Universal Health Services, Inc. Forecasted to Earn Q3 2024 Earnings of $3.47 Per Share (NYSE:UHS)

Universal Health Services, Inc. (NYSE:UHS) – Zacks Research increased their Q3 2024 earnings per share (EPS) estimates for Universal Health Services in a research report issued to clients and investors on Wednesday, August 7th. Zacks Research analyst D. Chatterjee now expects that the health services provider will earn $3.47 per share for the quarter, up from their previous forecast of $2.98. The consensus estimate for Universal Health Services’ current full-year earnings is $15.96 per share. Zacks Research also issued estimates for Universal Health Services’ Q4 2024 earnings at $3.92 EPS, FY2024 earnings at $15.40 EPS, Q1 2025 earnings at $3.61 EPS, Q2 2025 earnings at $3.77 EPS, Q3 2025 earnings at $3.96 EPS, Q4 2025 earnings at $4.07 EPS, FY2025 earnings at $15.41 EPS, Q1 2026 earnings at $4.44 EPS, Q2 2026 earnings at $4.63 EPS and FY2026 earnings at $18.40 EPS.

Several other brokerages have also recently weighed in on UHS. Stephens reaffirmed an “equal weight” rating and issued a $200.00 price target on shares of Universal Health Services in a research note on Thursday, July 25th. Cantor Fitzgerald raised Universal Health Services from an “underweight” rating to a “neutral” rating and increased their target price for the stock from $162.00 to $219.00 in a research note on Friday, July 26th. Royal Bank of Canada increased their target price on Universal Health Services from $183.00 to $189.00 and gave the stock a “sector perform” rating in a research note on Tuesday, May 7th. JPMorgan Chase & Co. increased their target price on Universal Health Services from $182.00 to $186.00 and gave the stock a “neutral” rating in a research note on Thursday, May 30th. Finally, Wells Fargo & Company increased their target price on Universal Health Services from $200.00 to $255.00 and gave the stock an “overweight” rating in a research note on Tuesday, July 30th. Five research analysts have rated the stock with a hold rating, eight have issued a buy rating and two have assigned a strong buy rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $216.31.

Universal Health Services Price Performance

Shares of UHS stock opened at $215.22 on Friday. The stock has a market cap of $14.40 billion, a price-to-earnings ratio of 18.24, a PEG ratio of 0.70 and a beta of 1.28. The business’s fifty day moving average is $192.45 and its 200 day moving average is $178.00. Universal Health Services has a twelve month low of $119.90 and a twelve month high of $219.61. The company has a quick ratio of 1.17, a current ratio of 1.28 and a debt-to-equity ratio of 0.67.

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 the consensus estimate of $3.37 by $0.94. The company had revenue of $3.91 billion for the quarter, compared to analysts’ expectations of $3.87 billion. Universal Health Services had a return on equity of 14.91% and a net margin of 6.22%. The firm’s revenue for the quarter was up 10.1% on a year-over-year basis. During the same period in the prior year, the firm earned $2.53 earnings per share.

Universal Health Services declared that its board has authorized a share 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 shares through open market purchases. Shares buyback plans are generally an indication that the company’s leadership believes its shares are undervalued.

Universal Health Services Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 17th. Stockholders of record on Tuesday, September 3rd will be issued a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a dividend yield of 0.37%. The ex-dividend date is Tuesday, September 3rd. Universal Health Services’s payout ratio is currently 6.78%.

Insider Activity

In other news, Director Eileen C. Mcdonnell sold 2,535 shares of the company’s stock in a transaction on Friday, July 26th. The stock was sold at an average price of $209.55, for a total transaction of $531,209.25. Following the transaction, the director now directly owns 6,413 shares of the company’s stock, valued at $1,343,844.15. The sale was disclosed in a filing with the SEC, which is available at the SEC website. In other Universal Health Services news, Director Nina Chen-Langenmayr sold 850 shares of the stock in a transaction dated Wednesday, August 7th. The stock was sold at an average price of $212.11, for a total value of $180,293.50. Following the transaction, the director now owns 1,985 shares of the company’s stock, valued at $421,038.35. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, Director Eileen C. Mcdonnell sold 2,535 shares of the stock in a transaction dated Friday, July 26th. The shares were sold at an average price of $209.55, for a total value of $531,209.25. Following the completion of the transaction, the director now directly owns 6,413 shares in the company, valued at approximately $1,343,844.15. The disclosure for this sale can be found here. Insiders have sold a total of 18,526 shares of company stock valued at $3,903,983 over the last ninety days. 16.10% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. lifted its holdings in Universal Health Services by 0.8% in the first quarter. Vanguard Group Inc. now owns 7,099,282 shares of the health services provider’s stock valued at $1,295,335,000 after acquiring an additional 57,036 shares during the period. Massachusetts Financial Services Co. MA lifted its position in shares of Universal Health Services by 5.3% during the 4th quarter. Massachusetts Financial Services Co. MA now owns 2,071,022 shares of the health services provider’s stock valued at $315,707,000 after buying an additional 103,802 shares in the last quarter. Goldman Sachs Group Inc. lifted its position in shares of Universal Health Services by 42.8% during the 4th quarter. Goldman Sachs Group Inc. now owns 736,542 shares of the health services provider’s stock valued at $112,278,000 after buying an additional 220,823 shares in the last quarter. Charles Schwab Investment Management Inc. lifted its position in shares of Universal Health Services by 1.0% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 582,809 shares of the health services provider’s stock valued at $88,843,000 after buying an additional 5,557 shares in the last quarter. Finally, Balyasny Asset Management L.P. lifted its position in shares of Universal Health Services by 32,501.2% during the 4th quarter. Balyasny Asset Management L.P. now owns 570,847 shares of the health services provider’s stock valued at $87,020,000 after buying an additional 569,096 shares in the last quarter. Institutional investors own 86.05% of the company’s stock.

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.