Universal Health Services (NYSE:UHS) Releases Earnings Results, Misses Expectations By $0.04 EPS

Universal Health Services (NYSE:UHS) posted its earnings results on Wednesday. The health services provider reported $5.88 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $5.92 by ($0.04), Zacks reports. Universal Health Services had a return on equity of 19.84% and a net margin of 8.57%.The business had revenue of $4.49 billion for the quarter, compared to analyst estimates of $4.50 billion. During the same period last year, the company posted $4.92 EPS. The firm’s revenue for the quarter was up 9.1% compared to the same quarter last year. Universal Health Services updated its FY 2026 guidance to 22.640-24.520 EPS.

Universal Health Services Trading Up 0.7%

NYSE UHS traded up $1.40 on Friday, hitting $205.73. 52,625 shares of the company were exchanged, compared to its average volume of 726,280. The company’s 50 day moving average price is $216.32 and its 200-day moving average price is $210.44. The firm has a market capitalization of $12.85 billion, a P/E ratio of 8.90, a price-to-earnings-growth ratio of 0.72 and a beta of 1.26. The company has a debt-to-equity ratio of 0.55, a current ratio of 1.03 and a quick ratio of 0.96. Universal Health Services has a twelve month low of $152.33 and a twelve month high of $246.32.

Universal Health Services Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, March 16th. Investors of record on Monday, March 2nd will be given a $0.20 dividend. The ex-dividend date is Monday, March 2nd. This represents a $0.80 dividend on an annualized basis and a dividend yield of 0.4%. Universal Health Services’s dividend payout ratio (DPR) is 3.80%.

Key Universal Health Services News

Here are the key news stories impacting Universal Health Services this week:

• Positive Sentiment: Management raised 2026 revenue guidance to $18.4–18.8B and set EPS guidance of $22.64–24.52, signaling confidence in growth and margin expansion for the year ahead. Press Release
• Positive Sentiment: UHS is accelerating AI initiatives and outpatient expansion as growth drivers that could lift margins and diversify revenue away from inpatient admissions. MSN Article
• Positive Sentiment: Operating performance improved in 2025: UHS reported a roughly 30% jump in net income and an 11.5% operating margin, supporting the company’s ability to fund growth and maintain cash flow. Becker’s
• Positive Sentiment: Barclays raised its price target to $268 and kept an Overweight rating, offering upside relative to the current price and supporting bullish sentiment. Benzinga
• Neutral Sentiment: Company released the full Q4 earnings release and conference call transcript with detailed metrics and management commentary for investors to parse. Earnings Release
• Neutral Sentiment: Local/operational note: UHS is negotiating to end a financial support arrangement with George Washington University related to the MFA program — minimal system‑wide financial impact disclosed so far. GW Hatchet
• Negative Sentiment: Q4 EPS of $5.88 missed consensus by $0.04 and revenue of $4.49B slightly missed estimates; management cited softer admissions — this explains headline selling pressure. Reuters
• Negative Sentiment: UHS expects about a $35M earnings hit from California’s psychiatric staffing mandate, a near‑term cost that will pressure margins in the state. Becker’s
• Negative Sentiment: Some coverage frames the quarter and S&P/valuation pressure as reasons for outsized intraday selling, amplifying volatility despite the mixed fundamentals. Kalkine

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the business. NewEdge Advisors LLC boosted its position in Universal Health Services by 2.7% during the 1st quarter. NewEdge Advisors LLC now owns 2,665 shares of the health services provider’s stock worth $501,000 after acquiring an additional 69 shares during the period. United Services Automobile Association purchased a new stake in Universal Health Services in the 1st quarter worth approximately $235,000. Focus Partners Wealth boosted its stake in shares of Universal Health Services by 80.6% during the 1st quarter. Focus Partners Wealth now owns 2,631 shares of the health services provider’s stock valued at $494,000 after buying an additional 1,174 shares during the period. EverSource Wealth Advisors LLC grew its holdings in shares of Universal Health Services by 95.0% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 583 shares of the health services provider’s stock valued at $106,000 after acquiring an additional 284 shares in the last quarter. Finally, Gamco Investors INC. ET AL acquired a new position in shares of Universal Health Services in the second quarter worth $379,000. 86.05% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several research analysts have recently weighed in on the stock. Wells Fargo & Company restated an “equal weight” rating and issued a $235.00 target price (down from $259.00) on shares of Universal Health Services in a research note on Wednesday, January 7th. TD Cowen decreased their target price on Universal Health Services from $251.00 to $245.00 and set a “buy” rating for the company in a research report on Wednesday, January 7th. Royal Bank Of Canada reaffirmed a “sector perform” rating on shares of Universal Health Services in a research report on Thursday, October 30th. Cantor Fitzgerald dropped their target price on Universal Health Services from $250.00 to $229.00 and set a “neutral” rating on the stock in a research report on Friday. Finally, Weiss Ratings restated a “buy (b)” rating on shares of Universal Health Services in a research report on Monday, December 29th. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $233.13.

About Universal Health Services

Universal Health Services, Inc (NYSE: UHS) is one of the largest diversified health care management companies in the United States, offering a broad spectrum of services through its acute care hospital and behavioral health segments. The company operates general acute care hospitals, surgical hospitals and ambulatory centers, as well as inpatient and outpatient behavioral health facilities. Its network provides emergency and specialized medicine, diagnostic imaging, laboratory services, advanced surgical care and rehabilitation, complemented by a comprehensive array of behavioral services including psychiatric treatment, addiction programs and developmental disabilities care.

In the acute care segment, UHS’s facilities deliver services ranging from emergency department treatment and intensive care to maternity care and outpatient surgery.