UNIVERSAL HEALTH SERVICES-B (UHS) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:UHS • US9139031002
199.34 USD
-0.79 (-0.39%)
Last: Jan 30, 2026, 11:21 AM
Overall UHS gets a fundamental rating of 6 out of 10. We evaluated UHS against 103 industry peers in the Health Care Providers & Services industry. UHS scores excellent on profitability, but there are some minor concerns on its financial health. UHS scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings would make UHS suitable for value investing!
1. Profitability
1.1 Basic Checks
- UHS had positive earnings in the past year.
- In the past year UHS had a positive cash flow from operations.
- UHS had positive earnings in each of the past 5 years.
- In the past 5 years UHS always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of UHS (8.96%) is better than 91.26% of its industry peers.
- UHS has a Return On Equity of 19.18%. This is amongst the best in the industry. UHS outperforms 87.38% of its industry peers.
- UHS's Return On Invested Capital of 12.33% is amongst the best of the industry. UHS outperforms 87.38% of its industry peers.
- UHS had an Average Return On Invested Capital over the past 3 years of 8.28%. This is in line with the industry average of 9.16%.
- The 3 year average ROIC (8.28%) for UHS is below the current ROIC(12.33%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.96% | ||
| ROE | 19.18% | ||
| ROIC | 12.33% |
ROA(3y)6.01%
ROA(5y)6.51%
ROE(3y)13.4%
ROE(5y)14.27%
ROIC(3y)8.28%
ROIC(5y)8.76%
1.3 Margins
- UHS has a Profit Margin of 8.09%. This is amongst the best in the industry. UHS outperforms 88.35% of its industry peers.
- In the last couple of years the Profit Margin of UHS has remained more or less at the same level.
- UHS has a Operating Margin of 11.47%. This is amongst the best in the industry. UHS outperforms 81.55% of its industry peers.
- UHS's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.47% | ||
| PM (TTM) | 8.09% | ||
| GM | N/A |
OM growth 3Y-0.49%
OM growth 5Y-0.12%
PM growth 3Y-2.68%
PM growth 5Y0.2%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- UHS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, UHS has less shares outstanding
- Compared to 5 years ago, UHS has less shares outstanding
- The debt/assets ratio for UHS has been reduced compared to a year ago.
2.2 Solvency
- UHS has an Altman-Z score of 3.10. This indicates that UHS is financially healthy and has little risk of bankruptcy at the moment.
- UHS has a better Altman-Z score (3.10) than 65.05% of its industry peers.
- The Debt to FCF ratio of UHS is 4.84, which is a neutral value as it means it would take UHS, 4.84 years of fcf income to pay off all of its debts.
- UHS's Debt to FCF ratio of 4.84 is fine compared to the rest of the industry. UHS outperforms 66.99% of its industry peers.
- UHS has a Debt/Equity ratio of 0.55. This is a neutral value indicating UHS is somewhat dependend on debt financing.
- UHS has a better Debt to Equity ratio (0.55) than 61.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 4.84 | ||
| Altman-Z | 3.1 |
ROIC/WACC1.51
WACC8.17%
2.3 Liquidity
- UHS has a Current Ratio of 1.03. This is a normal value and indicates that UHS is financially healthy and should not expect problems in meeting its short term obligations.
- UHS's Current ratio of 1.03 is on the low side compared to the rest of the industry. UHS is outperformed by 69.90% of its industry peers.
- UHS has a Quick Ratio of 1.03. This is a bad value and indicates that UHS is not financially healthy enough and could expect problems in meeting its short term obligations.
- UHS has a worse Quick ratio (0.96) than 66.99% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
- UHS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 40.07%, which is quite impressive.
- The Earnings Per Share has been growing by 10.74% on average over the past years. This is quite good.
- The Revenue has grown by 10.21% in the past year. This is quite good.
- The Revenue has been growing slightly by 6.82% on average over the past years.
EPS 1Y (TTM)40.07%
EPS 3Y12.08%
EPS 5Y10.74%
EPS Q2Q%53.37%
Revenue 1Y (TTM)10.21%
Revenue growth 3Y7.78%
Revenue growth 5Y6.82%
Sales Q2Q%13.43%
3.2 Future
- The Earnings Per Share is expected to grow by 13.53% on average over the next years. This is quite good.
- The Revenue is expected to grow by 4.90% on average over the next years.
EPS Next Y32.21%
EPS Next 2Y19.64%
EPS Next 3Y16.81%
EPS Next 5Y13.53%
Revenue Next Year10.55%
Revenue Next 2Y7.72%
Revenue Next 3Y6.88%
Revenue Next 5Y4.9%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- UHS is valuated reasonably with a Price/Earnings ratio of 9.58.
- 93.20% of the companies in the same industry are more expensive than UHS, based on the Price/Earnings ratio.
- UHS is valuated cheaply when we compare the Price/Earnings ratio to 28.39, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 8.37 indicates a reasonable valuation of UHS.
- Based on the Price/Forward Earnings ratio, UHS is valued cheaply inside the industry as 93.20% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of UHS to the average of the S&P500 Index (25.72), we can say UHS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.58 | ||
| Fwd PE | 8.37 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UHS indicates a rather cheap valuation: UHS is cheaper than 85.44% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of UHS indicates a somewhat cheap valuation: UHS is cheaper than 78.64% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.86 | ||
| EV/EBITDA | 6.7 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of UHS may justify a higher PE ratio.
- UHS's earnings are expected to grow with 16.81% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.3
PEG (5Y)0.89
EPS Next 2Y19.64%
EPS Next 3Y16.81%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.39%, UHS is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.46, UHS pays a bit more dividend than its industry peers.
- With a Dividend Yield of 0.39, UHS pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.39% |
5.2 History
- On average, the dividend of UHS grows each year by 6.27%, which is quite nice.
- UHS has paid a dividend for at least 10 years, which is a reliable track record.
- UHS has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)6.27%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
- 3.78% of the earnings are spent on dividend by UHS. This is a low number and sustainable payout ratio.
- UHS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP3.78%
EPS Next 2Y19.64%
EPS Next 3Y16.81%
UNIVERSAL HEALTH SERVICES-B / UHS FAQ
What is the fundamental rating for UHS stock?
ChartMill assigns a fundamental rating of 6 / 10 to UHS.
Can you provide the valuation status for UNIVERSAL HEALTH SERVICES-B?
ChartMill assigns a valuation rating of 8 / 10 to UNIVERSAL HEALTH SERVICES-B (UHS). This can be considered as Undervalued.
What is the profitability of UHS stock?
UNIVERSAL HEALTH SERVICES-B (UHS) has a profitability rating of 7 / 10.
What is the financial health of UNIVERSAL HEALTH SERVICES-B (UHS) stock?
The financial health rating of UNIVERSAL HEALTH SERVICES-B (UHS) is 5 / 10.
How sustainable is the dividend of UNIVERSAL HEALTH SERVICES-B (UHS) stock?
The dividend rating of UNIVERSAL HEALTH SERVICES-B (UHS) is 5 / 10 and the dividend payout ratio is 3.78%.