Universal Health Services (NYSE:UHS) Sees Large Volume Increase

Universal Health Services, Inc. (NYSE:UHS) shares saw unusually-strong trading volume on Friday . Approximately 196,189 shares changed hands during trading, a decline of 70% from the previous session’s volume of 651,842 shares.The stock last traded at $229.97 and had previously closed at $229.29.

Wall Street Analyst Weigh In

Several analysts recently issued reports on the stock. Barclays raised shares of Universal Health Services from an “equal weight” rating to an “overweight” rating and lifted their price target for the company from $198.00 to $256.00 in a research report on Friday, July 26th. Baird R W raised Universal Health Services from a “hold” rating to a “strong-buy” rating in a report on Wednesday, June 26th. Royal Bank of Canada lifted their target price on Universal Health Services from $183.00 to $189.00 and gave the company a “sector perform” rating in a report on Tuesday, May 7th. JPMorgan Chase & Co. boosted their price objective on Universal Health Services from $182.00 to $186.00 and gave the stock a “neutral” rating in a report on Thursday, May 30th. Finally, UBS Group boosted 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, eight have assigned a buy rating and two have given a strong buy rating to the company’s stock. Based on data from MarketBeat, Universal Health Services has an average rating of “Moderate Buy” and a consensus price target of $219.46.

Universal Health Services Stock Performance

The company has a market capitalization of $15.60 billion, a PE ratio of 19.76, a PEG ratio of 0.75 and a beta of 1.28. The company has a 50 day moving average of $200.04 and a two-hundred day moving average of $182.49. The company has a debt-to-equity ratio of 0.67, a current ratio of 1.28 and a quick ratio of 1.17.

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

Universal Health Services Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, September 17th. Stockholders of record on Tuesday, September 3rd will be paid a $0.20 dividend. The ex-dividend date is Tuesday, September 3rd. This represents a $0.80 dividend on an annualized basis and a dividend yield of 0.34%. Universal Health Services’s dividend payout ratio is currently 6.78%.

Universal Health Services declared that its Board of Directors has initiated a share repurchase plan on Wednesday, July 24th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the health services provider to purchase up to 8% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s board of directors believes its stock is undervalued.

Insider Activity

In other Universal Health Services news, Director Eileen C. Mcdonnell sold 2,535 shares of the stock in a transaction dated Friday, July 26th. The stock was sold at an average price of $209.55, for a total value of $531,209.25. Following the transaction, the director now owns 6,413 shares of the company’s stock, valued at $1,343,844.15. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. In related news, Director Warren J. Nimetz sold 3,444 shares of the stock in a transaction dated 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 owns 3,971 shares in the company, valued at $864,248.44. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Eileen C. Mcdonnell sold 2,535 shares of the firm’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 owns 6,413 shares of the company’s stock, valued at approximately $1,343,844.15. The disclosure for this sale can be found here. Insiders have sold a total of 21,970 shares of company stock valued at $4,653,535 over the last ninety days. 16.10% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Universal Health Services

Several institutional investors have recently added to or reduced their stakes in the company. Chase Investment Counsel Corp purchased a new position in shares of Universal Health Services in the 2nd quarter worth approximately $2,973,000. Quarry LP lifted its holdings in shares of Universal Health Services by 108.8% in the 2nd quarter. Quarry LP now owns 451 shares of the health services provider’s stock worth $83,000 after buying an additional 235 shares during the period. Creative Planning lifted its holdings in shares of Universal Health Services by 24.6% in the 2nd quarter. Creative Planning now owns 5,775 shares of the health services provider’s stock worth $1,068,000 after buying an additional 1,140 shares during the period. Susquehanna Fundamental Investments LLC lifted its holdings in shares of Universal Health Services by 857.9% in the 2nd quarter. Susquehanna Fundamental Investments LLC now owns 38,719 shares of the health services provider’s stock worth $7,160,000 after buying an additional 34,677 shares during the period. Finally, Scientech Research LLC lifted its holdings in shares of Universal Health Services by 5.1% in the 2nd quarter. Scientech Research LLC now owns 1,880 shares of the health services provider’s stock worth $348,000 after buying an additional 92 shares during the period. Hedge funds and other institutional investors 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.