UNIVERSAL HEALTH SERVICES-B (UHS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:UHS - US9139031002 - Common Stock
236.95 USD
+5.03 (+2.17%)
236.95 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to UHS. UHS was compared to 101 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 may be a bit undervalued, certainly considering the very reasonable score on growth These ratings could make UHS a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year UHS was profitable.
UHS had a positive operating cash flow in the past year.
Each year in the past 5 years UHS has been profitable.
UHS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.96%, UHS belongs to the top of the industry, outperforming 94.06% of the companies in the same industry.
UHS has a Return On Equity of 19.18%. This is amongst the best in the industry. UHS outperforms 87.13% of its industry peers.
UHS has a Return On Invested Capital of 12.33%. This is amongst the best in the industry. UHS outperforms 88.12% 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 9.27%.
The last Return On Invested Capital (12.33%) for UHS is above the 3 year average (8.28%), which is a sign of increasing profitability.
| 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 better Profit Margin (8.09%) than 88.12% of its industry peers.
UHS's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 11.47%, UHS is in the better half of the industry, outperforming 79.21% of the companies in the same industry.
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), UHS is creating some value.
Compared to 1 year ago, UHS has less shares outstanding
The number of shares outstanding for UHS has been reduced compared to 5 years ago.
Compared to 1 year ago, UHS has an improved debt to assets ratio.
2.2 Solvency
UHS has an Altman-Z score of 3.27. This indicates that UHS is financially healthy and has little risk of bankruptcy at the moment.
UHS has a better Altman-Z score (3.27) than 68.32% of its industry peers.
UHS has a debt to FCF ratio of 4.84. This is a neutral value as UHS would need 4.84 years to pay back of all of its debts.
The Debt to FCF ratio of UHS (4.84) is better than 66.34% 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.
With a decent Debt to Equity ratio value of 0.55, UHS is doing good in the industry, outperforming 61.39% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 4.84 | ||
| Altman-Z | 3.27 |
ROIC/WACC1.49
WACC8.28%
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.
Looking at the Current ratio, with a value of 1.03, UHS is doing worse than 72.28% of the companies in the same industry.
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.
The Quick ratio of UHS (0.96) is worse than 70.30% 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.
UHS shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.74% yearly.
Looking at the last year, UHS shows a quite strong growth in Revenue. The Revenue has grown by 10.21% in the last year.
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
Based on estimates for the next years, UHS will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.53% on average per year.
Based on estimates for the next years, UHS will show a small growth in Revenue. The Revenue will grow by 4.90% on average per year.
EPS Next Y28.65%
EPS Next 2Y18.34%
EPS Next 3Y15.88%
EPS Next 5Y13.53%
Revenue Next Year10.04%
Revenue Next 2Y7.46%
Revenue Next 3Y6.7%
Revenue Next 5Y4.9%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
Based on the Price/Earnings ratio of 11.39, the valuation of UHS can be described as reasonable.
89.11% of the companies in the same industry are more expensive than UHS, based on the Price/Earnings ratio.
UHS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.65.
With a Price/Forward Earnings ratio of 10.17, the valuation of UHS can be described as very reasonable.
Based on the Price/Forward Earnings ratio, UHS is valued cheaply inside the industry as 89.11% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.45, UHS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.39 | ||
| Fwd PE | 10.17 |
4.2 Price Multiples
UHS's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. UHS is cheaper than 82.18% of the companies 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 75.25% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.57 | ||
| EV/EBITDA | 7.58 |
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 15.88% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.4
PEG (5Y)1.06
EPS Next 2Y18.34%
EPS Next 3Y15.88%
5. Dividend
5.1 Amount
UHS has a yearly dividend return of 0.35%, which is pretty low.
Compared to an average industry Dividend Yield of 2.60, UHS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, UHS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.35% |
5.2 History
On average, the dividend of UHS grows each year by 6.27%, which is quite nice.
UHS has been paying a dividend for at least 10 years, so it has 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.
