Key Takeaways CNX, GPN, HRMY, and UHS meet strict value criteria, including low P/CF and solid financial health.Each company is projected to grow both sales and EPS in the current financial year.All four stocks carry a Value Score of A and show consistent positive earnings surprises.The U.S. stock market remained subdued yesterday. While the Dow Jones Industrial Average gained 0.11% (+55.96 points) to 49,071.56, the broader market faced downside pressure. The S&P 500 slipped 0.13% to 6,969.01, while the tec ...

Universal Health Services, Inc. (UHS) is a leading healthcare services company that owns and operates a broad network of acute care hospitals, behavioral health facilities, outpatient centers and related healthcare services. Headquartered in King of Prussia, Pennsylvania, UHS provides a wide range of medical and psychiatric care, aiming to deliver high-quality patient services through its Acute Care Hospital and Behavioral Health Care segments. UHS’ market cap is around $12.7 billion. It is expected to a ...

Core Viewpoint - The article highlights Universal Health Services (UHS) as a strong growth stock, supported by its favorable Growth Score and Zacks Rank, indicating solid investment potential for growth investors [2][11]. Earnings Growth - Universal Health Services has a historical EPS growth rate of 10.9%, with projected EPS growth of 7.8% this year, significantly outperforming the industry average of -1.6% [5][4]. Asset Utilization Ratio - The company has an asset utilization ratio (sales-to-total-assets) of 1.14, indicating it generates $1.14 in sales for every dollar in assets, compared to the industry average of 0.82, showcasing superior efficiency [7][6]. Sales Growth - UHS is expected to achieve a sales growth of 5.2% this year, which is higher than the industry average of 4.2%, reflecting strong sales performance [8]. Earnings Estimate Revisions - The current-year earnings estimates for Universal Health Services have been revised upward, with the Zacks Consensus Estimate increasing by 0.4% over the past month, indicating positive momentum [9]. Overall Assessment - With a Zacks Rank of 2 and a Growth Score of B, Universal Health Services is positioned as a potential outperformer and a solid choice for growth investors [11].

After dropping more than 6% on Wednesday, Universal Health Services, Inc. (NYSE:UHS) is trading marginally higher on Thursday. The drop came after Bank of America said it remains cautious on hospitals.  • What’s driving UHS up?Universal Health is the Stock of the Day. It is both oversold and at support; these could be bullish dynamics that could suggest a move higher.Many trading strategies and methods are built around the concept of reversion to the mean. If something goes too far in one direction, there i ...

Core Viewpoint - The article summarizes significant analyst rating changes that could impact market trends, highlighting upgrades, downgrades, and new coverage ratings for various companies [1][6]. Upgrades - Barclays upgraded Whirlpool (W) from "Neutral" to "Overweight," raising the target price from $104 to $123, citing accelerated market share growth expected in 2025 and continuation into 2026 [5]. - Oppenheimer upgraded McDonald's (MCD) from "Market Perform" to "Outperform," setting a target price of $355, with a more optimistic outlook for the restaurant sector in 2026 despite a poor performance in 2025 [5]. - Barclays upgraded Lowe's (LOW) from "Neutral" to "Overweight," increasing the target price from $259 to $285, based on an expected improvement in non-essential goods demand due to upcoming tax policy changes [5]. - Piper Sandler upgraded Hershey (HSY) from "Neutral" to "Overweight," raising the target price from $193 to $213, noting lower cocoa costs and the removal of cocoa tariffs, which provide flexibility for reinvestment and growth [5]. - Bank of America upgraded Regeneron Pharmaceuticals (REGN) from "Underperform" to "Buy," significantly raising the target price from $627 to $860, as previous concerns regarding Eylea SD have been addressed [5]. Downgrades - Jefferies downgraded First Solar (FSLR) from "Buy" to "Hold," lowering the target price from $269 to $260 due to limited visibility on orders and emerging strategic issues [10]. - Oppenheimer downgraded Yum Brands (YUM) from "Outperform" to "Market Perform," with no target price set, as the stock's risk-reward profile has become balanced after a 13% increase in 2025 [10]. - Montreal Bank Capital Markets downgraded Union Pacific Railroad (UNP) from "Outperform" to "Market Perform," reducing the target price from $270 to $255, citing high uncertainty regarding regulatory outcomes and weak freight demand [10]. - Piper Sandler downgraded Deckers Outdoor (DECK) from "Neutral" to "Underweight," lowering the target price from $100 to $85, as the company has increased discount promotions on its core brands [10]. - Wells Fargo downgraded Humana (HUM) from "Overweight" to "Neutral," setting a target price of $290, due to uncertainties regarding profit margin targets for 2026 [10]. New Coverage - Argus Research initiated coverage on grocery delivery platform Instacart (CART) with a "Buy" rating and a target price of $52, highlighting revenue growth and recent profitability achievements [11]. - Citigroup initiated coverage on Natera (NTRA) with a "Buy" rating and a target price of $300, citing significant growth potential [11]. - Link Consulting initiated coverage on Galecto (GLTO) with an "Outperform" rating and a target price of $46, noting its acquisition of Damola Therapeutics to advance its oncology pipeline [11]. - Wolfe Research initiated coverage on Apogee Therapeutics (APGE) with a "Market Perform" rating, without a target price, predicting mixed catalysts for the stock in 2026 [11]. - Mizuho Securities initiated coverage on Palvella Therapeutics (PVLA) with an "Outperform" rating and a target price of $205, based on positive clinical trial data for its drug Qtorin [11].

