Universal Health Services, Inc. (UHS) Q2 Revenue Climbs Nearly 10% on Medicaid Boosts

In this article, we will be taking a look at the 12 Cheap Healthcare Stocks to Buy NowUniversal Health Services, Inc. is one of them.

Universal Health Services, Inc. (NYSE:UHS) is a leading healthcare provider operating acute care hospitals, behavioral health centers, outpatient facilities, and ambulatory care locations across the U.S., Puerto Rico, and the U.K. The company continues to expand its operational scale while emphasizing patient-centered care and technological innovation.

In Q2 2025, UHS reported strong financial performance, with net revenues rising 9.6% to $4.284 billion and net income of $353.2 million ($5.43 per diluted share). This growth was supported by approximately $101 million in incremental Medicaid reimbursements, including $58 million from Tennessee’s new directed payment program, reflecting a broader trend of enhanced Medicaid support boosting the company’s revenue streams.

Universal Health Services, Inc. (NYSE:UHS) also advanced its infrastructure with the opening of a 142-bed acute care hospital in Washington, D.C., in April 2025. While the new facility generated a pre-tax loss of about $25 million due to initial startup costs, it aligns with the corporation’s strategy to improve access to behavioral and acute care services, particularly in underserved urban areas.

Technology adoption remains a key focus, highlighted by the launch of Hippocratic AI’s generative AI healthcare agents to enhance post-discharge patient engagement, reduce readmissions, and improve care continuity. This demonstrates the business’s forward-looking approach to integrating AI for better patient outcomes and operational efficiency.

Universal Health Services, Inc. (UHS) Q2 Revenue Climbs Nearly 10% on Medicaid Boosts

Universal Health Services, Inc. (NYSE:UHS) continues to prioritize quality and safety, with multiple hospitals earning top Leapfrog safety scores and several subsidiaries recognized by Newsweek’s Best Addiction Treatment Centers for 2025. These initiatives underscore the company’s commitment to expanding specialized care services and maintaining high standards in healthcare delivery.

While we acknowledge the risk and potential of UHS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than UHS and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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