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It's Showtime for Universal Health Services

By Seth Jayson - Updated Apr 10, 2017 at 1:44PM

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Checking expectations

Universal Health Services (NYSE: UHS) is expected to report Q1 earnings on April 25. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Universal Health Services's revenues will grow 1.8% and EPS will grow 5.3%.

The average estimate for revenue is $2.01 billion. On the bottom line, the average EPS estimate is $1.19.

Revenue details
Last quarter, Universal Health Services tallied revenue of $1.76 billion. GAAP reported sales were 6.1% higher than the prior-year quarter's $1.66 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $1.00. GAAP EPS of $1.38 for Q4 were 41% higher than the prior-year quarter's $0.98 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 38.8%, 110 basis points better than the prior-year quarter. Operating margin was 15.9%, 330 basis points better than the prior-year quarter. Net margin was 7.7%, 200 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $7.86 billion. The average EPS estimate is $4.47.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 118 members out of 127 rating the stock outperform, and nine members rating it underperform. Among 43 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 41 give Universal Health Services a green thumbs-up, and two give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Universal Health Services is outperform, with an average price target of $51.28.

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Stocks Mentioned

Universal Health Services, Inc. Stock Quote
Universal Health Services, Inc.
UHS
$120.93 (1.72%) $2.04

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