Universal Health Services, Inc. (NYSE:UHS) Receives Average Rating of “Moderate Buy” from Brokerages

Shares of Universal Health Services, Inc. (NYSE:UHS) have received a consensus recommendation of “Moderate Buy” from the fourteen brokerages that are covering the company, Marketbeat.com reports. Five research analysts have rated the stock with a hold recommendation, eight have given a buy recommendation and one has issued a strong buy recommendation on the company. The average 12 month price objective among brokers that have covered the stock in the last year is $224.92.

A number of equities analysts recently weighed in on UHS shares. Baird R W raised shares of Universal Health Services from a “hold” rating to a “strong-buy” rating in a report on Wednesday, June 26th. Stephens reaffirmed an “equal weight” rating and set a $200.00 price objective on shares of Universal Health Services in a report on Thursday, July 25th. The Goldman Sachs Group upped their price objective on shares of Universal Health Services from $200.00 to $229.00 and gave the company a “buy” rating in a report on Tuesday, July 30th. TD Cowen upped their price objective on shares of Universal Health Services from $183.00 to $220.00 and gave the company a “hold” rating in a report on Friday, July 26th. Finally, Royal Bank of Canada upped their price objective on shares of Universal Health Services from $189.00 to $222.00 and gave the company a “sector perform” rating in a report on Monday, September 9th.

Insider Activity

In related news, Director Eileen C. Mcdonnell sold 2,535 shares of the company’s stock in a transaction that occurred on Friday, July 26th. The shares were sold at an average price of $209.55, for a total value of $531,209.25. Following the transaction, the director now directly owns 6,413 shares in the company, valued at approximately $1,343,844.15. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. In related news, Director Eileen C. Mcdonnell sold 2,535 shares of the company’s stock in a transaction that occurred on Friday, July 26th. The shares were sold at an average price of $209.55, for a total value of $531,209.25. Following the transaction, the director now directly owns 6,413 shares in the company, valued at approximately $1,343,844.15. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, 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 transaction of $180,293.50. Following the completion of the transaction, the director now owns 1,985 shares in the company, valued at approximately $421,038.35. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 21,970 shares of company stock worth $4,653,535 over the last ninety days. Company insiders own 16.10% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the business. Van ECK Associates Corp grew its holdings in shares of Universal Health Services by 4.2% in the second quarter. Van ECK Associates Corp now owns 1,160 shares of the health services provider’s stock worth $215,000 after purchasing an additional 47 shares during the last quarter. LRI Investments LLC grew its holdings in shares of Universal Health Services by 19.5% in the second quarter. LRI Investments LLC now owns 386 shares of the health services provider’s stock worth $71,000 after purchasing an additional 63 shares during the last quarter. Janiczek Wealth Management LLC grew its holdings in shares of Universal Health Services by 11.4% in the first quarter. Janiczek Wealth Management LLC now owns 624 shares of the health services provider’s stock worth $114,000 after purchasing an additional 64 shares during the last quarter. Empirical Finance LLC grew its holdings in shares of Universal Health Services by 3.1% in the first quarter. Empirical Finance LLC now owns 2,455 shares of the health services provider’s stock worth $448,000 after purchasing an additional 73 shares during the last quarter. Finally, O Neil Global Advisors Inc. grew its holdings in shares of Universal Health Services by 6.7% in the second quarter. O Neil Global Advisors Inc. now owns 1,175 shares of the health services provider’s stock worth $217,000 after purchasing an additional 74 shares during the last quarter. 86.05% of the stock is owned by hedge funds and other institutional investors.

Universal Health Services Price Performance

Shares of NYSE:UHS opened at $215.68 on Tuesday. The company’s 50-day moving average is $227.69 and its 200 day moving average is $196.06. The company has a debt-to-equity ratio of 0.67, a quick ratio of 1.17 and a current ratio of 1.28. The company has a market capitalization of $14.39 billion, a P/E ratio of 18.28, a price-to-earnings-growth ratio of 0.74 and a beta of 1.27. Universal Health Services has a fifty-two week low of $119.90 and a fifty-two week high of $243.25.

Universal Health Services (NYSE:UHS) last issued its quarterly earnings results on Wednesday, July 24th. The health services provider reported $4.31 earnings per share for the quarter, topping analysts’ consensus estimates of $3.37 by $0.94. The company had revenue of $3.91 billion for the quarter, compared to the consensus estimate of $3.87 billion. Universal Health Services had a net margin of 6.22% and a return on equity of 14.91%. The firm’s quarterly revenue was up 10.1% on a year-over-year basis. During the same period in the previous year, the firm earned $2.53 EPS. On average, equities research analysts forecast that Universal Health Services will post 15.91 earnings per share for the current year.

Universal Health Services announced that its Board of Directors has authorized a stock buyback plan 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 plans are typically an indication that the company’s leadership believes its stock is undervalued.

Universal Health Services Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 17th. Stockholders of record on Tuesday, September 3rd were given a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a dividend yield of 0.37%. The ex-dividend date of this dividend was Tuesday, September 3rd. Universal Health Services’s dividend payout ratio is presently 6.78%.

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.