HCA Healthcare, Inc.

(New York Stock Exchange)
Back to all articles
Bullish +55

HCA Healthcare, Inc. $HCA Shares Sold by Arax Advisory Partners - MarketBeat

AI-generated analysis

πŸ“‰ Arax Advisory Partners cut its HCA Healthcare stake by 40.8% in Q4, selling 3,880 shares to reduce its position to 5,638 shares valued at $2.63 million.

πŸ“ˆ Major institutional investors including State Street Corp, Capital World Investors, and Geode Capital Management increased their holdings during the fourth quarter.

πŸ’° HCA reported quarterly revenue of $19.11 billion, slightly beating analyst estimates of $19.09 billion despite missing EPS expectations.

πŸ“Š The company posted $7.15 in earnings per share compared to a consensus estimate of $7.19 for the quarter ending April 24th.

🎯 Analysts maintain an average price target of $506.14, which is substantially higher than the stock's recent trading price around $387.

πŸ“… HCA Healthcare has set fiscal year 2026 earnings guidance between $29.10 and $31.50 per share.

πŸ’΅ The company declared a quarterly dividend of $0.78 per share with an ex-dividend date of June 16th.

πŸ₯ HCA operates a large network of acute care hospitals, surgical centers, and outpatient clinics headquartered in Nashville, Tennessee.

Bullish Signals
  • HCA Healthcare topped revenue estimates with $19.11 billion in quarterly revenue, demonstrating strong top-line growth despite missing EPS targets.
  • The stock trades at a P/E ratio of 13.32 and a P/E/G ratio of 1.23, suggesting the market values its earnings growth potential favorably.
  • Major institutional investors like State Street Corp and Capital World Investors increased their stakes, indicating continued confidence in the company's long-term prospects.
  • Analysts maintain an average price target of $506.14, implying significant upside potential from current levels near $387.
  • The company has set robust fiscal year 2026 guidance ranging from $29.10 to $31.50 EPS, exceeding the average analyst expectation of $30.07.
  • HCA announced a quarterly dividend payment, providing income support to shareholders with an annualized yield of 0.8%.
Risk Factors
  • The company missed earnings per share expectations by $0.04, reporting $7.15 against a consensus of $7.19.
  • HCA reported a negative return on equity of -295.93%, indicating potential leverage or capital structure concerns affecting shareholder returns.
  • Several major banks including JPMorgan Chase and Wells Fargo recently decreased their price targets, signaling some caution among analysts.
  • Arax Advisory Partners significantly reduced its position by 40.8%, which may reflect a lack of confidence from this specific institutional investor.
Full Analysis
HCA Healthcare, Inc. (NYSE: HCA) reported quarterly earnings that slightly missed profit expectations but topped revenue estimates. The company posted $7.15 in earnings per share against a consensus of $7.19, while revenue reached $19.11 billion versus an expectation of $19.09 billion. This represents a 4.3% year-over-year increase in quarterly revenue, though the firm recorded a negative return on equity of -295.93% and a net margin of 8.89%. Institutional ownership saw mixed activity during the fourth quarter. Arax Advisory Partners significantly reduced its stake by 40.8%, selling 3,880 shares worth approximately $2.63 million. Conversely, major institutions including State Street Corp, Capital World Investors, Geode Capital Management LLC, Norges Bank, and Arrowstreet Capital Limited Partnership increased their holdings. Overall, institutional investors and hedge funds now control 62.73% of the company's outstanding stock. Wall Street analysts maintain a generally positive outlook despite recent price target adjustments from major banks like JPMorgan Chase and Wells Fargo. The consensus rating remains a 'Moderate Buy' with an average price target of $506.14, significantly higher than the current trading price near $387. The company has set fiscal year 2026 guidance between $29.10 and $31.50 per share, while analysts anticipate earnings of approximately $30.07 for the current year. HCA Healthcare also announced a quarterly dividend to be paid on June 30th to shareholders of record on June 16th. The dividend amount is $0.78 per share, representing an annualized yield of 0.8% and a payout ratio of 10.73%. Founded in 1968 and headquartered in Nashville, Tennessee, the for-profit operator manages a vast network of acute care hospitals, surgical centers, and outpatient clinics across the United States.