Universal Health Services (NYSE:UHS) Shares Up 6.9% – Still a Buy?

Shares of Universal Health Services, Inc. (NYSE:UHS) rose 6.9% during trading on Thursday . The company traded as high as $160.88 and last traded at $160.99. Approximately 556,828 shares traded hands during mid-day trading, a decline of 37% from the average session volume of 877,710 shares. The stock had previously closed at $150.58.

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on UHS. Wall Street Zen cut Universal Health Services from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd. Royal Bank Of Canada cut their price target on Universal Health Services from $216.00 to $190.00 and set a “sector perform” rating for the company in a report on Wednesday, April 29th. Stephens reduced their price objective on Universal Health Services from $235.00 to $205.00 and set an “equal weight” rating on the stock in a research report on Wednesday, April 29th. Cantor Fitzgerald lowered their price objective on Universal Health Services from $229.00 to $194.00 and set a “neutral” rating on the stock in a research note on Wednesday, April 29th. Finally, Wells Fargo & Company assumed coverage on Universal Health Services in a research note on Monday, June 1st. They issued an “equal weight” rating and a $165.00 target price for the company. Six analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, Universal Health Services currently has an average rating of “Hold” and an average price target of $216.56.

Universal Health Services Price Performance

The firm has a market cap of $9.70 billion, a price-to-earnings ratio of 6.68, a P/E/G ratio of 0.79 and a beta of 1.07. The company has a current ratio of 1.08, a quick ratio of 1.01 and a debt-to-equity ratio of 0.52. The stock’s fifty day moving average price is $156.67 and its 200-day moving average price is $188.00.

Universal Health Services (NYSE:UHS) last released its quarterly earnings data on Tuesday, April 28th. The health services provider reported $5.62 EPS for the quarter, beating analysts’ consensus estimates of $5.41 by $0.21. The firm had revenue of $4.50 billion for the quarter, compared to analysts’ expectations of $4.39 billion. Universal Health Services had a return on equity of 19.57% and a net margin of 8.56%.The firm’s quarterly revenue was up 9.6% on a year-over-year basis. During the same period in the prior year, the firm posted $4.84 earnings per share. As a group, equities research analysts forecast that Universal Health Services, Inc. will post 23.47 earnings per share for the current fiscal year.

Universal Health Services Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, June 18th. Investors of record on Monday, June 8th were given a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend was Monday, June 8th. Universal Health Services’s dividend payout ratio (DPR) is presently 3.33%.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the stock. BTC Capital Management Inc. increased its holdings in Universal Health Services by 161.3% in the 4th quarter. BTC Capital Management Inc. now owns 42,199 shares of the health services provider’s stock valued at $9,203,000 after purchasing an additional 26,047 shares during the last quarter. Corient Private Wealth LLC lifted its stake in Universal Health Services by 51.4% during the fourth quarter. Corient Private Wealth LLC now owns 54,975 shares of the health services provider’s stock worth $11,988,000 after purchasing an additional 18,652 shares in the last quarter. Invenomic Capital Management LP boosted its position in shares of Universal Health Services by 174.1% during the third quarter. Invenomic Capital Management LP now owns 73,266 shares of the health services provider’s stock worth $14,979,000 after buying an additional 46,535 shares during the period. Nordea Investment Management AB boosted its position in shares of Universal Health Services by 187.1% during the fourth quarter. Nordea Investment Management AB now owns 9,201 shares of the health services provider’s stock worth $2,039,000 after buying an additional 5,996 shares during the period. Finally, Exchange Traded Concepts LLC grew its stake in shares of Universal Health Services by 36.1% in the fourth quarter. Exchange Traded Concepts LLC now owns 57,436 shares of the health services provider’s stock valued at $12,522,000 after buying an additional 15,238 shares in the last quarter. Institutional investors and hedge funds own 86.05% of the company’s stock.

Universal Health Services Company Profile

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.