12 Most Undervalued Large Cap Stocks to Buy Now

5. HCA Healthcare Inc. (NYSE:HCA)

Forward Price-to-Earnings Ratio as of March 4: 12.27

Number of Hedge Fund Holders: 81

HCA Healthcare Inc. (NYSE:HCA) owns and operates a network of hospitals and healthcare facilities across the US. This network provides services like acute care, outpatient procedures, and specialized treatments in areas like behavioral health. All of these are aimed at serving diverse patient needs.

In 2024, the company’s network of hospitals saw a 3% increase in inpatient admissions, a 2.4% rise in ER visits, and a 2.8% growth in inpatient surgeries, year-over-year. Overall revenue grew by 6%, with net revenue per equivalent admission up 2.9%. The company is investing in network expansion with $5 to $5.2 billion allocated in capital expenditures for 2025. It’s focused on workforce development and shareholder returns. It recently authorized a new $10 billion share repurchase program. The company also noted that the 2024 hurricanes created a 250 million dollar impact on the 2024 financial year.

For 2025, HCA Healthcare Inc. (NYSE:HCA) projects revenues between $72.8 and $75.8 billion, with an earnings per share value of $24.05 to $25.85. The company expects equivalent admissions to grow 3-4% and revenue per equivalent admission to increase 2-3%.

Delaware Ivy Core Equity Fund stated the following regarding HCA Healthcare Inc. (NYSE:HCA) in its Q3 2024 investor letter:

“HCA Healthcare, Inc. (NYSE:HCA) – While long-term growth trends favor the healthcare sector, HCA is also benefiting from a short-term surge in healthcare utilization, likely the consequence of consumers catching up on care that was deferred during the pandemic. Growth in the insured population through healthcare exchanges also appears to be a more secular driver of increased demand.”