US Physical Therapy (USPH) AI Stock Analysis

• Market Cap: $1.20B
• Dividend Yield: 2.29%
• Average Volume (3M): 189.88K
• Price to Earnings (P/E): 33.1
• Beta (1Y): 1.13
• Revenue Growth: 17.50%
• EPS Growth: 154.28%
• Country: US
• Employees: 4,034
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Care Facilities
• EPS (TTM): 0.66
• Shares Outstanding: 15,204,119
• 10 Day Avg. Volume: 178,527
• 30 Day Avg. Volume: 189,878
• PEG Ratio: 1.15
• Price to Book (P/B): 2.73
• Price to Sales (P/S): 1.99
• P/FCF Ratio: 20.32
• Enterprise Value/Market Cap: 1.54
• Enterprise Value/Revenue: 2.79
• Enterprise Value/Gross Profit: 12.90
• Enterprise Value/Ebitda: 16.24
• 1Y Price Target: $101.50
• Price Target Upside: 13.26% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: $80.00 ▼(-10.73% Downside)

US Physical Therapy's overall stock score is driven by a strong earnings call performance, highlighting significant growth and strategic initiatives. However, financial performance and technical analysis reveal areas needing improvement, such as revenue trends and bearish technical signals. The valuation suggests potential overvaluation, but the dividend yield offers some investor appeal.

Positive Factors

Revenue Growth

The 18% revenue growth indicates strong demand for services and successful expansion efforts, supporting long-term business sustainability.

Clinic Expansion

Expanding clinic network enhances market reach and patient access, driving revenue and reinforcing competitive positioning.

Strategic Initiatives

Innovative operational improvements can increase efficiency and patient satisfaction, strengthening long-term competitive advantage.

Negative Factors

Revenue Decline

A decline in revenue growth may indicate challenges in maintaining market share or pricing power, potentially affecting future profitability.

Cash Flow Challenges

Negative cash flow growth can limit the company's ability to invest in growth opportunities and manage financial obligations effectively.

Medicare Rate Reduction

Reductions in Medicare rates can pressure margins and revenue, challenging the company's ability to maintain profitability.

US Physical Therapy Business Overview & Revenue Model

Company Description

US Physical Therapy, Inc. (USPH) is a leading provider of outpatient physical therapy services in the United States. The company operates a network of clinics that offer a wide range of rehabilitation and therapy services, including orthopedic therapy, sports rehabilitation, and specialized treatment programs. USPH partners with various healthcare providers and payers to deliver high-quality care aimed at improving patient outcomes and enhancing mobility.

How the Company Makes Money

US Physical Therapy primarily generates revenue through the provision of outpatient physical therapy services, billing both private payers and government programs like Medicare and Medicaid. The company charges for individual therapy sessions and treatment plans, which can include a series of visits tailored to the needs of each patient. Additionally, USPH benefits from strategic partnerships with hospitals, physician groups, and other healthcare entities, which help to drive patient referrals to their clinics. The company also engages in acquisitions of local physical therapy practices, expanding its footprint and increasing its revenue potential through economies of scale and enhanced service offerings.

US Physical Therapy Financial Statement Overview

Summary

US Physical Therapy demonstrates stable financial performance with consistent profitability and a solid balance sheet. However, recent revenue declines and negative cash flow growth highlight areas for improvement. The company should focus on reversing the revenue trend and enhancing cash flow generation to strengthen its financial position further.

Income Statement

US Physical Therapy's income statement shows a mixed performance. The TTM data reveals a decline in revenue growth, with a negative growth rate of -0.60%. However, the company maintains a stable gross profit margin of 20.37% and a net profit margin of 4.76%. EBIT and EBITDA margins are also healthy at 11.94% and 15.24%, respectively. Despite the recent revenue decline, the company has demonstrated consistent profitability over the years.

Balance Sheet

The balance sheet reflects a moderate financial position. The debt-to-equity ratio is 0.61, indicating a manageable level of leverage. Return on equity (ROE) is 6.43%, showing a modest return for shareholders. The equity ratio stands at 42.08%, suggesting a solid equity base relative to total assets. Overall, the company maintains a stable balance sheet with controlled debt levels.

