Universal Health Realty Income Trust (UHT) stock analysis

P/E below its 5-year median

Universal Health Realty Income Trust's P/E of 26.9 is below its own 5-year median of 31.6.

P/E above the industry

Universal Health Realty Income Trust's P/E of 26.9 is above the Miscellaneous Investing median of 26.3.

EV/EBITDA below its 5-year median

Universal Health Realty Income Trust's EV/EBITDA of 8.4 is below its 5-year median of 9.3.

P/B above the industry

Universal Health Realty Income Trust's price-to-book of 3.89 is above the Miscellaneous Investing median of 1.20.

Trading below fair value

The share price of $39.03 is below our fair value estimate of $40.34.

Margin of safety under 20%

The price is 3.3% below fair value, less than the 20% cushion we look for.

Revenue growing under 10% a year

Revenue grew 3.1% a year over the last three fiscal years, short of the 10% we look for.

EPS growing under 10% a year

Diluted EPS grew -6.0% a year over the last three fiscal years.

Earnings growth accelerating

Net income grew 12.4% over the last twelve months, against a 5-year average of -2.0% a year.

Growing slower than the industry

Revenue grew -0.0% over the last twelve months; the Miscellaneous Investing median is 4.6%.

Company guidance

No outlook found in earnings releases from the last twelve months.

Gross margin trend

This company does not report gross profit.

Return on equity under 15%

Return on equity was 13.5% over the last twelve months and averaged 18.5% over five years; we look for 15% on both.

Return on capital over 10%

Return on invested capital was 19.8%, above the 10% that usually covers the cost of capital.

Return on equity above the industry

Universal Health Realty Income Trust's return on equity of 13.5% is above the Miscellaneous Investing median of 3.1%.

Earnings shrank over 5 years

Net income shrank 2.0% a year on average over the last five fiscal years.

Net margin below its 5-year average

Net margin was 20.3% over the last twelve months, against a 5-year average of 41.2%.

Net margin above the industry

Universal Health Realty Income Trust's net margin of 20.3% is above the Miscellaneous Investing median of 10.3%.

No debt

Universal Health Realty Income Trust has no borrowings on its latest balance sheet.

Debt not rising

With no debt today, leverage cannot have risen.

Debt covered by cash flow

There is no debt to cover.

Interest well covered

No meaningful interest expense to cover.

Short-term liquidity

The balance sheet is not split into current and non-current items.

Low bankruptcy risk

The Altman Z-score is 3.28; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Universal Health Realty Income Trust paid dividends worth 7.7% of the share price over the last twelve months.

Yield above Treasuries

The 7.7% yield is above the 4.4% on a 1-year Treasury.

Yield in the top quarter

The top quarter of US dividend payers yield 3.8% or more; Universal Health Realty Income Trust yields 7.7%.

Dividend not cut

The dividend per share has not fallen by more than 10% in any of the last 10 fiscal years.

Not covered by earnings

Dividends take 206% of net income, leaving little room.

Cash-flow cover

Needs dividends paid and free cash flow.