Universal Health Services Inc (UHS, Financial) has recently captured the attention of investors and financial analysts with its strong financial performance. With a current share price of $180.05 and a daily gain of 0.82%, coupled with an 11.66% increase over the past three months, the company shows promising growth prospects. A detailed analysis using the GF Score indicates that Universal Health Services Inc is poised for significant future growth.
What Is the GF Score?
The GF Score is a proprietary ranking system developed by GuruFocus, assessing stocks based on five key valuation aspects. These aspects have shown a strong correlation with long-term stock performance from 2006 to 2021. Stocks with higher GF Scores typically yield higher returns. The GF Score ranges from 0 to 100, with 100 indicating the highest potential for outperformance. Universal Health Services Inc boasts a GF Score of 96, reflecting its high potential for market outperformance.
- Financial strength rank: 5/10
- Profitability rank: 10/10
- Growth rank: 10/10
- GF Value rank: 6/10
- Momentum rank: 10/10
Understanding Universal Health Services Inc Business
Universal Health Services Inc, with a market cap of $12.05 billion and annual sales of $14.66 billion, operates acute care hospitals, behavioral health centers, and ambulatory surgery centers. The company is divided into two main segments: Acute Care Hospital Services and Behavioral Health Services. These operations contribute to an operating margin of 8.77%, showcasing the company's efficiency and profitability.
Profitability and Financial Strength
The Profitability Rank of Universal Health Services Inc highlights its superior ability to generate profits compared to its peers. Additionally, the Piotroski F-Score further confirms the company's robust financial health, scoring high on Joseph Piotroski's nine-point scale which evaluates profitability, funding, and operational efficiency. The company's Predictability Rank of 5.0 stars further underscores its consistent operational performance, enhancing investor confidence.
Growth Trajectory
Universal Health Services Inc is recognized for its commitment to growth, as evidenced by its high Growth Rank. The company's 3-Year Revenue Growth Rate of 14.7% surpasses 63.84% of competitors in the Healthcare Providers & Services industry. The growth in EBITDA over the past three to five years highlights the company's ongoing ability to expand profitably.
Conclusion
Considering Universal Health Services Inc's strong financial strength, exceptional profitability, and consistent growth metrics, the GF Score distinctly highlights the company's superior position for potential market outperformance. Investors looking for similar opportunities can explore other high-scoring companies using the GF Score Screen.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
