Ardent Health Partners (NYSE:ARDT) vs. Universal Health Services (NYSE:UHS) Critical Analysis

Universal Health Services (NYSE:UHS) and Ardent Health Partners (NYSE:ARDT) are both medical companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, risk, profitability, institutional ownership, dividends, earnings and analyst recommendations.

Valuation & Earnings

This table compares Universal Health Services and Ardent Health Partners”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Universal Health Services	$14.28 billion	0.99	$717.79 million	$15.04	14.10
Ardent Health Partners	$5.63 billion	0.46	$53.90 million	N/A	N/A

Universal Health Services has higher revenue and earnings than Ardent Health Partners.

Analyst Recommendations

This is a summary of current ratings for Universal Health Services and Ardent Health Partners, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Universal Health Services	0	5	9	1	2.73
Ardent Health Partners	0	1	9	2	3.08

Universal Health Services currently has a consensus target price of $231.00, indicating a potential upside of 8.94%. Ardent Health Partners has a consensus target price of $21.91, indicating a potential upside of 21.25%. Given Ardent Health Partners’ stronger consensus rating and higher probable upside, analysts clearly believe Ardent Health Partners is more favorable than Universal Health Services.

Insider and Institutional Ownership

86.1% of Universal Health Services shares are held by institutional investors. 16.1% of Universal Health Services shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Universal Health Services and Ardent Health Partners’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Universal Health Services	6.66%	15.75%	7.18%
Ardent Health Partners	N/A	N/A	N/A

Summary

Universal Health Services beats Ardent Health Partners on 8 of the 11 factors compared between the two stocks.

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. 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.

About Ardent Health Partners

Ardent Health Partners, Inc. owns and operates a network of hospitals and clinics that provides a range of healthcare services in the United States. It operates acute care hospitals, including rehabilitation hospitals and surgical hospitals. The company was founded in 2001 and is based in Brentwood, Tennessee. Ardent Health Partners, Inc. is a subsidiary of EGI-AM Investments, L.L.C.