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.
