UNIVERSAL HEALTH SERVICES-B (UHS) Stock Fundamental Analysis
USA - NYSE:UHS - US9139031002 - Common Stock
195.488 USD
+0.77 (+0.39%)
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. While UHS has a great profitability rating, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on UHS. With these ratings, UHS could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year UHS was profitable.
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
Looking at the Return On Assets, with a value of 8.41%, UHS belongs to the top of the industry, outperforming 92.08% of the companies in the same industry.
Looking at the Return On Equity, with a value of 17.94%, UHS belongs to the top of the industry, outperforming 86.14% of the companies in the same industry.
UHS's Return On Invested Capital of 11.02% is amongst the best of the industry. UHS outperforms 84.16% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for UHS is in line with the industry average of 9.19%.
The last Return On Invested Capital (11.02%) for UHS is above the 3 year average (8.28%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.41% | ||
| ROE | 17.94% | ||
| ROIC | 11.02% |
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 7.66%. This is amongst the best in the industry. UHS outperforms 89.11% 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's Operating Margin of 11.01% is amongst the best of the industry. UHS outperforms 82.18% of its industry peers.
In the last couple of years the Operating Margin of UHS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.01% | ||
| PM (TTM) | 7.66% | ||
| 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.
UHS has less shares outstanding than it did 1 year ago.
UHS has less shares outstanding than it did 5 years ago.
UHS has a better debt/assets ratio than last year.
2.2 Solvency
UHS has an Altman-Z score of 3.14. This indicates that UHS is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of UHS (3.14) is better than 63.37% of its industry peers.
UHS has a debt to FCF ratio of 5.08. This is a neutral value as UHS would need 5.08 years to pay back of all of its debts.
UHS has a Debt to FCF ratio of 5.08. This is in the better half of the industry: UHS outperforms 68.32% of its industry peers.
A Debt/Equity ratio of 0.65 indicates that UHS is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.65, UHS is in line with its industry, outperforming 55.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 5.08 | ||
| Altman-Z | 3.14 |
ROIC/WACC1.37
WACC8.02%
2.3 Liquidity
UHS has a Current Ratio of 1.29. 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 1.29, UHS perfoms like the industry average, outperforming 40.59% of the companies in the same industry.
UHS has a Quick Ratio of 1.19. This is a normal value and indicates that UHS is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of UHS (1.19) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.19 |
3. Growth
3.1 Past
UHS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 37.47%, which is quite impressive.
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.
Looking at the last year, UHS shows a quite strong growth in Revenue. The Revenue has grown by 9.61% in the last year.
Measured over the past years, UHS shows a small growth in Revenue. The Revenue has been growing by 6.82% on average per year.
EPS 1Y (TTM)37.47%
EPS 3Y12.08%
EPS 5Y10.74%
EPS Q2Q%24.13%
Revenue 1Y (TTM)9.61%
Revenue growth 3Y7.78%
Revenue growth 5Y6.82%
Sales Q2Q%9.63%
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 11.65% on average per year.
The Revenue is expected to grow by 4.70% on average over the next years.
EPS Next Y24.6%
EPS Next 2Y15.2%
EPS Next 3Y13.49%
EPS Next 5Y11.65%
Revenue Next Year9.3%
Revenue Next 2Y7.09%
Revenue Next 3Y6.45%
Revenue Next 5Y4.7%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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
UHS is valuated reasonably with a Price/Earnings ratio of 10.39.
UHS's Price/Earnings ratio is rather cheap when compared to the industry. UHS is cheaper than 89.11% of the companies in the same industry.
UHS is valuated cheaply when we compare the Price/Earnings ratio to 27.41, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 8.85, which indicates a very decent valuation of UHS.
Based on the Price/Forward Earnings ratio, UHS is valued cheaper than 90.10% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.87. UHS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.39 | ||
| Fwd PE | 8.85 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UHS is valued cheaper than 86.14% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UHS indicates a rather cheap valuation: UHS is cheaper than 80.20% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.8 | ||
| EV/EBITDA | 6.99 |
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.
UHS has a very decent profitability rating, which may justify a higher PE ratio.
UHS's earnings are expected to grow with 13.49% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.42
PEG (5Y)0.97
EPS Next 2Y15.2%
EPS Next 3Y13.49%
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 a higher than the industry average which is at 2.48.
