Surgery Partners operates ambulatory surgery centers with 52% revenue concentration from private insurance payors and a quality score below minimum thresholds, making it a structurally risky holding despite positive short-term momentum and an attractive forward valuation.
Thesis pillars
- Private Insurance Concentration Payor Risk↓Deteriorating
- Quality Below Minimum Threshold↓Deteriorating
- High Short Interest Elevated Put Call↓Deteriorating
- +1 more pillar — see the Why tab for full reasoning
Pillars as of Jul 3, 2026, based on the 10-K filed Mar 2, 2026
Surgery Partners, Inc. (SGRY) Stock Analysis
Healthcare · Medical Care Facilities
Sell if holding. Engine safety override at $23.24: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 5.0/10. Specifically: High short interest: 22%; Elevated put/call ratio: 4.23; Below-average business quality.
Surgery Partners owns and operates 176 surgical facilities — 157 ambulatory surgery centers and 19 licensed surgical hospitals — across 30 U.S. states, generating approximately $3.2 billion in revenue in 2025. Facility fees from surgical procedures fund nearly all patient... Read more
Sell if holding. Engine safety override at $23.24: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 5.0/10. Specifically: High short interest: 22%; Elevated put/call ratio: 4.23; Below-average business quality. Chart setup: No clear chart pattern; technical signals are mixed. Score 5.0/10, moderate confidence.
Passes 5/7 gates (positive momentum, clean insider activity, no SEC red flags, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.
Recent developments
updated 2026-10-29Recent Developments — Surgery Partners, Inc.
Latest news
- NEWS UBS Downgrades Surgery Partners to Neutral, Raises Price Target to $23.5 — benzinga Oct 28, 2026 negative
- NEWS UBS Downgrades Surgery Partners to Neutral — fiscal.ai Oct 28, 2026 negative
- NEWS Kaskela Law Launches Investigation into Surgery Partners, Inc. Buyout — fiscal.ai Oct 27, 2026 negative
- NEWS StoneX Downgrades Surgery Partners to Hold — benzinga Oct 27, 2026 negative
- NEWS HealthSpan Partners to Acquire Surgery Partners for $5.7 Billion — fiscal.ai Oct 26, 2026 neutral
Generated 2026-10-29T12:43:34Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMCustomergovernment payors43%10-K Item 1A: 'We derived approximately 43%, 41% and 42% of our revenue from government payors, including Medicare and Medicaid programs in 2025, 2024 and 2023, respectively.'
- HIGHCustomerprivate insurance payors52%10-K Item 1A: 'Payments from private insurance payors...represented approximately 52%...of our patient service revenue in 2025'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
4 floor-breakers
Risk profile below the gate floor. Component breakdown shows what dragged the score down.static
Unprofitable operations — net margin -2.6%. Quality floor flags this regardless of sector context.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $23.24: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 5.0/10. Specifically: High short interest: 22%; Elevated put/call ratio: 4.23; Below-average business quality. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $21.61. Score 5.0/10, moderate confidence.
Analyst target $18.88 reached (−18.8% from $23.24); no take-profit level is published. Prior stop was $21.61. Stop-loss: $21.61.
Concentration risk — Customer: private insurance payors (52.0%); Target reached (-18.8% upside); Quality below floor (3.3 < 4.0).
Surgery Partners, Inc. trades at a P/E of N/A (forward 111.7). TrendMatrix value score: 5.1/10. Verdict: Sell.
18 analysts cover SGRY with a consensus score of 4.1/5. Average price target: $22.
What does Surgery Partners, Inc. do?Surgery Partners owns and operates 176 surgical facilities — 157 ambulatory surgery centers and 19 licensed surgical...
Surgery Partners owns and operates 176 surgical facilities — 157 ambulatory surgery centers and 19 licensed surgical hospitals — across 30 U.S. states, generating approximately $3.2 billion in revenue in 2025. Facility fees from surgical procedures fund nearly all patient service revenue, split 52.3% from private insurance and 42.8% from government payors (Medicare/Medicaid).