Leerink Partnrs Issues Pessimistic Estimate for UHS Earnings

Universal Health Services, Inc. (NYSE:UHS) – Equities researchers at Leerink Partnrs lowered their Q1 2025 earnings estimates for shares of Universal Health Services in a report issued on Tuesday, October 29th. Leerink Partnrs analyst W. Mayo now forecasts that the health services provider will earn $4.36 per share for the quarter, down from their prior forecast of $4.50. The consensus estimate for Universal Health Services’ current full-year earnings is $15.89 per share. Leerink Partnrs also issued estimates for Universal Health Services’ Q2 2025 earnings at $4.75 EPS, FY2025 earnings at $18.29 EPS and FY2026 earnings at $19.84 EPS.

Universal Health Services (NYSE:UHS) last announced its quarterly earnings data on Thursday, October 24th. The health services provider reported $3.71 earnings per share (EPS) for the quarter, missing the consensus estimate of $3.75 by ($0.04). Universal Health Services had a net margin of 6.66% and a return on equity of 15.75%. The company had revenue of $3.96 billion during the quarter, compared to analyst estimates of $3.90 billion. During the same quarter in the previous year, the business posted $2.55 earnings per share. The firm’s revenue was up 11.3% on a year-over-year basis.

UHS has been the subject of several other research reports. The Goldman Sachs Group boosted their price target on shares of Universal Health Services from $200.00 to $229.00 and gave the stock a “buy” rating in a report on Tuesday, July 30th. Stephens reissued an “equal weight” rating and issued a $200.00 target price on shares of Universal Health Services in a report on Thursday, July 25th. Cantor Fitzgerald reaffirmed a “neutral” rating and set a $219.00 price target on shares of Universal Health Services in a report on Friday, October 25th. KeyCorp assumed coverage on Universal Health Services in a research report on Friday, October 11th. They set a “sector weight” rating for the company. Finally, UBS Group raised their target price on Universal Health Services from $247.00 to $267.00 and gave the stock a “buy” rating in a research report on Wednesday, August 14th. Five research analysts have rated the stock with a hold rating, ten have assigned a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $231.00.

Universal Health Services Stock Performance

Shares of UHS opened at $205.26 on Friday. The stock has a 50-day simple moving average of $227.19 and a 200-day simple moving average of $202.09. The stock has a market capitalization of $13.69 billion, a PE ratio of 13.65, a PEG ratio of 0.65 and a beta of 1.29. Universal Health Services has a 1 year low of $125.69 and a 1 year high of $243.25. The company has a debt-to-equity ratio of 0.69, a quick ratio of 1.28 and a current ratio of 1.39.

Universal Health Services declared that its board has authorized a share buyback program 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 programs are often an indication that the company’s leadership believes its stock is undervalued.

Insider Activity

In other news, Director Nina Chen-Langenmayr sold 850 shares of the company’s stock in a transaction dated Wednesday, August 7th. The shares were sold at an average price of $212.11, for a total value of $180,293.50. Following the completion of the sale, the director now directly owns 1,985 shares of the company’s stock, valued at approximately $421,038.35. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In related news, Director Warren J. Nimetz sold 3,444 shares of the stock in a transaction on Monday, August 12th. The stock was sold at an average price of $217.64, for a total transaction of $749,552.16. Following the completion of the sale, 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 ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Nina Chen-Langenmayr sold 850 shares of the business’s stock in a transaction on Wednesday, August 7th. The shares were 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 in the company, valued at $421,038.35. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 16.10% of the company’s stock.

Institutional Trading of Universal Health Services

Several hedge funds have recently made changes to their positions in UHS. Point72 Asset Management L.P. raised its holdings in Universal Health Services by 362.3% during the second quarter. Point72 Asset Management L.P. now owns 322,626 shares of the health services provider’s stock worth $59,663,000 after purchasing an additional 252,846 shares in the last quarter. Marshall Wace LLP raised its stake in shares of Universal Health Services by 357.9% during the 2nd quarter. Marshall Wace LLP now owns 261,221 shares of the health services provider’s stock worth $48,308,000 after buying an additional 204,178 shares in the last quarter. Lazard Asset Management LLC lifted its holdings in shares of Universal Health Services by 1,191.8% in the 1st quarter. Lazard Asset Management LLC now owns 215,215 shares of the health services provider’s stock valued at $39,267,000 after buying an additional 198,555 shares during the period. Lord Abbett & CO. LLC purchased a new stake in shares of Universal Health Services in the first quarter valued at approximately $25,032,000. Finally, Pzena Investment Management LLC grew its holdings in Universal Health Services by 41.2% during the first quarter. Pzena Investment Management LLC now owns 455,773 shares of the health services provider’s stock worth $83,160,000 after acquiring an additional 132,942 shares during the period. Institutional investors and hedge funds own 86.05% 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.