Universal Health price target lowered to $190 from $216 at RBC Capital

RBC Capital lowered the firm’s price target on Universal Health (UHS) to $190 from $216 and keeps a Sector Perform rating on the shares. The company’s Q1 results came in slightly ahead of expectations, but RBC believes Tuesday’s 9.5% pullback in shares reflects investor concern over its ability to achieve core growth acceleration through the balance of the year to get to the midpoint of the reaffirmed earnings outlook, the analyst tells investors in a research note. The print also reinforces the recent rotation into managed care, which should persist through the first half of the year, the firm added.