HCA Healthcare Inc (HCA, Financial) has recently been in the spotlight, drawing interest from investors and financial analysts due to its robust financial stance. With shares currently priced at $304.56, HCA Healthcare Inc has witnessed a daily gain of 0.98%, marked against a three-month change of 35.35%. A thorough analysis, underlined by the GF Score, suggests that HCA Healthcare Inc is well-positioned for substantial growth in the near future.
What Is the GF Score?
The GF Score is a stock performance ranking system developed by GuruFocus using five aspects of valuation, which has been found to be closely correlated to the long-term performances of stocks by backtesting from 2006 to 2021. The stocks with a higher GF Score generally generate higher returns than those with a lower GF Score. Therefore, when picking stocks, investors should invest in companies with high GF Scores. The GF Score ranges from 0 to 100, with 100 as the highest rank.
- Financial strength rank: 4/10
- Profitability rank: 10/10
- Growth rank: 10/10
- GF Value rank: 5/10
- Momentum rank: 8/10
Each one of these components is ranked and the ranks also have positive correlation with the long term performances of stocks. The GF score is calculated using the five key aspects of analysis. Through backtesting, we know that each of these key aspects has a different impact on the stock price performance. Thus, they are weighted differently when calculating the total score. With a high profitability and growth rank, but a moderate financial strength and GF Value rank, GuruFocus assigned HCA Healthcare Inc the GF Score of 93 out of 100, which signals the highest outperformance potential.
Understanding HCA Healthcare Inc Business
HCA Healthcare Inc is a Nashville-based healthcare provider organization operating the largest collection of acute-care hospitals in the United States. As of December 2022, the firm owned and operated 182 hospitals, 126 freestanding outpatient surgery centers, and a broad network of physician offices, urgent-care clinics, and freestanding emergency rooms across 20 states and a small foothold in England. With a market cap of $81.52 billion and sales of $63.16 billion, HCA Healthcare Inc boasts an operating margin of 14.63%, reflecting its efficiency and profitability in the healthcare sector.
Profitability Rank Breakdown
The Profitability Rank showcases HCA Healthcare Inc's impressive standing among its peers in generating profit. The company's solid financial situation is further confirmed by the Piotroski F-Score, which is based on Joseph Piotroski's nine-point scale measuring a company's profitability, funding, and operating efficiency. Additionally, HCA Healthcare Inc's strong Predictability Rank of 5.0 stars out of five underscores its consistent operational performance, providing investors with increased confidence.
Growth Rank Breakdown
Ranked highly in Growth, HCA Healthcare Inc demonstrates a strong commitment to expanding its business. The company's 3-Year Revenue Growth Rate is 11.5%, which outperforms 57.12% of companies in the Healthcare Providers & Services industry. Moreover, HCA Healthcare Inc has seen a robust increase in its earnings before interest, taxes, depreciation, and amortization (EBITDA) over the past few years. Specifically, the three-year growth rate stands at 17.6, and the rate over the past five years is 15.7. This trend accentuates the company's continued capability to drive growth.
Next Steps
Considering HCA Healthcare Inc's financial strength, profitability, and growth metrics, the GF Score highlights the firm's unparalleled position for potential outperformance. The company's strategic initiatives, competitive position, and efficient management team contribute to its strong market presence and promise a bright future. Investors looking for similar opportunities can explore more companies with strong GF Scores using the GF Score Screen provided by GuruFocus Premium.
As HCA Healthcare Inc continues to navigate the complex healthcare landscape, how will its strategic decisions and market dynamics influence its GF Score and investment potential in the years to come?
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.
