Universal Health Services, Inc. (NYSE:UHS) Plans $0.20 Quarterly Dividend

Universal Health Services, Inc. (NYSE:UHS) announced a quarterly dividend on Thursday, July 18th, RTT News reports. Investors of record on Tuesday, September 3rd will be given a dividend of 0.20 per share by the health services provider on Tuesday, September 17th. This represents a $0.80 annualized dividend and a yield of 0.34%. The ex-dividend date is Tuesday, September 3rd.

Universal Health Services has increased its dividend payment by an average of 58.7% annually over the last three years. Universal Health Services has a dividend payout ratio of 4.6% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Universal Health Services to earn $17.58 per share next year, which means the company should continue to be able to cover its $0.80 annual dividend with an expected future payout ratio of 4.6%.

Universal Health Services Price Performance

Shares of Universal Health Services stock opened at $237.97 on Monday. The firm has a market cap of $15.87 billion, a PE ratio of 20.17, a P/E/G ratio of 0.79 and a beta of 1.28. The business has a 50-day moving average price of $204.65 and a 200 day moving average price of $185.36. The company has a quick ratio of 1.17, a current ratio of 1.28 and a debt-to-equity ratio of 0.67. Universal Health Services has a twelve month low of $119.90 and a twelve month high of $238.26.

Universal Health Services (NYSE:UHS) last announced its earnings results on Wednesday, July 24th. The health services provider reported $4.31 earnings per share for the quarter, topping the consensus estimate of $3.37 by $0.94. Universal Health Services had a return on equity of 14.91% and a net margin of 6.22%. The business had revenue of $3.91 billion during the quarter, compared to the consensus estimate of $3.87 billion. During the same period in the prior year, the company posted $2.53 EPS. The business’s quarterly revenue was up 10.1% on a year-over-year basis. Sell-side analysts predict that Universal Health Services will post 15.89 earnings per share for the current fiscal year.

Analysts Set New Price Targets

UHS has been the subject of a number of research analyst reports. Royal Bank of Canada raised their target price on Universal Health Services from $183.00 to $189.00 and gave the company a “sector perform” rating in a research report on Tuesday, May 7th. Cantor Fitzgerald reaffirmed a “neutral” rating and set a $219.00 price objective on shares of Universal Health Services in a research note on Monday, August 19th. The Goldman Sachs Group raised their target price on shares of Universal Health Services from $200.00 to $229.00 and gave the stock a “buy” rating in a research note on Tuesday, July 30th. JPMorgan Chase & Co. boosted their target price on Universal Health Services from $182.00 to $186.00 and gave the stock a “neutral” rating in a report on Thursday, May 30th. Finally, UBS Group increased their price target on Universal Health Services from $247.00 to $267.00 and gave the company a “buy” rating in a report on Wednesday, August 14th. Five research analysts have rated the stock with a hold rating, eight have given a buy rating and two have assigned a strong buy rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $219.46.

Insider Activity at Universal Health Services

In other Universal Health Services news, Director Nina Chen-Langenmayr sold 850 shares of Universal Health Services stock in a transaction dated Wednesday, August 7th. The shares were sold at an average price of $212.11, for a total transaction of $180,293.50. Following the completion of the sale, the director now directly owns 1,985 shares in the company, valued at $421,038.35. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. In other news, Director Eileen C. Mcdonnell sold 2,535 shares of Universal Health Services stock in a transaction dated Friday, July 26th. The stock was sold at an average price of $209.55, for a total value of $531,209.25. Following the completion of the transaction, the director now owns 6,413 shares in the company, valued at approximately $1,343,844.15. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Nina Chen-Langenmayr sold 850 shares of the firm’s stock in a transaction on Wednesday, August 7th. The shares were sold at an average price of $212.11, for a total transaction of $180,293.50. Following the completion of the sale, the director now owns 1,985 shares in the company, valued at $421,038.35. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 21,970 shares of company stock worth $4,653,535. Company insiders own 16.10% of the company’s stock.

Universal Health Services declared that its board has initiated a stock buyback plan on Wednesday, July 24th that authorizes the company to buyback $1.00 billion in outstanding shares. This buyback authorization authorizes the health services provider to purchase up to 8% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s leadership believes its stock is undervalued.

About Universal Health Services

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.