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

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

Universal Health Services Trading Down 9.8 %

Universal Health Services stock traded down $21.99 during trading hours on Friday, reaching $202.67. The stock had a trading volume of 1,482,955 shares, compared to its average volume of 672,310. The stock has a market cap of $13.56 billion, a PE ratio of 17.27, a PEG ratio of 0.77 and a beta of 1.27. Universal Health Services has a 52 week low of $121.00 and a 52 week high of $243.25. The company has a debt-to-equity ratio of 0.67, a current ratio of 1.28 and a quick ratio of 1.17. The company has a fifty day simple moving average of $230.03 and a 200-day simple moving average of $200.59.

Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on UHS shares. Stephens reissued an “equal weight” rating and set a $200.00 target price on shares of Universal Health Services in a research report on Thursday, July 25th. 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. TD Cowen upgraded shares of Universal Health Services from a “hold” rating to a “buy” rating and upped their price target for the company from $220.00 to $283.00 in a research note on Wednesday, October 16th. The Goldman Sachs Group upped their price target on shares of Universal Health Services from $200.00 to $229.00 and gave the company a “buy” rating in a research note on Tuesday, July 30th. Finally, UBS Group upped their price target on shares of Universal Health Services from $247.00 to $267.00 and gave the company a “buy” rating in a research note on Wednesday, August 14th. Five equities research analysts have rated the stock with a hold rating, nine have given a buy rating and two have issued a strong buy rating to the company. According to MarketBeat.com, Universal Health Services currently has a consensus rating of “Moderate Buy” and an average target price of $232.46.

Universal Health Services announced that its Board of Directors has initiated a share repurchase program on Wednesday, July 24th that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the health services provider to buy up to 8% of its shares through open market purchases. Shares repurchase programs are often an indication that the company’s leadership believes its shares are undervalued.

Insiders Place Their Bets

In other Universal Health Services news, Director Nina Chen-Langenmayr sold 850 shares of the firm’s stock in a transaction on Wednesday, August 7th. The shares were 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 of the company’s stock, valued at $421,038.35. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. In related 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 directly owns 3,971 shares of the company’s stock, valued at $864,248.44. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Nina Chen-Langenmayr sold 850 shares of Universal Health Services stock in a transaction dated 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 directly owns 1,985 shares of the company’s stock, valued at $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 own 16.10% of the company’s stock.

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.