Universal Health Services Inc (UHS, Financial) has recently captured the attention of investors and financial analysts, thanks to its strong financial performance. With a current share price of $179.54 and a daily gain of 1.4%, coupled with a three-month change of 10.68%, the company shows promising signs of substantial growth. A detailed analysis using the GF Score indicates that Universal Health Services Inc is poised for significant future success.
What Is the GF Score?
The GF Score is a proprietary ranking system developed by GuruFocus, assessing stocks based on five key valuation aspects. These aspects have been 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 96, reflecting its high potential for market outperformance.
- Financial strength rank: 5/10
- Profitability rank: 10/10
- Growth rank: 10/10
- GF Value rank: 6/10
- Momentum rank: 10/10
Understanding Universal Health Services Inc's Business
Universal Health Services Inc, with a market cap of $12.02 billion and annual sales of $14.66 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. These operations contribute to an operating margin of 8.77%, showcasing the company's efficiency and profitability.
Profitability and Growth Metrics
Universal Health Services Inc's Profitability Rank stands impressively at 10/10, indicating superior profitability compared to its peers. The company's financial health is further affirmed by a solid Piotroski F-Score, and its consistent operational performance is highlighted by a Predictability Rank of 5 stars.
Ranked highly in Growth, the company's 3-Year Revenue Growth Rate of 14.7% outperforms 63.84% of competitors in the Healthcare Providers & Services industry. This growth is complemented by a robust increase in EBITDA over the past few years, with a three-year growth rate of 3.8 and a five-year rate of 5.9.
Conclusion: A Strong Candidate for Market Outperformance
Considering Universal Health Services Inc's solid financial strength, exceptional profitability, and consistent growth metrics, the GF Score underscores the company's unmatched potential for market 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.
