Universal Health Services (NYSE:UHS) Issues Earnings Results, Beats Estimates By $0.94 EPS

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

Universal Health Services Stock Performance

UHS traded up $6.00 on Friday, reaching $210.99. The company had a trading volume of 614,597 shares, compared to its average volume of 639,031. The stock has a 50-day moving average price of $184.87 and a 200-day moving average price of $173.43. The stock 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 1 year low of $119.90 and a 1 year high of $211.95. The company has a quick ratio of 1.28, a current ratio of 1.38 and a debt-to-equity ratio of 0.75.

Universal Health Services Dividend Announcement

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

Universal Health Services announced that its Board of Directors has approved a stock 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 stock through open market purchases. Stock buyback programs are often a sign that the company’s board of directors believes its shares are undervalued.

Analysts Set New Price Targets

A number of research firms have recently issued reports on UHS. Barclays raised shares of Universal Health Services from an “equal weight” rating to an “overweight” rating and boosted their price target for the company from $198.00 to $256.00 in a research note on Friday. Stephens reissued an “equal weight” rating and issued a $200.00 target price on shares of Universal Health Services in a research report on Thursday. Deutsche Bank Aktiengesellschaft decreased their price target on Universal Health Services from $208.00 to $203.00 and set a “buy” rating on the stock in a research note on Friday, April 12th. JPMorgan Chase & Co. lifted their price objective on Universal Health Services from $182.00 to $186.00 and gave the company a “neutral” rating in a research note on Thursday, May 30th. Finally, Wells Fargo & Company increased their target price on Universal Health Services from $195.00 to $200.00 and gave the stock an “overweight” rating in a research note on Thursday, March 28th. Five analysts have rated the stock with a hold rating, eight have assigned a buy rating and two have issued a strong buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $203.50.

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.