Universal Health Services (NYSE:UHS) Announces Quarterly Earnings Results, Misses Estimates By $0.04 EPS

Universal Health Services (NYSE:UHS) issued its quarterly earnings results on Thursday. The health services provider reported $3.71 earnings per share for the quarter, missing the consensus estimate of $3.75 by ($0.04), Briefing.com reports. The company had revenue of $3.96 billion for the quarter, compared to analysts’ expectations of $3.90 billion. Universal Health Services had a return on equity of 14.91% and a net margin of 6.22%. Universal Health Services’s revenue for the quarter was up 11.3% compared to the same quarter last year. During the same quarter last year, the company earned $2.55 EPS.

Universal Health Services Stock Performance

Shares of UHS opened at $202.67 on Friday. The company has a quick ratio of 1.17, a current ratio of 1.28 and a debt-to-equity ratio of 0.67. Universal Health Services has a 52-week low of $121.00 and a 52-week high of $243.25. The company has a 50-day simple moving average of $229.55 and a 200-day simple moving average of $200.81. The company has a market capitalization of $13.56 billion, a PE ratio of 17.18, a P/E/G ratio of 0.77 and a beta of 1.27.

Analyst Upgrades and Downgrades

A number of research firms recently weighed in on UHS. StockNews.com upgraded shares of Universal Health Services from a “buy” rating to a “strong-buy” rating in a research note on Saturday, October 19th. KeyCorp began coverage on shares of Universal Health Services in a report on Friday, October 11th. They issued a “sector weight” rating on the stock. Barclays boosted their target price on shares of Universal Health Services from $256.00 to $271.00 and gave the stock an “overweight” rating in a research note on Friday. Robert W. Baird raised their price target on Universal Health Services from $236.00 to $274.00 and gave the company an “outperform” rating in a research note on Wednesday, September 4th. Finally, Royal Bank of Canada lifted their price target on Universal Health Services from $189.00 to $222.00 and gave the stock a “sector perform” rating in a report on Monday, September 9th. Five equities research analysts have rated the stock with a hold rating, nine have issued a buy rating and two have given a strong buy rating to the stock. According to data from MarketBeat, Universal Health Services presently has an average rating of “Moderate Buy” and a consensus target price of $232.46.

Insiders Place Their Bets

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

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

Universal Health Services Company Profile

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.