L1 Capital International Strategy decreased its position in HCA Healthcare (NYSE: HCA) following a notable increase in the stock’s valuation, reflecting strategic rebalancing in response to market performance.
- HCA Healthcare’s share price rose 22% YTD through January 14, 2026, closing at $148.70
- L1 Capital reduced its stake from 7.3% to 5.9%, trimming ~1.4 million shares
- HCA posted $12.3 billion in revenue for fiscal 2025, a 11% year-over-year increase
- Adjusted EBITDA grew 14% in 2025, driven by outpatient and hospital operations
- L1 Capital maintained positions in Tenet Healthcare (3.8%) and Community Health Systems (4.2%)
- HCA’s dividend yield stands at 1.8%, supported by strong cash flow generation
L1 Capital International Strategy has reduced its holdings in HCA Healthcare (HCA), according to recent disclosures. The move follows a 22% year-to-date rise in HCA’s share price, which reached $148.70 by January 14, 2026. The investor’s stake was trimmed from 7.3% to 5.9% over the past quarter, representing a reduction of approximately 1.4 million shares. The adjustment is part of a broader portfolio rebalancing strategy aimed at managing exposure to high-performing equities. HCA’s strong financial results, including a 14% increase in adjusted EBITDA for the full year 2025, have driven investor interest. The company reported $12.3 billion in revenue during fiscal 2025, up 11% from the prior year, with continued growth in outpatient services and hospital capacity utilization. Market analysts note that the reduction does not signal a negative outlook on HCA’s fundamentals. Instead, it reflects L1 Capital’s disciplined approach to capital allocation, particularly in light of rising valuations that have compressed future return expectations. The firm has maintained its investment in other healthcare providers, including Tenet Healthcare (THC) and Community Health Systems (CHS), with positions now representing 3.8% and 4.2% of its portfolio, respectively. Investors are closely watching whether other institutional holders follow suit. HCA’s stock has outperformed the S&P 500 Healthcare Sector Index by 8 percentage points over the past 12 months, raising questions about sustainability in the current market environment. Nonetheless, HCA’s dividend yield of 1.8% and strong cash flow generation continue to support long-term investor confidence.