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 $308.15, HCA Healthcare Inc has witnessed a daily loss of 0.41%, marked against a three-month change of 36.07%. 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: 10/10
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 high ranks in profitability, growth, and momentum, and moderate scores in financial strength and GF Value, GuruFocus assigned HCA Healthcare Inc the GF Score of 94 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. With a market cap of $82.48 billion and sales of $64.97 billion, the company boasts an operating margin of 14.82%. As of December 2022, HCA Healthcare 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. This diverse portfolio underscores HCA Healthcare Inc's significant presence in the healthcare sector.
Profitability Rank Breakdown
The Profitability Rank reflects HCA Healthcare Inc's superior ability to generate profits compared to its competitors. The company's Operating Margin has seen a steady increase over the past five years, with figures rising from 14.06% in 2019 to 14.82% in 2023. Additionally, HCA Healthcare Inc's Gross Margin has consistently improved, reaching 84.76% in 2023, indicating the company's efficiency in converting sales into profits.
The Piotroski F-Score further confirms HCA Healthcare Inc's solid financial health, while the Predictability Rank of 5 stars out of five highlights the company's consistent operational performance, instilling confidence in investors.
Growth Rank Breakdown
HCA Healthcare Inc's high Growth Rank signifies its dedication to business expansion. The company's 3-Year Revenue Growth Rate of 16.2% surpasses 67.03% of companies in the Healthcare Providers & Services industry. The three-year EBITDA growth rate of 17.6 and a five-year rate of 14.3 highlight HCA Healthcare Inc's ability to sustain growth and profitability.
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 management team further solidify its status as a compelling investment opportunity. Investors seeking to capitalize on such high-performing stocks can explore more options with the GF Score Screen available to GuruFocus Premium members.
Is HCA Healthcare Inc poised to continue its trajectory of growth and market leadership? The numbers certainly suggest so, making it a stock to watch in the healthcare sector.
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.
