Universal Health Services (NYSE:UHS) Lowered to Hold Rating by Wall Street Zen
by Renee Jackson · The Cerbat GemWall Street Zen lowered shares of Universal Health Services (NYSE:UHS – Free Report) from a buy rating to a hold rating in a report issued on Saturday.
Other analysts have also recently issued reports about the company. TD Cowen dropped their price target on Universal Health Services from $245.00 to $230.00 and set a “buy” rating for the company in a research report on Wednesday. Morgan Stanley dropped their target price on Universal Health Services from $233.00 to $212.00 and set an “equal weight” rating for the company in a report on Wednesday. Robert W. Baird dropped their target price on Universal Health Services from $241.00 to $204.00 and set a “neutral” rating for the company in a report on Wednesday. Guggenheim dropped their target price on Universal Health Services from $238.00 to $211.00 and set a “buy” rating for the company in a report on Wednesday. Finally, Raymond James Financial cut Universal Health Services from an “outperform” rating to a “market perform” rating in a report on Wednesday. Six investment analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $220.94.
Read Our Latest Analysis on Universal Health Services
Universal Health Services Stock Down 0.7%
Shares of UHS opened at $167.16 on Friday. The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.98 and a current ratio of 1.08. Universal Health Services has a one year low of $152.33 and a one year high of $246.32. The stock has a market capitalization of $10.21 billion, a price-to-earnings ratio of 6.97, a PEG ratio of 0.72 and a beta of 1.13. The stock has a 50 day moving average price of $188.99 and a 200 day moving average price of $209.01.
Universal Health Services (NYSE:UHS – Get Free Report) last issued its quarterly earnings results on Monday, April 27th. The health services provider reported $5.62 EPS for the quarter, topping the consensus estimate of $5.41 by $0.21. Universal Health Services had a return on equity of 19.57% and a net margin of 8.56%.The firm had revenue of $4.50 billion during the quarter, compared to analysts’ expectations of $4.39 billion. During the same period in the previous year, the business earned $4.84 earnings per share. The firm’s revenue for the quarter was up 9.6% on a year-over-year basis. Universal Health Services has set its FY 2026 guidance at 22.640-24.520 EPS. Equities research analysts forecast that Universal Health Services will post 23.34 earnings per share for the current fiscal year.
Universal Health Services Dividend Announcement
The business also recently announced a quarterly dividend, which was paid on Monday, March 16th. Shareholders of record on Monday, March 2nd were issued a $0.20 dividend. This represents a $0.80 annualized dividend and a yield of 0.5%. The ex-dividend date was Monday, March 2nd. Universal Health Services’s dividend payout ratio is presently 3.33%.
Hedge Funds Weigh In On Universal Health Services
A number of hedge funds have recently modified their holdings of UHS. Pzena Investment Management LLC grew its holdings in shares of Universal Health Services by 310.2% during the 3rd quarter. Pzena Investment Management LLC now owns 1,607,029 shares of the health services provider’s stock worth $328,541,000 after purchasing an additional 1,215,286 shares during the period. Norges Bank purchased a new position in shares of Universal Health Services during the 4th quarter worth $199,334,000. Nomura Holdings Inc. grew its holdings in shares of Universal Health Services by 100.6% during the 2nd quarter. Nomura Holdings Inc. now owns 2,560 shares of the health services provider’s stock worth $464,000 after purchasing an additional 426,211 shares during the period. Morgan Stanley grew its holdings in shares of Universal Health Services by 59.5% during the 4th quarter. Morgan Stanley now owns 871,377 shares of the health services provider’s stock worth $189,978,000 after purchasing an additional 325,162 shares during the period. Finally, Holocene Advisors LP grew its holdings in shares of Universal Health Services by 262.4% during the 3rd quarter. Holocene Advisors LP now owns 358,885 shares of the health services provider’s stock worth $73,370,000 after purchasing an additional 259,861 shares during the period. 86.05% of the stock is currently owned by hedge funds and other institutional investors.
Key Headlines Impacting Universal Health Services
Here are the key news stories impacting Universal Health Services this week:
- Positive Sentiment: UHS reiterated its full‑year 2026 volume targets despite softer seasonal volumes in Q1, signaling management confidence in recovery and that the Q1 hit may be temporary. Investors may view this as a stabilizing sign for guidance. UHS reaffirms 2026 volume targets
- Positive Sentiment: UHS deployed eight AI solutions in its revenue cycle in 2025 and is evaluating clinical operation use — potential margin upside and efficiency gains if rollouts scale. This supports longer‑term operating leverage. UHS deployed 8 AI solutions
- Neutral Sentiment: UHS is scheduled to present at the BofA Securities Health Care Conference (May 12). Management comments there could move shares if they provide clearer color on volumes, margins or M&A. UHS to present at BofA conference
- Neutral Sentiment: Analysts’ views are mixed on UHS relative to peers — differing takes may sustain volatility as investors parse which franchises (behavioral, acute, outpatient) will drive recovery. Analysts’ opinions mixed
- Negative Sentiment: Despite beating Q1 estimates, UHS shares fell after the quarter as investors focused on volume softness and the tone from the call rather than the beat — short‑term sentiment hurt. Why UHS is down after Q1
- Negative Sentiment: Coverage updates trimmed price targets: Stephens and Morgan Stanley lowered targets and kept “equal weight,” while several firms lowered targets (Mizuho, TD Cowen) even if ratings were maintained. Those revisions pressure sentiment and cap near‑term upside. Stephens price target cut Morgan Stanley price target cut
- Negative Sentiment: Q1 commentary/coverage noting that earnings growth was dampened by volume hits underscores the risk that patient volumes — not just pricing or cost control — will determine near‑term results. Q1 growth dampened by volume hits
Universal Health Services Company Profile
Universal Health Services, Inc (NYSE: UHS) is one of the largest diversified health care management companies in the United States, offering a broad spectrum of services through its acute care hospital and behavioral health segments. The company operates general acute care hospitals, surgical hospitals and ambulatory centers, as well as inpatient and outpatient behavioral health facilities. Its network provides emergency and specialized medicine, diagnostic imaging, laboratory services, advanced surgical care and rehabilitation, complemented by a comprehensive array of behavioral services including psychiatric treatment, addiction programs and developmental disabilities care.
In the acute care segment, UHS’s facilities deliver services ranging from emergency department treatment and intensive care to maternity care and outpatient surgery.