Universal Health Services (NYSE:UHS) vs. Labcorp (NYSE:LH) Financial Survey

Labcorp (NYSE:LH) and Universal Health Services (NYSE:UHS) are both healthcare companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, risk, profitability, institutional ownership, analyst recommendations, earnings and valuation.

Valuation and Earnings

This table compares Labcorp and Universal Health Services”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Labcorp	N/A	N/A	N/A	$12.09	27.41
Universal Health Services	N/A	N/A	N/A	$24.55	7.22

Universal Health Services is trading at a lower price-to-earnings ratio than Labcorp, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

95.9% of Labcorp shares are held by institutional investors. Comparatively, 86.0% of Universal Health Services shares are held by institutional investors. 0.8% of Labcorp shares are held by insiders. Comparatively, 17.1% of Universal Health Services shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Labcorp	N/A	N/A	N/A
Universal Health Services	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Labcorp and Universal Health Services, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Labcorp	0	3	7	1	2.82
Universal Health Services	0	12	6	0	2.33

Labcorp presently has a consensus price target of $337.73, suggesting a potential upside of 1.93%. Universal Health Services has a consensus price target of $204.94, suggesting a potential upside of 15.57%. Given Universal Health Services’ higher probable upside, analysts clearly believe Universal Health Services is more favorable than Labcorp.

Summary

Labcorp beats Universal Health Services on 4 of the 7 factors compared between the two stocks.

About Labcorp

Labcorp Holdings, Inc. engages in providing medical testing services. The company was founded on April 16, 2024 and is headquartered in Burlington, NC.

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.