HCA

HCA HealthcareNYSE:HCA Stock Report

Market Cap

US$81.9b

7D

0.5%

1Y

112.1%

Updated

22 Sep, 2021

Data

Company Financials +
HCA fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance5/6
Financial Health3/6
Dividends2/6

HCA Overview

HCA Healthcare, Inc., through its subsidiaries, operates as a health care services company in the United States.

HCA Healthcare Competitors

Price History & Performance

Summary of all time highs, changes and price drops for HCA Healthcare
Historical stock prices
Current Share PriceUS$255.84
52 Week HighUS$114.38
52 Week LowUS$263.92
Beta1.66
1 Month Change2.61%
3 Month Change24.10%
1 Year Change112.05%
3 Year Change90.19%
5 Year Change240.53%
Change since IPO724.76%

Recent News & Updates

Sep 18

HCA Healthcare: Why To Bet On It

HCA Healthcare benefits from increased patient admissions as vaccination rates rise and people gain confidence in hospital visits. Its total number of hospitals increased to 187, positioning it well for potential shifts in inpatient and outpatient care dynamics. Maintains a flat 83 percent gross margin and beat challenging YoY growth on its top- and bottom-line profit. Has an all-time record of 12.15 percent return on assets, demonstrating its efficiency in utilizing its total assets, which is 71% financed by debt.

Sep 08
I Ran A Stock Scan For Earnings Growth And HCA Healthcare (NYSE:HCA) Passed With Ease

I Ran A Stock Scan For Earnings Growth And HCA Healthcare (NYSE:HCA) Passed With Ease

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...

Sep 01

HCA Healthcare Is A Buy And Forget Stock Even After A Nice Run-Up

Our model value portfolio does not have enough exposure to the health care sector, so I was on the lookout for a good investment opportunity in this space. HCA Healthcare is a market leader, and its financial performance confirms its competitive advantages. There are multiple catalysts that could help HCA deliver strong returns in the coming years.

Shareholder Returns

HCAUS HealthcareUS Market
7D0.5%-0.04%-1.8%
1Y112.1%36.4%31.5%

Return vs Industry: HCA exceeded the US Healthcare industry which returned 34.3% over the past year.

Return vs Market: HCA exceeded the US Market which returned 33% over the past year.

Price Volatility

Is HCA's price volatile compared to industry and market?
HCA volatility
HCA Beta1.66
Industry Beta0.87
Market Beta1

Stable Share Price: HCA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: HCA's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1968235,000Sam Hazenhttps://www.hcahealthcare.com

HCA Healthcare, Inc., through its subsidiaries, operates as a health care services company in the United States. The company operates general, acute care hospitals that offer medical and surgical services, including inpatient care, intensive care, cardiac care, diagnostic, and emergency services; and outpatient services, such as outpatient surgery, laboratory, radiology, respiratory therapy, cardiology, and physical therapy. It also operates psychiatric hospitals, which provide therapeutic programs comprising child, adolescent and adult psychiatric care, and adolescent and adult alcohol and drug abuse treatment and counseling.

HCA Healthcare Fundamentals Summary

How do HCA Healthcare's earnings and revenue compare to its market cap?
HCA fundamental statistics
Market CapUS$81.91b
Earnings (TTM)US$4.97b
Revenue (TTM)US$56.02b

16.5x

P/E Ratio

1.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
HCA income statement (TTM)
RevenueUS$56.02b
Cost of RevenueUS$34.27b
Gross ProfitUS$21.74b
ExpensesUS$16.78b
EarningsUS$4.97b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)14.79
Gross Margin38.81%
Net Profit Margin8.87%
Debt/Equity Ratio1,821.2%

How did HCA perform over the long term?

See historical performance and comparison

Dividends

0.7%

Current Dividend Yield

6%

Payout Ratio

Valuation

Is HCA Healthcare undervalued compared to its fair value and its price relative to the market?

