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 $201.88 and a notable daily gain of 8.56%, coupled with a three-month change of 21.63%, the company shows promising growth potential. 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 from 2006 to 2021. Stocks with higher GF Scores typically yield better long-term returns. The components of the GF Score include Financial Strength, Profitability, Growth, GF Value, and Momentum, each contributing differently to the stock's performance. Universal Health Services Inc boasts an impressive GF Score of 97 out of 100, indicating a high potential for outperformance.
Understanding Universal Health Services Inc's Business
Universal Health Services Inc, with a market cap of $13.51 billion and annual sales of $14.66 billion, operates acute care hospitals, behavioral health centers, and other medical facilities. The company is divided into two main segments: Acute Care Hospital Services and Behavioral Health Services, focusing on diverse healthcare needs. This broad operational base supports its robust financial metrics and growth trajectory.
Financial Strength Breakdown
Universal Health Services Inc's financial resilience is evident in its Financial Strength rank of 6/10. The company's Interest Coverage ratio stands at 6.29, showcasing its ability to comfortably meet interest obligations—a key indicator of financial health. Additionally, its Debt-to-Revenue ratio of 0.36 further solidifies its strong financial standing.
Profitability and Growth Metrics
The company's Profitability Rank is exceptional at 10/10, supported by a high Piotroski F-Score and a Predictability Rank of 5 stars, indicating reliable operational performance. Growth is equally impressive, with a Growth Rank of 10/10. The company's 3-Year Revenue Growth Rate of 14.7% and consistent EBITDA growth highlight its expanding operations and profitability.
Conclusion
Considering Universal Health Services Inc's robust financial strength, high profitability, and sustained growth metrics, the GF Score underscores the company's strong position for potential market outperformance. Investors looking for solid investment opportunities may find Universal Health Services Inc an attractive option.
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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.
