Universal Health Services, Inc. (NYSE:UHS) - A Strong Contender in the Healthcare Sector

• UBS maintains a "Buy" rating for UHS, raising its price target from $280 to $302.
• Remarkable 53% year-over-year increase in earnings per share (EPS), reaching $5.69.
• Revenue growth of 13.4% in the third quarter, with adjusted EBITDA increasing by 27.4%.

Universal Health Services, Inc. (NYSE:UHS) is a prominent player in the healthcare sector, providing acute care and behavioral health services. On October 29, 2025, UBS maintained its "Buy" rating for UHS, reflecting confidence in the company's growth prospects. At the time, UHS's stock was priced at $222.95, with UBS raising its price target from $280 to $302.

UHS's strong financial performance supports UBS's positive outlook. The company reported a remarkable 53% year-over-year increase in earnings per share (EPS) for the third quarter, reaching $5.69. This figure surpassed the Zacks Consensus Estimate by 22%, highlighting UHS's ability to exceed market expectations consistently.

The company's third-quarter revenues rose by 13.4% to $4.5 billion, driven by growth in both the Acute Care and Behavioral Health segments. This revenue figure exceeded the consensus mark by 4.2%. UHS's adjusted EBITDA also saw a substantial increase of 27.4%, reaching $670.6 million, supported by the rise in admissions and patient days.

Despite facing challenges from elevated operating costs, UHS's robust top-line growth and improved segmental revenues underscore its strong market position and operational efficiency. The company's ability to consistently outperform consensus EPS estimates over the past four quarters further solidifies its reputation as a reliable performer in the healthcare industry.

UHS's stock price reflects its strong financial performance, with a current price of $224.54, marking a 2.38% increase. The stock has fluctuated between $217.70 and $224.62 today, with a 52-week high of $226.72 and a low of $152.33. UHS's market capitalization stands at approximately $14.29 billion, with a trading volume of 76,863 shares.

• Barclays sets a new price target of $263 for NYSE:UHS, indicating a potential 22.88% increase.
• UHS reports a revenue of $4.5 billion for Q3 2025, a 13.4% year-over-year increase, surpassing estimates.
• The company's EPS for the same quarter was $5.69, exceeding consensus estimates and highlighting strong financial performance.

Universal Health Services (NYSE:UHS) is a prominent player in the healthcare sector, providing hospital and healthcare services across the United States. The company operates a network of acute care hospitals, behavioral health facilities, and ambulatory centers. UHS competes with other healthcare giants like HCA Healthcare and Tenet Healthcare, striving to deliver quality care and maintain financial growth.

On October 28, 2025, Barclays set a new price target of $263 for UHS, a significant increase from its current stock price of $214.03. This target suggests a potential 22.88% rise, reflecting confidence in UHS's future performance. The stock's recent price movement, with a 1.59% increase to $214.03, indicates positive investor sentiment.

UHS's strong financial results for the quarter ending September 2025 support Barclays' optimistic outlook. The company reported a revenue of $4.5 billion, a 13.4% increase from the previous year, surpassing the Zacks Consensus Estimate of $4.31 billion. This resulted in a positive surprise of 4.23%, showcasing UHS's ability to exceed market expectations.

The company's earnings per share (EPS) also impressed, reaching $5.69 compared to $3.71 in the same quarter last year. This EPS exceeded the consensus estimate of $4.66, delivering a substantial surprise of 22.1%. Such strong financial performance highlights UHS's capability to drive growth and profitability, reinforcing the positive outlook on its stock price.

UHS's market capitalization stands at approximately $13.62 billion, reflecting its significant presence in the healthcare industry. The stock's trading volume today is 921,195 shares, indicating active investor interest. With a 52-week high of $214.28 and a low of $152.33, UHS's stock performance demonstrates resilience and potential for further growth.

Universal Health Services, Inc. (NYSE:UHS) is a major player in the U.S. healthcare sector, operating a wide range of hospitals and healthcare facilities. The company is set to release its quarterly earnings on July 28, 2025. Analysts expect earnings per share (EPS) to be $4.85, a 12.5% increase from the previous year, with projected revenue of $4.24 billion.

The anticipated revenue growth of 8.2% year-over-year is largely attributed to the strong performance of UHS's Acute Care and Behavioral Health segments. These segments have seen increased admissions and demand, driving the company's financial performance. However, rising labor and supply costs could impact profit margins, potentially affecting UHS's ability to exceed earnings expectations.

Despite the positive outlook, there has been a slight downward revision of 0.5% in the consensus EPS estimate over the past 30 days. Such revisions are important as they often signal potential investor actions and can influence the short-term price performance of a stock. Investors will be keenly watching the earnings release for any surprises.

UHS's financial metrics provide insight into its market valuation. The company has a price-to-earnings (P/E) ratio of 8.44, indicating how the market values its earnings. Its price-to-sales ratio is 0.62, suggesting a relatively low market valuation compared to its revenue. The enterprise value to sales ratio is 0.93, reflecting its total valuation in relation to sales.

The company's financial health is further highlighted by its debt-to-equity ratio of 0.74, indicating a moderate level of debt compared to equity. Additionally, UHS has a current ratio of 1.32, suggesting it has sufficient liquidity to cover short-term liabilities. These metrics will be crucial for investors assessing UHS's financial stability and growth potential.