Universal Health Services (NYSE:UHS) Stock Price Down 3.3% – Should You Sell?

Universal Health Services, Inc. (NYSE:UHS) shares were down 3.3% on Thursday . The company traded as low as $191.00 and last traded at $191.00. Approximately 49,613 shares changed hands during trading, a decline of 93% from the average daily volume of 680,324 shares. The stock had previously closed at $197.52.

Analyst Ratings Changes

A number of research firms have commented on UHS. TD Cowen cut their price objective on shares of Universal Health Services from $283.00 to $275.00 and set a “buy” rating for the company in a report on Monday, October 28th. StockNews.com downgraded Universal Health Services from a “strong-buy” rating to a “buy” rating in a research report on Saturday, November 9th. KeyCorp initiated coverage on Universal Health Services in a report on Friday, October 11th. They issued a “sector weight” rating for the company. Bank of America began coverage on shares of Universal Health Services in a research report on Wednesday, November 6th. They set a “neutral” rating and a $223.00 price target on the stock. Finally, Wells Fargo & Company raised their price objective on shares of Universal Health Services from $275.00 to $285.00 and gave the stock an “overweight” rating in a research report on Wednesday, November 6th. Six investment analysts have rated the stock with a hold rating, ten have issued a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $231.14.

Universal Health Services Trading Down 0.3 %

The company has a current ratio of 1.39, a quick ratio of 1.28 and a debt-to-equity ratio of 0.69. The firm has a market capitalization of $12.99 billion, a PE ratio of 13.01, a P/E/G ratio of 0.63 and a beta of 1.29. The business has a 50 day moving average price of $219.39 and a 200-day moving average price of $205.95.

Universal Health Services (NYSE:UHS) last issued its earnings results on Thursday, October 24th. The health services provider reported $3.71 EPS for the quarter, missing the consensus estimate of $3.75 by ($0.04). The company had revenue of $3.96 billion for the quarter, compared to analysts’ expectations of $3.90 billion. Universal Health Services had a return on equity of 15.75% and a net margin of 6.66%. Universal Health Services’s revenue for the quarter was up 11.3% on a year-over-year basis. During the same quarter in the previous year, the firm posted $2.55 earnings per share. Analysts expect that Universal Health Services, Inc. will post 15.93 earnings per share for the current year.

Universal Health Services Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 17th. Investors of record on Tuesday, December 3rd will be issued a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a yield of 0.41%. Universal Health Services’s dividend payout ratio is presently 5.32%.

Universal Health Services declared that its board has initiated a stock repurchase program on Wednesday, July 24th that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the health services provider to reacquire up to 8% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s leadership believes its stock is undervalued.

Institutional Investors Weigh In On Universal Health Services

Large investors have recently added to or reduced their stakes in the business. State Street Corp raised its position in shares of Universal Health Services by 0.6% during the 3rd quarter. State Street Corp now owns 2,724,075 shares of the health services provider’s stock worth $623,840,000 after purchasing an additional 17,527 shares during the last quarter. Geode Capital Management LLC increased its position in Universal Health Services by 4.0% during the 3rd quarter. Geode Capital Management LLC now owns 1,661,530 shares of the health services provider’s stock worth $379,403,000 after purchasing an additional 63,754 shares in the last quarter. Charles Schwab Investment Management Inc. raised its stake in Universal Health Services by 1.9% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 603,705 shares of the health services provider’s stock valued at $138,254,000 after purchasing an additional 11,353 shares during the last quarter. Bank of New York Mellon Corp lifted its holdings in Universal Health Services by 0.5% in the 2nd quarter. Bank of New York Mellon Corp now owns 486,438 shares of the health services provider’s stock valued at $89,957,000 after purchasing an additional 2,620 shares in the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in Universal Health Services by 13.5% during the third quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 346,969 shares of the health services provider’s stock worth $79,459,000 after acquiring an additional 41,218 shares during the last quarter. 86.05% of the stock is owned by institutional investors and hedge funds.

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.