health is expected to be hurt by margin contraction 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 might result in integration risks. In fact, a highly leveraged balance sheet, the upcoming presidential election, highly competitive markets and sluggish macroeconomic situations are added concerns.”
A number of other equities research analysts have also recently commented on the stock. Credit Suisse Group AG reissued a hold rating and set a $130.00 target price on shares of Universal Health Services in a research report on Tuesday, August 30th. JPMorgan Chase & Co. increased their target price on shares of Universal Health Services from $138.00 to $150.00 and gave the company an overweight rating in a research report on Friday, July 29th. Leerink Swann reissued a buy rating and set a $150.00 target price on shares of Universal Health Services in a research report on Friday, July 29th. Barclays PLC decreased their target price on shares of Universal Health Services from $150.00 to $147.00 and set an equal weight rating for the company in a research report on Thursday, July 28th. Finally, Ladenburg Thalmann raised shares of Universal Health Services from a not rated rating to an outperform rating in a report on Monday, June 13th. Six investment analysts have rated the stock with a hold rating and nine have given a buy rating to the company. Universal Health Services presently has a consensus rating of Buy and an average price target of $143.25.
Shares of Universal Health Services (NYSE:UHS) opened at 119.99 on Tuesday. The company has a market cap of $11.68 billion, a P/E ratio of 17.08 and a beta of 1.20. The stock’s 50 day moving average is $121.41 and its 200-day moving average is $128.53. Universal Health Services has a 12 month low of $100.82 and a 12 month high of $139.77.
Universal Health Services (NYSE:UHS) last posted its earnings results on Tuesday, July 26th. The company reported $1.94 EPS for the quarter, meeting the Zacks’ consensus estimate of $1.94. Universal Health Services had a net margin of 7.43% and a return on equity of 16.56%. The company earned $2.43 billion during the quarter, compared to analysts’ expectations of $2.47 billion. During the same quarter in the prior year, the company posted $1.85 earnings per share. Universal Health Services’s revenue for the quarter was up 6.8% compared to the same quarter last year. On average, equities analysts forecast that Universal Health Services will post $7.51 EPS for the current year.
The company also recently declared a quarterly dividend, which was paid on Thursday, September 15th. Investors of record on Thursday, September 1st were given a dividend of $0.10 per share. The ex-dividend date was Tuesday, August 30th. This represents a $0.40 annualized dividend and a yield of 0.33%. Universal Health Services’s dividend payout ratio is presently 5.68%.
Hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. raised its stake in Universal Health Services by 1.2% in the second quarter. Vanguard Group Inc. now owns 8,106,458 shares of the company’s stock valued at $1,087,076,000 after buying an additional 99,338 shares in the last quarter. FMR LLC raised its stake in Universal Health Services by 13.4% in the second quarter. FMR LLC now owns 4,634,852 shares of the company’s stock valued at $621,534,000 after buying an additional 546,464 shares in the last quarter. State Street Corp raised its stake in Universal Health Services by 2.3% in the second quarter. State Street Corp now owns 3,687,677 shares of the company’s stock valued at $494,513,000 after buying an additional 82,984 shares in the last quarter. BlackRock Institutional Trust Company N.A. raised its stake in Universal Health Services by 2.0% in the first quarter. BlackRock Institutional Trust Company N.A. now owns 2,373,767 shares of the company’s stock valued at $296,056,000 after buying an additional 45,981 shares in the last quarter. Finally, JPMorgan Chase & Co. raised its stake in Universal Health Services by 12.3% in the first quarter. JPMorgan Chase & Co. now owns 1,528,771 shares of the company’s stock valued at $190,667,000 after buying an additional 167,430 shares in the last quarter. Institutional investors own 85.09% of the company’s stock.
About Universal Health Services
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.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Universal Health Services Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Universal Health Services Inc. and related companies with MarketBeat.com's FREE daily email newsletter.