UNIVERSAL HEALTH SERVICES-B (UHS) Stock Fundamental Analysis
NYSE:UHS - New York Stock Exchange, Inc. - US9139031002 - Common Stock - Currency: USD
We assign a fundamental rating of 7 out of 10 to UHS. UHS was compared to 103 industry peers in the Health Care Providers & Services industry. While UHS has a great profitability rating, 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 could make UHS a good candidate 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.
Each year in the past 5 years UHS has been profitable.
In the past 5 years UHS always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.05%, UHS belongs to the top of the industry, outperforming 91.26% of the companies in the same industry.
With an excellent Return On Equity value of 17.64%, UHS belongs to the best of the industry, outperforming 85.44% of the companies in the same industry.
UHS has a Return On Invested Capital of 10.74%. This is amongst the best in the industry. UHS outperforms 83.50% 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 9.71%.
The 3 year average ROIC (8.28%) for UHS is below the current ROIC(10.74%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.05% | ||
| ROE | 17.64% | ||
| ROIC | 10.74% |
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
The Profit Margin of UHS (7.44%) is better than 87.38% of its industry peers.
UHS's Profit Margin has been stable in the last couple of years.
With an excellent Operating Margin value of 10.87%, UHS belongs to the best of the industry, outperforming 82.52% 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 | 10.87% | ||
| PM (TTM) | 7.44% | ||
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so UHS is still 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.
The debt/assets ratio for UHS has been reduced compared to a year ago.
2.2 Solvency
UHS has an Altman-Z score of 3.04. This indicates that UHS is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 3.04, UHS is doing good in the industry, outperforming 64.08% of the companies in the same industry.
The Debt to FCF ratio of UHS is 4.40, which is a neutral value as it means it would take UHS, 4.40 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of UHS (4.40) is better than 70.87% of its industry peers.
UHS has a Debt/Equity ratio of 0.68. This is a neutral value indicating UHS is somewhat dependend on debt financing.
UHS has a Debt to Equity ratio of 0.68. This is comparable to the rest of the industry: UHS outperforms 51.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 4.4 | ||
| Altman-Z | 3.04 |
ROIC/WACC1.39
WACC7.72%
2.3 Liquidity
UHS has a Current Ratio of 1.32. This is a normal value and indicates that UHS is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.32, UHS perfoms like the industry average, outperforming 40.78% of the companies in the same industry.
UHS has a Quick Ratio of 1.23. This is a normal value and indicates that UHS is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.23, UHS perfoms like the industry average, outperforming 43.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 49.29% over the past year.
Measured over the past years, UHS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.74% on average per year.
The Revenue has grown by 9.73% in the past year. This is quite good.
UHS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.82% yearly.
EPS 1Y (TTM)49.29%
EPS 3Y12.08%
EPS 5Y10.74%
EPS Q2Q%30.81%
Revenue 1Y (TTM)9.73%
Revenue growth 3Y7.78%
Revenue growth 5Y6.82%
Sales Q2Q%6.66%
3.2 Future
The Earnings Per Share is expected to grow by 10.77% on average over the next years. This is quite good.
UHS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.61% yearly.
EPS Next Y19.45%
EPS Next 2Y14.22%
EPS Next 3Y13.31%
EPS Next 5Y10.77%
Revenue Next Year8.98%
Revenue Next 2Y7.25%
Revenue Next 3Y6.52%
Revenue Next 5Y4.61%
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 stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 10.29, which indicates a very decent valuation of UHS.
Based on the Price/Earnings ratio, UHS is valued cheaply inside the industry as 89.32% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of UHS to the average of the S&P500 Index (27.41), we can say UHS is valued rather cheaply.
The Price/Forward Earnings ratio is 8.43, which indicates a very decent valuation of UHS.
UHS's Price/Forward Earnings ratio is rather cheap when compared to the industry. UHS is cheaper than 90.29% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 35.19. UHS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.29 | ||
| Fwd PE | 8.43 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UHS is valued cheaper than 84.47% of the companies in the same industry.
UHS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. UHS is cheaper than 84.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.16 | ||
| EV/EBITDA | 6.96 |
4.3 Compensation for Growth
UHS's 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.
A more expensive valuation may be justified as UHS's earnings are expected to grow with 13.31% in the coming years.
PEG (NY)0.53
PEG (5Y)0.96
EPS Next 2Y14.22%
EPS Next 3Y13.31%
5. Dividend
5.1 Amount
With a yearly dividend of 0.43%, UHS is not a good candidate for dividend investing.
