Universal Health Services Inc (UHS)'s Winning Formula: Financial Metrics and Competitive Strengths

Exploring the Robust Financial Health and Growth Prospects of Universal Health Services Inc

Universal Health Services Inc (UHS, Financial) has recently captured the attention of investors and financial analysts alike, thanks to its strong financial performance. With a current share price of $182.77, the company has enjoyed a daily gain of 1.41% and an impressive three-month growth of 9.42%. A detailed analysis, supported by the GF Score, indicates that Universal Health Services Inc is poised for significant future growth.

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What Is the GF Score?

The GF Score is a proprietary ranking system developed by GuruFocus, assessing stocks across five key valuation aspects. This system has proven to correlate strongly 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 97, highlighting its strong potential in the market.

Understanding Universal Health Services Inc's Business

Universal Health Services Inc, with a market cap of $12.23 billion and annual sales of $14.66 billion, operates a diverse range of health facilities, including acute care hospitals, behavioral health centers, and ambulatory surgery centers. The company is segmented into Acute Care Hospital Services and Behavioral Health Services, focusing on delivering high-quality medical and surgical services.

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Financial Strength Breakdown

Universal Health Services Inc's financial robustness is evident in its Interest Coverage ratio of 6.29, showcasing its ability to comfortably meet interest obligations. The company's strategic debt management is reflected in its Debt-to-Revenue ratio of 0.36, further solidifying its financial stability.

Profitability and Growth Metrics

The company's Profitability Rank is outstanding, supported by a Piotroski F-Score that indicates a healthy financial state. Universal Health Services Inc also excels in growth, with a 3-Year Revenue Growth Rate of 14.7%, outperforming 63.01% of its industry peers. This growth is complemented by a consistent increase in EBITDA, highlighting the company's effective expansion strategies.

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Conclusion

Considering Universal Health Services Inc's strong financial strength, profitability, and growth metrics, the GF Score underscores the company's exceptional position for potential market outperformance. Investors looking for similar opportunities can explore more companies with strong GF Scores through 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.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.