HCA Healthcare, Inc. (HCA) Hit a 52 Week High, Can the Run Continue?

Core Viewpoint - HCA Healthcare has shown strong stock performance, with an 11.2% increase over the past month and a 55.9% gain since the start of the year, outperforming the Zacks Medical sector and the Zacks Medical Services industry [1] Financial Performance - HCA has consistently exceeded earnings expectations, reporting EPS of $6.96 against a consensus estimate of $5.65 in its last earnings report on October 24, 2025, and beating revenue estimates by 3.55% [2] - For the current fiscal year, HCA is projected to achieve earnings of $26.56 per share on revenues of $75.56 billion, reflecting a 20.95% increase in EPS and a 7.02% increase in revenues [3] - The next fiscal year forecasts earnings of $28.76 per share on revenues of $78.22 billion, indicating year-over-year changes of 8.31% in EPS and 3.52% in revenues [3] Valuation Metrics - HCA's current trading metrics include a P/E ratio of 17.6X for the current fiscal year, slightly above the peer industry average of 17.3X, and a trailing cash flow ratio of 13X compared to the peer average of 10.3X [7] - The stock has a PEG ratio of 1.46, positioning it favorably among value stocks [7] Zacks Rank and Style Scores - HCA holds a Zacks Rank of 2 (Buy) due to favorable earnings estimate revisions, making it a suitable choice for investors seeking stocks with strong potential [8] - The company has a Value Score of A, a Growth Score of A, and a Momentum Score of C, resulting in a combined VGM Score of A [6] Industry Comparison - HCA's performance is contrasted with HealthEquity, Inc. (HQY), which has a Zacks Rank of 2 (Buy) and shows strong earnings potential, expected to post earnings of $3.86 per share on revenues of $1.31 billion for the current fiscal year [9][10] - The Medical Services industry is positioned in the top 38% of all industries, suggesting favorable conditions for both HCA and HQY [11]