Universal Health Services (NYSE:UHS) Announces Quarterly Earnings Results

Universal Health Services (NYSE:UHS) released its earnings results on Wednesday. The health services provider reported $4.31 EPS for the quarter, topping analysts’ consensus estimates of $3.37 by $0.94, Briefing.com reports. Universal Health Services had a return on equity of 15.12% and a net margin of 6.22%. The company had revenue of $3.91 billion for the quarter, compared to the consensus estimate of $3.87 billion. During the same quarter last year, the business posted $2.53 EPS. Universal Health Services’s quarterly revenue was up 10.1% compared to the same quarter last year. Universal Health Services updated its FY 2024 guidance to 15.400-16.200 EPS.

Universal Health Services Stock Up 2.9 %

Shares of NYSE:UHS traded up $6.00 during midday trading on Friday, hitting $210.99. 614,597 shares of the stock were exchanged, compared to its average volume of 639,031. The company has a market capitalization of $14.12 billion, a PE ratio of 17.37, a P/E/G ratio of 0.88 and a beta of 1.28. Universal Health Services has a 52-week low of $119.90 and a 52-week high of $211.95. The company has a debt-to-equity ratio of 0.75, a quick ratio of 1.28 and a current ratio of 1.38. The business’s fifty day simple moving average is $184.87 and its two-hundred day simple moving average is $173.43.

Universal Health Services Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, September 17th. Shareholders of record on Tuesday, September 3rd will be paid a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a dividend yield of 0.38%. The ex-dividend date is Tuesday, September 3rd. Universal Health Services’s dividend payout ratio (DPR) is currently 6.78%.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on UHS shares. Stephens reiterated an “equal weight” rating and set a $200.00 price objective on shares of Universal Health Services in a research note on Thursday. Baird R W upgraded Universal Health Services from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, June 26th. StockNews.com upgraded Universal Health Services from a “buy” rating to a “strong-buy” rating in a research report on Wednesday, July 17th. Robert W. Baird raised Universal Health Services from a “neutral” rating to an “outperform” rating and increased their target price for the stock from $198.00 to $236.00 in a research report on Wednesday, June 26th. Finally, Cantor Fitzgerald upgraded Universal Health Services from an “underweight” rating to a “neutral” rating and raised their target price for the company from $162.00 to $219.00 in a research note on Friday. Five analysts have rated the stock with a hold rating, eight have given a buy rating and two have issued a strong buy rating to the company’s stock. According to data from MarketBeat, Universal Health Services currently has a consensus rating of “Moderate Buy” and a consensus price target of $203.50.

Universal Health Services declared that its board has authorized a share buyback program on Wednesday, July 24th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the health services provider to purchase up to 8% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s management believes its stock is undervalued.

About Universal Health Services

Universal Health Services, Inc, through its subsidiaries, owns and operates acute care hospitals, and outpatient and behavioral health care facilities. It operates through Acute Care Hospital Services and Behavioral Health Care Services segments. The company's hospitals offer general and specialty surgery, internal medicine, obstetrics, emergency room care, radiology, oncology, diagnostic and coronary care, pediatric services, pharmacy services, and/or behavioral health services.