Back to News
investment

1 Unstoppable Healthcare Stock to Buy and Hold

newsfeedback@fool.com (Prosper Junior Bakiny)
Loading...
4 min read
0 likes
⚡ Quantum Brief
HCA Healthcare outperformed the S&P 500 in early 2026, rising 7% year-to-date after crushing 2025 equity benchmarks, driven by strong hospital admissions and diversified U.S./U.K. operations. Fourth-quarter 2025 revenue grew 6.7% to $19.5 billion, while adjusted EPS surged 28.8% to $8.01, though 2026 guidance projects modest 3.5% revenue growth due to expired premium tax credits. Regulatory uncertainty remains a key risk, but HCA’s resilience in navigating policy shifts underscores its operational strength amid healthcare demand volatility. Long-term growth hinges on aging populations and AI-driven patient outcomes, with HCA expanding market share through physician partnerships and tech-driven efficiency gains. Despite near-term volatility, HCA’s dominant industry position and strategic investments make it a compelling long-term buy for healthcare sector exposure.
AI Audio Summary
0:00 / 0:00
Click to play
Untitled design (22).png
Quantum News · Media Library

By Prosper Junior Bakiny – Feb 13, 2026 at 12:30PM ESTKey PointsHCA Healthcare reported strong financial results and encouraging guidance.The medical facilities operator has important long-term growth opportunities. These 10 Stocks Could Mint the Next Wave of Millionaires ›NYSE: HCAHCA HealthcareMarket Cap$120BToday's Changeangle-down(0.77%) $4.14Current Price$539.36Price as of February 13, 2026 at 1:53 PM ETHCA Healthcare continues to top expectations.Last year, HCA Healthcare (HCA +0.77%), a medical facilities operator, crushed broader equities. The company faced some uncertainty heading into the new year (more on that below), but so far, it has maintained the momentum we saw in 2025. HCA Healthcare's stock is up 7% so far in 2026, which is much better than the S&P 500's year-to-date performance. The good news is that there might be plenty of upside left for the healthcare company. Here is why it's worth investing in HCA Healthcare and holding its shares for the long term. Image source: Getty Images. Excellent financial results HCA Healthcare owns and operates a vast number of diversified healthcare facilities, from acute care hospitals to surgery centers, across much of the U.S. and the U.K. It is one of the largest corporations in its niche in the U.S. The company delivered another strong performance during the fourth quarter of 2025. Its revenue increased by a solid 6.7% to $19.5 billion on the back of healthy growth in hospital admissions, while its adjusted earnings per share jumped 28.8% to $8.01. HCA Healthcare's top-line guidance for its fiscal 2026 doesn't look strong at first glance. The company expects revenue of between $76.5 billion and $80 billion for the year. At the midpoint, this implies revenue growth of about 3.5% year over year, hardly eye-popping. However, context matters. Coming into the year, HCA Healthcare hoped that the enhanced premium tax credits, which lower the cost of medical care for some patients and increase demand, admission, and revenue for the company, would be extended. So far, they have expired. Regulatory uncertainty is a significant risk for HCA Healthcare. Amid this challenge, modest sales growth of about 3.1% isn't bad at all. ExpandNYSE: HCAHCA HealthcareToday's Change(0.77%) $4.14Current Price$539.36Key Data PointsMarket Cap$120BDay's Range$531.04 - $545.1652wk Range$295.00 - $552.90Volume38KAvg Vol1.2MGross Margin15.83%Dividend Yield0.54% Why the stock is still a buy HCA Healthcare is showing that it can perform reasonably well amid regulatory challenges. The company also has important growth opportunities, including the higher demand for medical care we should observe over the next decade (and beyond) as the world's population ages. HCA Healthcare has also made a habit of growing its market share, partly by investing in initiatives that improve patient outcomes. It is currently doing so with several artificial intelligence-driven changes. That's how HCA Healthcare has built strong relationships with physicians, patients, and third-party payers. The company may face some volatility this year as it continues to navigate the uncertain regulatory landscape. There's no guarantee that it will post a similar performance to last year's. However, given its position in the healthcare industry and the attractive growth opportunities it benefits from, the stock could deliver above-average returns in the long run.Read NextFeb 1, 2026 •By Prosper Junior BakinyForget AI Stocks: This Hospital Chain Is the Real Winner of AI-Enhanced HealthcareDec 4, 2025 •By Prosper Junior Bakiny2 Soaring Healthcare Stocks to Buy and Hold for a DecadeOct 8, 2025 •By Prosper Junior Bakiny2 Outstanding Healthcare Stocks to Buy and Hold for a DecadeApr 25, 2025 •By Motley Fool Markets TeamHCA Healthcare Tops Revenue ExpectationsJan 24, 2025 •By Motley Fool TranscribingHCA Healthcare (HCA) Q4 2024 Earnings Call TranscriptJan 24, 2025 •By Motley Fool Markets TeamHCA Healthcare Misses EPS, Revenue UpAbout the AuthorProsper Junior Bakiny is a contributing Motley Fool healthcare analyst covering biotechnology, pharmaceuticals, and healthcare stocks.

Before The Motley Fool, Prosper wrote about investing topics ranging from stock market news to private equity for various companies. He holds a master’s degree in corporate finance from the University of Maryland Global Campus.TMFPBakinyStocks MentionedHCA HealthcareNYSE: HCA$539.36 (+0.77%) $+4.14*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Read Original

Tags

government-funding

Source Information

Source: The Motley Fool

Discussion

0 professional contributions

Sign in to join this professional discussion.

Be the first to add a constructive contribution.