UHS's Dividend Yield is rather good when compared to the industry average which is at 2.51. UHS pays more dividend than 80.58% of the companies in the same industry.
With a Dividend Yield of 0.43, UHS pays less dividend than the S&P500 average, which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
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
UHS pays out 4.45% of its income as dividend. This is a sustainable payout ratio.
UHS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP4.45%
EPS Next 2Y14.22%
EPS Next 3Y13.31%
NYSE:UHS (7/14/2025, 12:48:37 PM)
182.91
+0.39 (+0.21%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners97.38%
Inst Owner Change0%
Ins Owners4.77%
Ins Owner Change13.41%
Market Cap11.79B
Analysts71.54
Price Target228.15 (24.73%)
Short Float %4%
Short Ratio2.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
Yearly Dividend0.81
Dividend Growth(5Y)6.27%
DP4.45%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.4%
Min EPS beat(2)10.15%
Max EPS beat(2)16.65%
EPS beat(4)4
Avg EPS beat(4)14.33%
Min EPS beat(4)0.53%
Max EPS beat(4)29.99%
EPS beat(8)8
Avg EPS beat(8)11.31%
EPS beat(12)11
Avg EPS beat(12)7.77%
EPS beat(16)13
Avg EPS beat(16)7.25%
Revenue beat(2)1
Avg Revenue beat(2)-0.36%
Min Revenue beat(2)-2.29%
Max Revenue beat(2)1.57%
Revenue beat(4)3
Avg Revenue beat(4)-0.01%
Min Revenue beat(4)-2.29%
Max Revenue beat(4)1.57%
Revenue beat(8)6
Avg Revenue beat(8)0.12%
Revenue beat(12)9
Avg Revenue beat(12)0.16%
Revenue beat(16)13
Avg Revenue beat(16)0.77%
PT rev (1m)-0.44%
PT rev (3m)-2.02%
EPS NQ rev (1m)-1.12%
EPS NQ rev (3m)-0.9%
EPS NY rev (1m)0.01%
EPS NY rev (3m)2.46%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)0.09%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.29 | ||
| Fwd PE | 8.43 | ||
| P/S | 0.73 | ||
| P/FCF | 11.16 | ||
| P/OCF | 5.8 | ||
| P/B | 1.74 | ||
| P/tB | 4.15 | ||
| EV/EBITDA | 6.96 |
EPS(TTM)17.78
EY9.72%
EPS(NY)21.71
Fwd EY11.87%
FCF(TTM)16.39
FCFY8.96%
OCF(TTM)31.51
OCFY17.23%
SpS249.6
BVpS105.3
TBVpS44.03
PEG (NY)0.53
PEG (5Y)0.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.05% | ||
| ROE | 17.64% | ||
| ROCE | 13.93% | ||
| ROIC | 10.74% | ||
| ROICexc | 10.85% | ||
| ROICexgc | 15.9% | ||
| OM | 10.87% | ||
| PM (TTM) | 7.44% | ||
| GM | N/A | ||
| FCFM | 6.57% |
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%
ROICexcg growth 3Y1.9%
ROICexcg 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 Turnover1.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 4.4 | ||
| Debt/EBITDA | 1.97 | ||
| Cap/Depr | 164.53% | ||
| Cap/Sales | 6.06% | ||
| Interest Coverage | 11.82 | ||
| Cash Conversion | 86.78% | ||
| Profit Quality | 88.26% | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z | 3.04 |
F-Score8
WACC7.72%
ROIC/WACC1.39
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)49.29%
EPS 3Y12.08%
EPS 5Y10.74%
EPS Q2Q%30.81%
EPS Next Y19.45%
EPS Next 2Y14.22%
EPS Next 3Y13.31%
EPS Next 5Y10.77%
Revenue 1Y (TTM)9.73%
Revenue growth 3Y7.78%
Revenue growth 5Y6.82%
Sales Q2Q%6.66%
Revenue Next Year8.98%
Revenue Next 2Y7.25%
Revenue Next 3Y6.52%
Revenue Next 5Y4.61%
EBIT growth 1Y35.97%
EBIT growth 3Y7.25%
EBIT growth 5Y6.7%
EBIT Next Year52.15%
EBIT Next 3Y19.41%
EBIT Next 5YN/A
FCF growth 1Y662.27%
FCF growth 3Y242.18%
FCF growth 5Y7.48%
OCF growth 1Y141.37%
OCF growth 3Y32.75%
OCF growth 5Y7.52%