Universal Health Services (NYSE:UHS) Lowered to “Buy” Rating by StockNews.com

Universal Health Services (NYSE:UHS) was downgraded by analysts at StockNews.com from a “strong-buy” rating to a “buy” rating in a research report issued to clients and investors on Thursday.

Several other analysts also recently weighed in on the company. Royal Bank of Canada decreased their target price on Universal Health Services from $222.00 to $211.00 and set a “sector perform” rating for the company in a research report on Monday. The Goldman Sachs Group lifted their target price on Universal Health Services from $200.00 to $229.00 and gave the company a “buy” rating in a research note on Tuesday, July 30th. Stephens reaffirmed an “equal weight” rating and set a $200.00 price target on shares of Universal Health Services in a research report on Thursday, July 25th. Robert W. Baird upped their price objective on shares of Universal Health Services from $236.00 to $274.00 and gave the company an “outperform” rating in a report on Wednesday, September 4th. Finally, Wells Fargo & Company raised their target price on Universal Health Services from $255.00 to $275.00 and gave the stock an “overweight” rating in a research note on Tuesday, October 22nd. Five equities research analysts have rated the stock with a hold rating, ten have given a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $231.00.

Universal Health Services Price Performance

Universal Health Services stock traded down $3.28 during mid-day trading on Thursday, hitting $204.22. The stock had a trading volume of 1,117,569 shares, compared to its average volume of 676,826. The company has a current ratio of 1.39, a quick ratio of 1.28 and a debt-to-equity ratio of 0.69. Universal Health Services has a one year low of $123.80 and a one year high of $243.25. The firm’s 50 day moving average is $227.75 and its 200 day moving average is $201.82. The firm has a market capitalization of $13.62 billion, a P/E ratio of 13.58, a P/E/G ratio of 0.67 and a beta of 1.27.

Universal Health Services (NYSE:UHS) last announced its quarterly earnings results on Thursday, October 24th. The health services provider reported $3.71 earnings per share for the quarter, missing the consensus estimate of $3.75 by ($0.04). Universal Health Services had a return on equity of 15.75% and a net margin of 6.66%. The business had revenue of $3.96 billion during the quarter, compared to the consensus estimate of $3.90 billion. During the same quarter in the prior year, the firm posted $2.55 EPS. The company’s revenue for the quarter was up 11.3% on a year-over-year basis. On average, sell-side analysts forecast that Universal Health Services will post 15.9 earnings per share for the current fiscal year.

Universal Health Services announced that its board has initiated a share buyback plan on Wednesday, July 24th that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the health services provider to reacquire up to 8% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s management believes its shares are undervalued.

Insider Activity

In other news, Director Nina Chen-Langenmayr sold 850 shares of the business’s stock in a transaction on Wednesday, August 7th. The shares were sold at an average price of $212.11, for a total transaction of $180,293.50. Following the completion of the transaction, the director now owns 1,985 shares of the company’s stock, valued at approximately $421,038.35. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. In related news, Director Nina Chen-Langenmayr sold 850 shares of Universal Health Services stock in a transaction dated Wednesday, August 7th. The stock was sold at an average price of $212.11, for a total value of $180,293.50. Following the transaction, the director now owns 1,985 shares of the company’s stock, valued at approximately $421,038.35. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Warren J. Nimetz sold 3,444 shares of Universal Health Services stock in a transaction on Monday, August 12th. The shares were sold at an average price of $217.64, for a total value of $749,552.16. Following the transaction, the director now owns 3,971 shares in the company, valued at $864,248.44. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Company insiders own 16.10% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of UHS. Inspire Investing LLC bought a new stake in shares of Universal Health Services in the 1st quarter worth about $897,000. Ontario Teachers Pension Plan Board lifted its holdings in shares of Universal Health Services by 95.9% during the 1st quarter. Ontario Teachers Pension Plan Board now owns 19,511 shares of the health services provider’s stock valued at $3,560,000 after purchasing an additional 9,549 shares in the last quarter. Nordea Investment Management AB boosted its stake in Universal Health Services by 27.9% in the 1st quarter. Nordea Investment Management AB now owns 65,643 shares of the health services provider’s stock worth $11,998,000 after purchasing an additional 14,326 shares during the period. Susquehanna Fundamental Investments LLC bought a new position in shares of Universal Health Services during the 1st quarter worth approximately $738,000. Finally, Bessemer Group Inc. increased its stake in Universal Health Services by 5,033.3% in the 1st quarter. Bessemer Group Inc. now owns 7,084 shares of the health services provider’s stock valued at $1,292,000 after buying an additional 6,946 shares during the last quarter. Institutional investors own 86.05% of the company’s stock.

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.