Core Insights - Universal Health Services, Inc. (UHS) is identified as a compelling value play in the medical facilities sector, trading at a forward earnings multiple of 9.62X, which is below its five-year median of 11.70X and the industry average of 10.84X [1][6] - UHS has a Value Score of A, indicating strong appeal to valuation-conscious investors [2] Share Price Performance - UHS has seen a share price increase of 26.7% over the past year, outperforming the industry growth of 22.1% and the S&P 500's rise of 16.3% [4] - Despite trailing behind Tenet Healthcare Corporation (THC) and HCA Healthcare, Inc. (HCA) in returns, UHS has still achieved significant gains, reflecting improving fundamentals and investor confidence [4] Financial Metrics - UHS's forward P/E ratio of 9.62X is lower than major peers, with rising admissions and patient days supporting revenue growth [6] - Adjusted net margins have expanded from 5.2% in 2023 to 7.1% in 2024 and further to 8.1% in Q3 2025, indicating operational leverage [10] Revenue Growth - UHS has experienced steady revenue growth across its Acute Care Hospital Services and Behavioral Health Care Services segments, with adjusted admissions increasing by 6.5% in 2023 and projected growth of 3.8% in 2024 [9] - Adjusted patient days in the Behavioral Health segment rose by 1.7% in 2023 and 1.6% in 2024, demonstrating stable demand [9] Cash Flow and Shareholder Returns - UHS generated $525 million in free cash flow in 2023, $1.1 billion in 2024, and $537 million in the first nine months of 2025, with a conservative long-term debt-to-capital ratio of 35.7% [11] - The company has repurchased approximately 36% of its outstanding shares since 2019, with buybacks totaling $525 million in 2023 and $598.5 million in 2024 [12] Earnings Estimates - The Zacks Consensus Estimate for 2025 adjusted earnings is $21.83 per share, indicating a year-over-year growth of 31.4%, with a projected 7.4% increase in 2026 [13] - Revenue estimates imply growth of 9.7% in 2025 and 5.2% in 2026, with UHS exceeding earnings expectations in the past four quarters, delivering an average surprise of 15.2% [14][13] Analyst Sentiment - Analysts suggest additional upside for UHS shares, which currently trade below the average price target of $252.18, indicating potential upside of approximately 12.1% [15] - Target estimates range from $190 to $302, reflecting varying risk assumptions, but the overall outlook remains positive [15] Conclusion - UHS is well-positioned for investors seeking value with improving fundamentals, supported by discounted valuation, consistent volume growth, expanding margins, and strong free cash flow generation [16] - The company has a conservative balance sheet and an aggressive share repurchase program, enhancing shareholder returns [16]

Core Insights - Universal Health Services, Inc. (UHS) is a significant player in the healthcare sector, operating acute care hospitals, behavioral health facilities, and outpatient services, with a market capitalization of $13.9 billion [1][2] Company Performance - UHS is classified as a large-cap stock, reflecting its substantial size and influence in the medical care facilities industry, benefiting from operational expertise and steady demand [2] - The company's stock is currently trading 9.6% below its 52-week high of $246.33, but has gained 16.1% over the past three months, outperforming the S&P 500 Index's 3.7% increase during the same period [3] - Over the past 52 weeks, UHS shares have increased by 19.4%, surpassing the S&P 500's 12.8% rise, and are up 24.1% year-to-date compared to the S&P 500's 16.1% return [4] Recent Financial Results - UHS reported better-than-expected Q3 earnings, with a 13.4% year-over-year revenue increase to $4.5 billion, exceeding consensus estimates by 4.4% [5] - The adjusted EPS rose by 53.4% from the previous year to $5.69, significantly above analyst expectations of $4.66 [5] - The company has raised its fiscal 2025 revenue and earnings guidance, indicating strong operational momentum [5] Competitive Landscape - UHS has underperformed compared to its rival HCA Healthcare, which has seen a 55.4% increase over the past 52 weeks and a 61.5% rise year-to-date [6]

Core Viewpoint - Universal Health Services (UHS) is highlighted as a strong investment opportunity with a Zacks Rank 1 (Strong Buy) and a 6.7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1]. Group 1: Company Overview - Universal Health Services operates a diverse range of healthcare facilities, including acute care hospitals, behavioral health centers, surgical hospitals, ambulatory surgery centers, and radiation oncology centers [1]. - The company has a price-to-earnings ratio (P/E) of 10.32, significantly lower than the S&P average of 25.11, indicating strong value characteristics [2]. - Universal Health Services holds a Value Score of A, further emphasizing its attractiveness to value-focused investors [2].

Core Viewpoint - Scott+Scott Attorneys at Law LLP is investigating potential breaches of fiduciary duties by the leadership of Universal Health Services, Inc. (NYSE: UHS) towards the company and its shareholders [1] Group 1 - The investigation focuses on whether members of Universal Health's board of directors or senior management failed to manage the company in an acceptable manner [1]

Core Insights - Five stocks have been added to the Zacks Rank 1 (Strong Buy) List, indicating strong potential for investment Group 1: Company Earnings Estimates - Kennametal Inc. (KMT) has seen a 25% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - Universal Health Services, Inc. (UHS) has experienced a 6.7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - WisdomTree, Inc. (WT) has reported a 6.8% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] - Oceaneering International, Inc. (OII) has seen an 11.7% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] - MediaAlpha, Inc. (MAX) has experienced a significant 700% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [3]