Cash Flow

Cash flow analysis indicates some challenges. The free cash flow growth rate is negative at -6.53%, reflecting a decrease in cash generation. The operating cash flow to net income ratio is 0.60, and the free cash flow to net income ratio is 0.85, indicating that cash flows are sufficient to cover net income but have room for improvement. The company needs to focus on enhancing cash flow generation to support future growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	661.20M	671.35M	604.80M	553.14M	495.02M	422.97M
Gross Profit	143.26M	123.92M	121.51M	112.02M	117.18M	94.45M
EBITDA	113.78M	86.91M	74.37M	76.09M	85.73M	77.68M
Net Income	33.40M	26.46M	14.67M	28.27M	27.82M	30.56M
Balance Sheet
Total Assets	1.20B	1.17B	997.24M	858.15M	749.43M	594.36M
Cash, Cash Equivalents and Short-Term Investments	31.10M	41.36M	152.82M	31.59M	28.57M	32.92M
Total Debt	308.40M	295.23M	258.59M	295.34M	223.08M	110.99M
Total Liabilities	413.83M	408.42M	345.00M	373.59M	296.98M	184.39M
Stockholders Equity	503.57M	488.93M	476.19M	315.79M	295.61M	276.16M
Cash Flow
Free Cash Flow	56.90M	65.75M	72.68M	50.29M	68.20M	92.36M
Operating Cash Flow	69.53M	74.94M	81.98M	58.54M	76.41M	100.00M
Investing Cash Flow	-126.12M	-149.45M	-45.02M	-81.27M	-124.14M	-51.20M
Financing Cash Flow	-29.27M	-36.95M	84.27M	25.76M	43.38M	-39.42M

US Physical Therapy Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 89.62
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For USPH, the sentiment is Neutral. The current price of 89.62 is above the 20-day moving average (MA) of 75.81, above the 50-day MA of 80.43, and above the 200-day MA of 77.72, indicating a neutral trend. The MACD of 0.46 indicates Negative momentum. The RSI at 54.13 is Neutral, neither overbought nor oversold. The STOCH value of 54.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for USPH.

US Physical Therapy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MD	76 Outperform	$1.94B	11.42	19.98%	―	-4.21%	―
PNTG	73 Outperform	$1.02B	38.81	10.87%	―	29.89%	10.33%
HCSG	72 Outperform	$1.35B	35.47	8.07%	―	6.26%	-19.33%
SEM	70 Outperform	$1.86B	17.23	5.57%	1.64%	-22.96%	-59.35%
USPH	63 Neutral	$1.20B	33.12	7.30%	2.29%	17.50%	154.28%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
AMN	50 Neutral	$624.22M	-2.28	-35.90%	―	-11.42%	-617.31%

US Physical Therapy Corporate Events

US Physical Therapy Updates Investor Presentation

On November 18, 2025, U.S. Physical Therapy, Inc. updated its investor presentation, highlighting its financial performance and market positioning. The company reported trailing twelve months revenues of $759 million and an 18% year-over-year revenue growth. The presentation emphasized the company’s expanding national footprint and its strategic focus on organic growth and acquisitions. It also addressed potential risks and uncertainties, including changes in reimbursement rates and regulatory compliance, which could impact future operations and financial results.

US Physical Therapy Reports Strong Q3 Growth Amid Challenges

On November 6, 2025, U.S. Physical Therapy, Inc. held a conference call to discuss its financial results for the third quarter and nine months ending September 30, 2025. The company reported strong growth, with an 18% increase in volume and a 30% rise in gross profit, despite inflationary pressures and increased staffing costs. The company highlighted its expansion efforts, including the addition of 84 physical therapy facilities and advancements in AI-driven documentation and semi-virtualization of front desk operations. The final rule from CMS provided a slight positive change in reimbursement for manual therapy, and the company anticipates further opportunities with remote therapeutic monitoring starting in 2026. The injury prevention segment also showed strong organic revenue growth, and the company remains optimistic about its future prospects.

U.S. Physical Therapy Reports Strong Q3 2025 Performance

U.S. Physical Therapy reported a strong financial performance for the third quarter of 2025, with a significant increase in adjusted EBITDA and net income compared to the same period in 2024. The company saw a 17.8% rise in total revenue from physical therapy operations and an 18.0% increase in total patient visits, driven by clinic additions and a record-high volume of daily patient visits per clinic. The company also expanded its clinic network by adding 18 new clinics and acquiring a 60% equity interest in a three-clinic practice. Additionally, the Board of Directors declared a quarterly dividend of $0.45 per share, reflecting confidence in the company’s ongoing growth and financial stability.