U.S. Physical Therapy Soars 17.8%—What’s Fueling This Explosive Move?

Summary
• U.S. Physical Therapy (USPH) surges 17.8% intraday to $85.63, hitting a 52-week high of $85.79.
• Q2 results show 21.4% adjusted EBITDA growth, 16.7% patient visit increase, and raised full-year guidance.
• Share repurchase program and 23.5% dividend yield highlight capital efficiency.

U.S. Physical Therapy’s stock has erupted on the heels of a blockbuster Q2 earnings report, with patient volume growth, margin expansion, and strategic acquisitions driving the surge. The stock’s 17.8% intraday gain reflects investor confidence in the company’s ability to outperform in a challenging healthcare landscape. With a 52-week high of $85.79 and a 52-week low of $62.77, the stock’s volatility underscores its high-conviction narrative.

Q2 Earnings Surge and Guidance Hike Ignite Rally
U.S. Physical Therapy’s 17.8% intraday rally was catalyzed by a Q2 earnings report that exceeded expectations across all metrics. Adjusted EBITDA surged 21.4% to $26.9 million, driven by a 16.7% increase in patient visits to 1.56 million and a 20.9% gross margin expansion. The company raised full-year 2025 EBITDA guidance to $93–$97 million, reflecting confidence in its acquisition pipeline and cost discipline. Additionally, the $25 million share repurchase program and a 23.5% dividend yield signaled strong capital allocation, further fueling investor optimism.

Healthcare Sector Mixed as USPH Outperforms UNH
While the broader healthcare sector showed mixed performance, U.S. Physical Therapy outperformed sector leader UnitedHealth Group (UNH), which fell 1.8% intraday. USPH’s rally was driven by its unique focus on outpatient physical therapy and industrial injury prevention, areas with structural growth tailwinds. In contrast, UNH’s decline reflected broader market concerns over rising healthcare costs and regulatory pressures. USPH’s disciplined cost management and accretive acquisitions positioned it as a standout within the sector.

Options Playbook: Leveraging USPH’s Bullish Momentum
• 200-day average: 81.47 (above current price)
• RSI: 41.64 (oversold)
• MACD: -1.18 (bearish), Signal Line: -0.90
• Bollinger Bands: Upper 77.25, Middle 73.92, Lower 70.60 (price above upper band)

Top Options Contracts:
• USPH20250815C85 (Call, Strike $85, Expiry 8/15):
- IV: 45.00% (moderate)
- Leverage Ratio: 28.69%
- Delta: 0.5859 (moderate sensitivity)
- Theta: -0.2188 (high time decay)
- Gamma: 0.0640 (moderate price sensitivity)
- Turnover: 900 (high liquidity)
- Payoff (5% upside): $4.91/share (89.91 - 85).
- Why: High liquidity and moderate leverage make this ideal for short-term bullish bets.

• USPH20250919C90 (Call, Strike $90, Expiry 9/19):
- IV: 55.26% (moderate)
- Leverage Ratio: 17.21%
- Delta: 0.4487 (moderate sensitivity)
- Theta: -0.0851 (low time decay)
- Gamma: 0.0239 (low price sensitivity)
- Turnover: 0 (low liquidity)
- Payoff (5% upside): $0 (89.91 < 90).
- Why: Despite low liquidity, the moderate IV and low theta make it a speculative play for a sustained rally.

Action: Aggressive bulls should prioritize USPH20250815C85 for a 15-day window to capitalize on the breakout above $85. Conservative investors may wait for a pullback to the 200-day average before entering.

Backtest U.S. Physical Therapy Stock Performance
The 18% intraday surge in USPH has historically led to short-term gains, but overall performance remains lackluster. The 3-Day win rate is 49.65%, the 10-Day win rate is 52.30%, and the 30-Day win rate is 48.76%, indicating a higher probability of positive returns in the immediate aftermath of the surge. However, the maximum return during the backtest period was only 0.04%, suggesting that while there is a chance for gains, they are generally modest.

Bullish Momentum Unlikely to Subside—Act Now on USPH
U.S. Physical Therapy’s 17.8% surge is underpinned by robust fundamentals, including margin expansion, volume growth, and a disciplined acquisition strategy. The stock’s technicals suggest a continuation of the rally, with the 200-day average at $81.47 acting as a key support. Investors should monitor the $85.63 level for a potential breakout confirmation. Meanwhile, sector leader UnitedHealth’s 1.8% decline highlights the importance of capital-efficient plays like USPH. Act now: Buy USPH20250815C85 to lock in gains from the earnings-driven momentum.