Royal Bank of Canada Cuts Universal Health Services (NYSE:UHS) Price Target to $211.00

Universal Health Services (NYSE:UHS) had its price objective reduced by analysts at Royal Bank of Canada from $222.00 to $211.00 in a report issued on Monday, Benzinga reports. The firm currently has a “sector perform” rating on the health services provider’s stock. Royal Bank of Canada’s target price points to a potential upside of 3.45% from the company’s previous close.

Other equities research analysts have also recently issued research reports about the stock. Robert W. Baird increased their target price on shares of Universal Health Services from $236.00 to $274.00 and gave the company an “outperform” rating in a research report on Wednesday, September 4th. Stephens reissued an “equal weight” rating and set a $200.00 target price on shares of Universal Health Services in a research report on Thursday, July 25th. TD Cowen decreased their target price on shares of Universal Health Services from $283.00 to $275.00 and set a “buy” rating for the company in a research report on Monday. The Goldman Sachs Group increased their target price on shares of Universal Health Services from $200.00 to $229.00 and gave the company a “buy” rating in a research report on Tuesday, July 30th. Finally, KeyCorp began coverage on shares of Universal Health Services in a report on Friday, October 11th. They issued a “sector weight” rating for the company. Five analysts have rated the stock with a hold rating, nine have assigned a buy rating and two have given a strong buy rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $231.00.

Universal Health Services Trading Up 0.6 %

UHS stock traded up $1.21 during mid-day trading on Monday, reaching $203.96. The company had a trading volume of 214,645 shares, compared to its average volume of 670,112. The company has a debt-to-equity ratio of 0.69, a current ratio of 1.39 and a quick ratio of 1.28. The company has a market capitalization of $13.61 billion, a PE ratio of 13.57, a price-to-earnings-growth ratio of 0.67 and a beta of 1.27. The firm has a 50 day moving average of $229.55 and a 200 day moving average of $201.23. Universal Health Services has a 12 month low of $121.55 and a 12 month high of $243.25.

Universal Health Services (NYSE:UHS) last announced its quarterly earnings results on Thursday, October 24th. The health services provider reported $3.71 earnings per share for the quarter, missing the consensus estimate of $3.75 by ($0.04). Universal Health Services had a return on equity of 15.75% and a net margin of 6.66%. The business had revenue of $3.96 billion during the quarter, compared to analysts’ expectations of $3.90 billion. During the same period in the previous year, the company posted $2.55 EPS. Universal Health Services’s revenue for the quarter was up 11.3% on a year-over-year basis. On average, equities analysts predict that Universal Health Services will post 15.9 earnings per share for the current fiscal year.

Universal Health Services declared that its Board of Directors has initiated a stock repurchase plan on Wednesday, July 24th that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the health services provider to buy up to 8% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s management believes its stock is undervalued.

Insider Activity

In related news, Director Nina Chen-Langenmayr sold 850 shares of the stock in a transaction on Wednesday, August 7th. The shares were sold at an average price of $212.11, for a total transaction of $180,293.50. Following the completion of the sale, the director now owns 1,985 shares in the company, valued at $421,038.35. This represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. In other news, Director Warren J. Nimetz sold 3,444 shares of the stock in a transaction dated Monday, August 12th. The shares were sold at an average price of $217.64, for a total value of $749,552.16. Following the completion of the transaction, the director now owns 3,971 shares in the company, valued at $864,248.44. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Nina Chen-Langenmayr sold 850 shares of the stock in a transaction dated Wednesday, August 7th. The shares were sold at an average price of $212.11, for a total transaction of $180,293.50. Following the completion of the transaction, the director now owns 1,985 shares of the company’s stock, valued at $421,038.35. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Company insiders own 16.10% of the company’s stock.

Hedge Funds Weigh In On Universal Health Services

Several hedge funds have recently added to or reduced their stakes in UHS. Point72 Asset Management L.P. increased its holdings in Universal Health Services by 362.3% during the 2nd quarter. Point72 Asset Management L.P. now owns 322,626 shares of the health services provider’s stock valued at $59,663,000 after acquiring an additional 252,846 shares in the last quarter. Marshall Wace LLP increased its holdings in Universal Health Services by 357.9% during the 2nd quarter. Marshall Wace LLP now owns 261,221 shares of the health services provider’s stock valued at $48,308,000 after acquiring an additional 204,178 shares in the last quarter. Lazard Asset Management LLC increased its holdings in Universal Health Services by 1,191.8% during the 1st quarter. Lazard Asset Management LLC now owns 215,215 shares of the health services provider’s stock valued at $39,267,000 after acquiring an additional 198,555 shares in the last quarter. Lord Abbett & CO. LLC purchased a new position in Universal Health Services during the 1st quarter valued at about $25,032,000. Finally, Pzena Investment Management LLC boosted its stake in shares of Universal Health Services by 41.2% during the 1st quarter. Pzena Investment Management LLC now owns 455,773 shares of the health services provider’s stock worth $83,160,000 after purchasing an additional 132,942 shares during the last quarter. 86.05% of the stock is currently owned by hedge funds and other institutional investors.

Universal Health Services Company Profile

Universal Health Services, Inc, through its subsidiaries, owns and operates acute care hospitals, and outpatient and behavioral health care facilities. It operates through Acute Care Hospital Services and Behavioral Health Care Services segments. The company's hospitals offer general and specialty surgery, internal medicine, obstetrics, emergency room care, radiology, oncology, diagnostic and coronary care, pediatric services, pharmacy services, and/or behavioral health services.