The dividend of UHS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP3.78%
EPS Next 2Y18.34%
EPS Next 3Y15.88%
236.95
+5.03 (+2.17%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners98.12%
Inst Owner Change-2.3%
Ins Owners5.45%
Ins Owner Change16.62%
Market Cap15.08B
Revenue(TTM)16.99B
Net Income(TTM)1.38B
Analysts70.77
Price Target249.24 (5.19%)
Short Float %3.44%
Short Ratio2.81
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.35% |
Yearly Dividend0.81
Dividend Growth(5Y)6.27%
DP3.78%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.07%
Min EPS beat(2)7.62%
Max EPS beat(2)16.52%
EPS beat(4)4
Avg EPS beat(4)12.73%
Min EPS beat(4)7.62%
Max EPS beat(4)16.65%
EPS beat(8)8
Avg EPS beat(8)13.14%
EPS beat(12)12
Avg EPS beat(12)10.1%
EPS beat(16)14
Avg EPS beat(16)6.62%
Revenue beat(2)2
Avg Revenue beat(2)1.31%
Min Revenue beat(2)0.18%
Max Revenue beat(2)2.44%
Revenue beat(4)3
Avg Revenue beat(4)0.48%
Min Revenue beat(4)-2.29%
Max Revenue beat(4)2.44%
Revenue beat(8)7
Avg Revenue beat(8)0.45%
Revenue beat(12)9
Avg Revenue beat(12)0.29%
Revenue beat(16)13
Avg Revenue beat(16)0.58%
PT rev (1m)12.29%
PT rev (3m)12.15%
EPS NQ rev (1m)4.9%
EPS NQ rev (3m)4.53%
EPS NY rev (1m)2.74%
EPS NY rev (3m)3.25%
Revenue NQ rev (1m)0.35%
Revenue NQ rev (3m)0.53%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.39 | ||
| Fwd PE | 10.17 | ||
| P/S | 0.89 | ||
| P/FCF | 15.57 | ||
| P/OCF | 7.74 | ||
| P/B | 2.1 | ||
| P/tB | 4.74 | ||
| EV/EBITDA | 7.58 |
EPS(TTM)20.8
EY8.78%
EPS(NY)23.3
Fwd EY9.83%
FCF(TTM)15.21
FCFY6.42%
OCF(TTM)30.61
OCFY12.92%
SpS267.01
BVpS112.66
TBVpS49.97
PEG (NY)0.4
PEG (5Y)1.06
Graham Number229.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.96% | ||
| ROE | 19.18% | ||
| ROCE | 16% | ||
| ROIC | 12.33% | ||
| ROICexc | 12.44% | ||
| ROICexgc | 18.59% | ||
| OM | 11.47% | ||
| PM (TTM) | 8.09% | ||
| GM | N/A | ||
| FCFM | 5.7% |
ROA(3y)6.01%
ROA(5y)6.51%
ROE(3y)13.4%
ROE(5y)14.27%
ROIC(3y)8.28%
ROIC(5y)8.76%
ROICexc(3y)8.36%
ROICexc(5y)9.07%
ROICexgc(3y)12.5%
ROICexgc(5y)14.04%
ROCE(3y)10.74%
ROCE(5y)11.37%
ROICexgc growth 3Y1.9%
ROICexgc growth 5Y0.81%
ROICexc growth 3Y3.79%
ROICexc growth 5Y2.74%
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
F-Score8
Asset Turnover1.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 4.84 | ||
| Debt/EBITDA | 1.55 | ||
| Cap/Depr | 162.72% | ||
| Cap/Sales | 5.77% | ||
| Interest Coverage | 15.36 | ||
| Cash Conversion | 76.35% | ||
| Profit Quality | 70.41% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 3.27 |
F-Score8
WACC8.28%
ROIC/WACC1.49
Cap/Depr(3y)139.45%
Cap/Depr(5y)144.53%
Cap/Sales(3y)5.55%
Cap/Sales(5y)5.95%
Profit Quality(3y)70.11%
Profit Quality(5y)77.19%
High Growth Momentum
Growth
EPS 1Y (TTM)40.07%
EPS 3Y12.08%
EPS 5Y10.74%
EPS Q2Q%53.37%
EPS Next Y28.65%
EPS Next 2Y18.34%
EPS Next 3Y15.88%
EPS Next 5Y13.53%
Revenue 1Y (TTM)10.21%
Revenue growth 3Y7.78%
Revenue growth 5Y6.82%
Sales Q2Q%13.43%
Revenue Next Year10.04%
Revenue Next 2Y7.46%
Revenue Next 3Y6.7%
Revenue Next 5Y4.9%
EBIT growth 1Y26.53%
EBIT growth 3Y7.25%
EBIT growth 5Y6.7%
EBIT Next Year55.52%
EBIT Next 3Y19.2%
EBIT Next 5YN/A
FCF growth 1Y135.27%
FCF growth 3Y242.18%
FCF growth 5Y7.48%
OCF growth 1Y75.09%
OCF growth 3Y32.75%
OCF growth 5Y7.52%
UNIVERSAL HEALTH SERVICES-B / UHS FAQ
What is the fundamental rating for UHS stock?
ChartMill assigns a fundamental rating of 6 / 10 to UHS.
What is the valuation status for UHS stock?
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.
Can you provide the PE and PB ratios for UHS stock?
The Price/Earnings (PE) ratio for UNIVERSAL HEALTH SERVICES-B (UHS) is 11.39 and the Price/Book (PB) ratio is 2.1.
Can you provide the financial health for UHS stock?
The financial health rating of UNIVERSAL HEALTH SERVICES-B (UHS) is 5 / 10.