Summary
- Universal Health Services (UHS) shows strong technical indicators with 88% buy signals, 79.75% gain in the last year, and a Trend Seeker buy signal.
- UHS operates acute care hospitals and behavioral health facilities, with a market cap of $15.34 billion and a P/E ratio of 16.74.
- Analysts offer mixed ratings: 8 strong buys, 2 buys, and 8 holds; price targets range from $189 to $274, with a consensus of $217.
- Revenue and earnings are projected to grow significantly, with earnings expected to increase 51.40% this year and compound annually at 24.54% over five years.
The Chart of the Day belongs to the healthcare facilities company Universal Health Services (UHS) . I found the stock by using Barchart's powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart feature to review the charts for consistent price appreciation. Since the Trend Seeker signaled a buy on 7/26 the stock gained 7.23%.
Universal Health Services, Inc., through its subsidiaries, owns and operates acute care hospitals, and outpatient and behavioral health care facilities. It operates through Acute Care Hospital Services and Behavioral Health Care Services segments. The company's hospitals offer general and specialty surgery, internal medicine, obstetrics, emergency room care, radiology, oncology, diagnostic and coronary care, pediatric services, pharmacy services, and/or behavioral health services. It also provides commercial health insurance services; and various management services, which include central purchasing, information, finance and control systems, facilities planning, physician recruitment, administrative personnel management, marketing, and public relations services. Universal Health Services, Inc. founded in 1978 and is headquartered in King of Prussia, Pennsylvania.
Barchart's Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report.
Barchart Technical Indicators:
- 88% technical buy signals
- 80.01+ Weighted Alpha
- .43 - 60 month Beta
- 79.75% gain in the last year
- Trend Seeker buy signal
- Above its 20, 50 and 100 day moving averages
- 18 new highs and up 8.03% in the last month
- Relative Strength Index 56.41%
- Technical support level at $223.18
- Recently traded at $229.13 with 50 day moving average of $208.15
Fundamental Factors:
- Market Cap $15.34 billion
- P/E 16.74
- Dividend yield .35%
- Revenue expected to grow 9.80% this year and another 5.80% next year
- Earnings are estimated to increase 51.40% this year, an additional 11.80% next year and continue to compound at an annual rate of 24.54% for the next 5 years
Analysts and Investor Sentiment -- I don't buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it's hard to make money swimming against the tide:
- Wall Street analyst gave 8 strong buy, 2 buy and 8 hold opinions on the stock
- Analysts' price targets are between $189 and $274 with a consensus of $217
- Value Line give the stock its highest rating of 1 and has price targets between $149 and $285 and comments:" With earnings soaring, a dividend hike may be in the cards near term. "
- CFRAs MarketScope rates the stock a hold with a price target of $252 and comments: "We see stable demand for UHS’s services, driven by a rising senior population in the U.S. and the company's behavioral health division, which offers a diversified revenue stream. "
- MorningStar rates the stock an average 3 star rating with Fair Value at $230.79
- 8,150 investors monitor the stock on Seeking Alpha
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