42.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HCA ($255.84) is trading below our estimate of fair value ($443.72)

Significantly Below Fair Value: HCA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: HCA is good value based on its PE Ratio (16.5x) compared to the US Healthcare industry average (22.1x).

PE vs Market: HCA is good value based on its PE Ratio (16.5x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

PEG Ratio: HCA is poor value based on its PEG Ratio (3.7x)


Price to Book Ratio

PB vs Industry: HCA has negative assets, so we can't compare its PB Ratio to the US Healthcare industry average.


Future Growth

How is HCA Healthcare forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?

4.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HCA's forecast earnings growth (4.4% per year) is above the savings rate (2%).

Earnings vs Market: HCA's earnings (4.4% per year) are forecast to grow slower than the US market (14.9% per year).

High Growth Earnings: HCA's earnings are forecast to grow, but not significantly.

Revenue vs Market: HCA's revenue (5.6% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: HCA's revenue (5.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HCA's Return on Equity is forecast to be very high in 3 years time (894.4%).


Past Performance

How has HCA Healthcare performed over the past 5 years?

11.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HCA has high quality earnings.

Growing Profit Margin: HCA's current net profit margins (8.9%) are higher than last year (6.7%).


Past Earnings Growth Analysis

Earnings Trend: HCA's earnings have grown by 11.1% per year over the past 5 years.

Accelerating Growth: HCA's earnings growth over the past year (48.6%) exceeds its 5-year average (11.1% per year).

Earnings vs Industry: HCA earnings growth over the past year (48.6%) exceeded the Healthcare industry 32.2%.


Return on Equity

High ROE: Whilst HCA's Return on Equity (319.39%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is HCA Healthcare's financial position?


Financial Position Analysis

Short Term Liabilities: HCA's short term assets ($12.5B) exceed its short term liabilities ($8.6B).

Long Term Liabilities: HCA's short term assets ($12.5B) do not cover its long term liabilities ($37.8B).


Debt to Equity History and Analysis

Debt Level: HCA's debt to equity ratio (1821.2%) is considered high.

Reducing Debt: HCA had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: HCA's debt is not well covered by operating cash flow (10.3%).

Interest Coverage: HCA's interest payments on its debt are well covered by EBIT (6.1x coverage).


Balance Sheet


Dividend

What is HCA Healthcare current dividend yield, its reliability and sustainability?

0.75%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: HCA's dividend (0.75%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.35%).

High Dividend: HCA's dividend (0.75%) is low compared to the top 25% of dividend payers in the US market (3.65%).


Stability and Growth of Payments

Stable Dividend: HCA has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: HCA's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (6.5%), HCA's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HCA's dividends in 3 years are forecast to be thoroughly covered by earnings (11.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

8.2yrs

Average management tenure


CEO

Sam Hazen (61 yo)

2.67yrs

Tenure

US$30,397,771

Compensation

Mr. Samuel N. Hazen, also known as Sam, serves as Chief Executive Officer of HCA Healthcare Inc. since January 01, 2019 and had been its Director since September 10, 2018 until 2021. Mr. Hazen served as th...


CEO Compensation Analysis

Compensation vs Market: Sam's total compensation ($USD30.40M) is above average for companies of similar size in the US market ($USD11.33M).

Compensation vs Earnings: Sam's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: HCA's management team is seasoned and experienced (8.2 years average tenure).


Board Members

Experienced Board: HCA's board of directors are considered experienced (6.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: HCA insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

HCA Healthcare, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: HCA Healthcare, Inc.
  • Ticker: HCA
  • Exchange: NYSE
  • Founded: 1968
  • Industry: Health Care Facilities
  • Sector: Healthcare
  • Market Cap: US$81.905b
  • Shares outstanding: 320.14m
  • Website: https://www.hcahealthcare.com

Number of Employees


Location

  • HCA Healthcare, Inc.
  • One Park Plaza
  • Nashville
  • Tennessee
  • 37203
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/22 00:11
End of Day Share Price2021/09/21 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.