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 $229.57 and a recent daily gain of 4.14%, coupled with a three-month change of 27.09%, the company shows promising signs of substantial growth. A detailed analysis, supported by the GF Score, positions Universal Health Services Inc for potential market outperformance in the near future.
What Is the GF Score?
The GF Score is a proprietary ranking system developed by GuruFocus, evaluating stocks based on five key aspects of valuation. 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 94, signaling strong future performance potential.
- Financial strength rank: 6/10
- Profitability rank: 10/10
- Growth rank: 10/10
- GF Value rank: 5/10
- Momentum rank: 6/10
Understanding Universal Health Services Inc Business
Universal Health Services Inc, with a market cap of $15.32 billion and annual sales of $15.02 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. This diversified business model allows for a balanced income stream and operational stability.
Financial Strength Breakdown
Universal Health Services Inc's financial robustness is evident in its Financial Strength rating. An Interest Coverage ratio of 7.05 highlights its capability to meet interest obligations comfortably. Furthermore, a Debt-to-Revenue ratio of 0.33 showcases effective debt management, reinforcing its financial health.
Profitability and Growth Metrics
The company's Profitability Rank is impressive, supported by a strong Predictability Rank of 5 stars, indicating reliable operational performance. Growth is also a standout, with a 3-Year Revenue Growth Rate of 14.7%, surpassing 62.1% of peers in the Healthcare Providers & Services industry.
Conclusion
Considering Universal Health Services Inc's strong financial strength, profitability, and growth metrics, the GF Score highlights the firm's unparalleled position for potential outperformance. Investors looking for similar opportunities can explore more companies with strong GF Scores 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.
