UHS Beats Q3 Estimates But Stock Falls 6% on HCA's Sector-Wide 2027 Warning

Universal Health Services reported third-quarter 2026 results that topped Wall Street expectations, but its shares fell roughly 5.8% as a warning from sector peer HCA Healthcare overshadowed the beat. UHS posted revenue of $4.733 billion for the quarter, up 5.3% from $4.495 billion in Q3 2025 and ahead of estimates by about $20 million. Adjusted EPS came in at $5.69, while GAAP EPS of $5.22 beat consensus by $0.07. Net income reached $308.70 million, adjusted EBITDA was $624.60 million, and year-to-date cash flow from operations rose 14.9% to $1.481 billion compared with $1.290 billion in the first nine months of 2025.

The selling pressure on UHS stemmed largely from HCA Healthcare, which signaled that its 2027 earnings would be "generally consistent" with 2026, effectively pointing to flat growth. HCA cited lower Medicaid payments and a rise in uninsured patients as the key headwinds, sending its own shares down more than 5%. The guidance spooked investors across the hospital sector, pulling Tenet Healthcare and UHS lower alongside HCA even as UHS's own quarterly numbers came in above forecasts.

UHS shares crossed below their 200-day moving average of $177.54 during Tuesday's session, touching an intraday low of $173.83. The company hosted its Q3 2026 earnings conference call at 9:30 AM ET on October 27.