HCA Healthcare Stock Surged 60%, Here’s Why
HCA Healthcare (HCA)’s stock soared 57%, propelled largely by a sharp 44% jump in its valuation, backed by steady revenue gains and margin improvements. Behind this surge lie a streak of earnings beats and raises, growing patient volumes, and strong shareholder returns—fueling investor confidence like never before.
Below is an analytical breakdown of stock movement into key contributing metrics.
| 3062025 | 12012025 | Change | |
|---|---|---|---|
| Stock Price ($) | 319.8 | 503.0 | 57.3% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 70,603.0 | 72,698.0 | 3.0% |
| Net Income Margin (%) | 8.2% | 8.2% | 0.7% |
| P/E Multiple | 14.0 | 20.1 | 43.9% |
| Shares Outstanding (Mil) | 252.1 | 239.2 | 5.1% |
| Cumulative Contribution | 56.9% |
So what is happening here? The stock surged 57%, driven mainly by a 44% jump in its P/E multiple, with modest boosts from a 3.0% revenue increase and a 0.7% margin rise. Let’s explore what’s behind this.
Here Is Why HCA Healthcare Stock Moved
- Q1 Earnings Beat: HCA reported Q1 2025 EPS of $6.45, beating estimates, and reaffirmed 2025 guidance.
- Q2 Earnings Beat & Raise: Q2 2025 diluted EPS rose 23.5% to $6.83, exceeding forecasts. Full-year guidance was raised.
- Q3 Earnings Beat & Raise: Q3 2025 diluted EPS jumped 42.6% to $6.96, well above estimates. Guidance raised again.
- Shareholder Returns: HCA consistently executed significant share repurchases and declared quarterly dividends.
- Patient Volume Growth: Consistent increases in same-facility admissions and emergency room visits were observed.
Our Current Assesment Of HCA Stock
Opinion: We currently find HCA stock attractive. Why so? Have a look at the full story. Read Buy or Sell HCA Stock to see what drives our current opinion.
Risk: To get a handle on HCA’s risk, check how far it fell in past market crashes. During the 2018 correction, it dropped about 23%. The Covid pandemic hit much harder, with a sharp 55% decline. Then the inflation shock pulled it down nearly 40%. These dips show that even with solid fundamentals, HCA isn’t immune to significant pullbacks when broader markets get rattled. Good quality stocks help, but big shocks still take a toll.
HCA stock may have seen strong gains recently, but investing in a single stock without detailed, thorough analysis can be risky. The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.