Back to top

Image: Bigstock

HCA Healthcare's (HCA) Galen College Adds 8th New Facility

Read MoreHide Full Article

HCA Healthcare, Inc. (HCA - Free Report) recently announced that its subsidiary, Galen College of Nursing, is expanding its footprint in North Carolina. The development comes when the country is suffering from a nursing shortage. Galen College, which joined HCA Healthcare in 2020, is adding its eighth new campus in Asheville, NC.

Over the next 10 years, the U.S. Bureau of Labor Statistics expects 194,500 nursing jobs to be available per annum. Given this backdrop, HCA Healthcare’s strategy to invest and expand its capacity in nursing education facilities seems prudent. The new facility from Galen College is expected to commence in late September.

Before joining HCA Healthcare, Galen College had five campus locations and an online campus. With the commencement of the Asheville campus, it will have 13 campus locations. Its total enrollment capacity is likely to jump to 10,000 in 2022. HCA Healthcare currently has over 93,000 registered nurses. The Galen College acquisition will add further value to HCA’s nurse base. 

HCA Healthcare has been emphasizing acquisitions to expedite growth. In 2020 and 2021, HCA Healthcare paid $568 million and $1.1 billion each on acquiring hospitals and health care entities. In the first quarter of 2022, the healthcare provider spent $2 million on buyouts. In January 2022, HCA Healthcare announced the acquisition of MD Now Urgent Care, which boasts a network of 59 urgent care centers across Florida, to bolster its capabilities as one of the nation’s leading urgent care providers.

The company’s acquisitions are expected to add scale to its business. All these buyouts helped it to boost its portfolio and penetrate further into different geographies. Its diversified portfolio is differentiated across the industry.

Price Performance

Shares of HCA Healthcare have decreased 11.4% in a year’s time compared with the industry’s fall of 14.3%.

Zacks Investment Research
Image Source: Zacks Investment Research

Zacks Rank & Key Picks

HCA Healthcare currently has a Zacks Rank #3 (Hold). Some top-ranked stocks in the medical space are Select Medical Holdings Corporation (SEM - Free Report) , Omega Therapeutics, Inc. (OMGA - Free Report) and Progyny, Inc. (PGNY - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Select Medical’s earnings is currently pegged at $2.19 per share. SEM has witnessed one upward estimate revision in the past 60 days against none in the opposite direction.

Select Medical’s earnings beat estimates in each of the last four quarters, the average being 42%.

The Zacks Consensus Estimate for Omega Therapeutics’ earnings indicates a 28.9% increase from the prior-year reported number. OMGA has witnessed three upward estimate revisions and no downward movement in the past 60 days.

Omega Therapeutics’ earnings beat estimates twice in the last four quarters and missed the mark on the other two occasions. 

The Zacks Consensus Estimate for Progyny’s 2022 bottom line has improved 4.5 times in the past 60 days. PGNY has witnessed three upward estimate revisions during the same time against none in the opposite direction.

Progyny’s earnings beat estimates in each of the last four quarters, the average being 169.7%.