Universal Health Services, Inc. (NYSE:UHS) Investor Securities Class Action Lawsuit 12/23/2016

If you purchased a significant amount of shares of Universal Health Services, Inc. (NYSE:UHS) between February 26, 2015 and December 7, 2016, and / or if you purchased any NYSE:UHS shares prior to February 2015 and continue to hold any of those shares, you have certain options and for certain investors are short and strict deadlines running. Deadline: February 21, 2017. NYSE:UHS investors should contact the Shareholders Foundation, Inc.

To have your information reviewed for options and to recieve notifications about this case, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Universal Health Services
Case Name: 
Universal Health Services Shareholder Class Action Lawsuit 12/23/2016
Case Status: 
Lawsuit Filed
Affected Securities
NYSE: UHS
Lawsuit Overview
Type of Lawsuit: 
Shareholder Class Action
Date Filed: 
12/23/2016
Class Period Begin: 
02/26/2015
Class Period End: 
12/07/2016
Court of Filing: 
U.S. District Court for the Central District of California
Deadline To File for Lead: 
02/21/2017
Summary: 

December 23, 2016 (Shareholders Foundation) - An investor in shares of Universal Health Services, Inc. (NYSE:UHS) filed a lawsuit in the U.S. District Court for the Central District of California over alleged violations of Federal Securities Laws by Universal Health Services in connection with certain allegedly false and misleading statements made between February 26, 2015 and December 7, 2016.

According to the complaint the plaintiff alleges on behalf of purchasers of Universal Health Services, Inc. (NYSE:UHS) common shares between February 26, 2015 and December 7, 2016, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between February 26, 2015 and December 7, 2016, the Defendants made false and/or misleading statements and/or failed to disclose that Universal Health admitted patients based on its own financial considerations and not upon the medical necessity of the patient, that Universal Health would keep patients admitted until their insurance payments ran out in order to ensure the maximum payment for its services, that as a result, Universal Health’s revenues from inpatient care relied on unsustainable practices, that in turn, Universal Health lacked effective internal control concerning its practices and policies of admitting patients, and that as a result, Universal Health’s public statements were materially false and misleading at all relevant times.

Universal Health Services, Inc. reported that its annual Total Revenue rose from over $8.2 billion in 2014 to over $9.04 billion in 2015 and that its Net Income increased from $545.34 million in 2014 to $680.53 million in 2015.

On December 7, 2016, a report was published detailing its investigation into Universal Health, which was “…based on interviews with 175 current and former UHS staff, including 18 executives who ran UHS hospitals; more than 120 additional interviews with patients, government investigators, and other experts; and a cache of internal documents.” The report stated that “[c]urrent and former employees from at least 10 UHS hospitals in nine states said they were under pressure to fill beds by almost any method – which sometimes meant exaggerating people’s symptoms or twisting their words to make them seem suicidal – and to hold them until their insurance payments ran out.”

On December 8, 2016, Universal Health Services, Inc published a statement regarding the report and said that it disputes and denies the conclusions in the report.

Shares of Universal Health Services, Inc. (NYSE:UHS) declined from $127.94 per share on December 7, 2016 to as low as $99.72 per share on December 14, 2016.