With a Dividend Yield of 0.43, UHS pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
5.2 History
The dividend of UHS is nicely growing with an annual growth rate of 6.27%!
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 4.19% of its income as dividend. This is a sustainable payout ratio.
The dividend of UHS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP4.19%
EPS Next 2Y15.2%
EPS Next 3Y13.49%
NYSE:UHS (9/24/2025, 9:33:52 AM)
195.488
+0.77 (+0.39%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners98.55%
Inst Owner Change-1.18%
Ins Owners4.77%
Ins Owner Change14.58%
Market Cap12.44B
Analysts69.23
Price Target222.55 (13.84%)
Short Float %4.5%
Short Ratio2.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
Yearly Dividend0.81
Dividend Growth(5Y)6.27%
DP4.19%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.89%
Min EPS beat(2)7.62%
Max EPS beat(2)10.15%
EPS beat(4)4
Avg EPS beat(4)8.74%
Min EPS beat(4)0.53%
Max EPS beat(4)16.65%
EPS beat(8)8
Avg EPS beat(8)11.9%
EPS beat(12)12
Avg EPS beat(12)9.02%
EPS beat(16)13
Avg EPS beat(16)5.35%
Revenue beat(2)1
Avg Revenue beat(2)-1.06%
Min Revenue beat(2)-2.29%
Max Revenue beat(2)0.18%
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)0.11%
Revenue beat(12)9
Avg Revenue beat(12)0.14%
Revenue beat(16)13
Avg Revenue beat(16)0.46%
PT rev (1m)-1.33%
PT rev (3m)-2.45%
EPS NQ rev (1m)0.12%
EPS NQ rev (3m)4.77%
EPS NY rev (1m)0%
EPS NY rev (3m)4.24%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.39 | ||
| Fwd PE | 8.85 | ||
| P/S | 0.76 | ||
| P/FCF | 13.8 | ||
| P/OCF | 6.55 | ||
| P/B | 1.77 | ||
| P/tB | 4.08 | ||
| EV/EBITDA | 6.99 |
EPS(TTM)18.82
EY9.63%
EPS(NY)22.08
Fwd EY11.3%
FCF(TTM)14.17
FCFY7.25%
OCF(TTM)29.86
OCFY15.28%
SpS258.65
BVpS110.47
TBVpS47.96
PEG (NY)0.42
PEG (5Y)0.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.41% | ||
| ROE | 17.94% | ||
| ROCE | 14.3% | ||
| ROIC | 11.02% | ||
| ROICexc | 11.14% | ||
| ROICexgc | 16.33% | ||
| OM | 11.01% | ||
| PM (TTM) | 7.66% | ||
| GM | N/A | ||
| FCFM | 5.48% |
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-Score9
Asset Turnover1.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 5.08 | ||
| Debt/EBITDA | 1.89 | ||
| Cap/Depr | 167.41% | ||
| Cap/Sales | 6.07% | ||
| Interest Coverage | 12.09 | ||
| Cash Conversion | 78.91% | ||
| Profit Quality | 71.49% | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.19 | ||
| Altman-Z | 3.14 |
F-Score9
WACC8.02%
ROIC/WACC1.37
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)37.47%
EPS 3Y12.08%
EPS 5Y10.74%
EPS Q2Q%24.13%
EPS Next Y24.6%
EPS Next 2Y15.2%
EPS Next 3Y13.49%
EPS Next 5Y11.65%
Revenue 1Y (TTM)9.61%
Revenue growth 3Y7.78%
Revenue growth 5Y6.82%
Sales Q2Q%9.63%
Revenue Next Year9.3%
Revenue Next 2Y7.09%
Revenue Next 3Y6.45%
Revenue Next 5Y4.7%
EBIT growth 1Y25.67%
EBIT growth 3Y7.25%
EBIT growth 5Y6.7%
EBIT Next Year54.97%
EBIT Next 3Y19.45%
EBIT Next 5YN/A
FCF growth 1Y77.13%
FCF growth 3Y242.18%
FCF growth 5Y7.48%
OCF growth 1Y62.2%
OCF growth 3Y32.75%
OCF growth 5Y7.52%