What is Universal Health Services, Inc. (UHS)'s PEG ratio?

Universal Health Services, Inc. (UHS) has a PEG ratio of 0.40 (Potentially Undervalued), based on a PE ratio of 6.5 and expected EPS growth of 16.2% (5-Year EPS CAGR).

Is UHS undervalued based on its PEG ratio?

A PEG below 1.0 is conventionally read as potentially undervalued, 1.0–2.0 as fairly valued, and above 2.0 as potentially overvalued relative to growth. At 0.40, Universal Health Services, Inc. (UHS) screens as "Potentially Undervalued". PEG is one signal, not investment advice — see the full DCF fair value at evidinvest.com/valuation/UHS.

Universal Health Services, Inc. (UHS) PEG Ratio

Potentially Undervalued

PE ratio relative to earnings growth — is the valuation justified?

0.40

PEG Ratio

0.40

Growth Rate Source

Good Data Quality5-Year EPS CAGR

Current Price

$158.33

TTM EPS

$24.38

P/E Ratio

6.49

Growth Rate

16.2%

5-Year EPS CAGR

Sector

Healthcare

Medical - Care Facilities

Calculated

8/18/2026

12:57:56 PM

Peer Comparison

Sample Size

6 peers

Industry Median PEG

1.07

25th Percentile

0.65

75th Percentile

1.96

UHS PEG (0.40) vs Industry Median (1.07): 63% discount

Symbol	Company	PEG	P/E	Growth	vs UHS
THC	Tenet Healthcare Corporation	0.62	10.2	16.4%	+55%
HCA	HCA Healthcare, Inc.	0.65	13.6	20.9%	+62%
ADUS	Addus HomeCare Corporation	0.94	18.5	19.6%	+135%
EHC	Encompass Health Corporation	1.21	17.3	14.4%	+200%
ENSG	The Ensign Group, Inc.	1.96	26.4	13.5%	+388%

How to Interpret PEG Ratio

PEG < 1.0 — Potentially Undervalued. The stock may be priced below its earnings growth rate, suggesting a potential buying opportunity.

PEG 1.0–2.0 — Fairly Valued. The stock price is roughly in line with its earnings growth. A PEG of 1.0 is often considered "fair value."

PEG > 2.0 — Potentially Overvalued. The stock may be priced above what its earnings growth justifies.

Limitations:PEG ratios are less reliable for financial firms (earnings driven by interest margins), companies with negative/zero earnings growth, and hypergrowth companies (>100% growth) where the ratio may appear misleadingly low. Always use PEG alongside other valuation metrics.

Universal Health Services, Inc. (UHS) PEG Ratio

Peer Comparison

How to Interpret PEG Ratio

More on UHS

Compare with peers

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Universal Health Services, Inc. (UHS) PEG Ratio

Peer Comparison

How to Interpret PEG Ratio

More on UHS

Compare with peers

Explore