Leerink Partnrs Issues Optimistic Estimate for THC Earnings

Tenet Healthcare Co. (NYSE:THC) – Stock analysts at Leerink Partnrs lifted their FY2024 earnings estimates for shares of Tenet Healthcare in a research report issued to clients and investors on Tuesday, October 29th. Leerink Partnrs analyst W. Mayo now expects that the company will post earnings per share of $11.51 for the year, up from their prior estimate of $10.87. The consensus estimate for Tenet Healthcare’s current full-year earnings is $10.72 per share. Leerink Partnrs also issued estimates for Tenet Healthcare’s Q4 2024 earnings at $3.08 EPS, Q3 2025 earnings at $2.92 EPS, FY2025 earnings at $12.81 EPS and FY2026 earnings at $14.88 EPS.

A number of other research analysts also recently issued reports on the stock. Citigroup raised their price target on shares of Tenet Healthcare from $139.00 to $171.00 and gave the stock a “buy” rating in a research report on Thursday, July 25th. Wells Fargo & Company raised their price target on shares of Tenet Healthcare from $175.00 to $195.00 and gave the stock an “overweight” rating in a research report on Tuesday, October 22nd. The Goldman Sachs Group raised their price target on shares of Tenet Healthcare from $173.00 to $196.00 and gave the stock a “buy” rating in a research report on Wednesday. KeyCorp assumed coverage on shares of Tenet Healthcare in a research report on Friday, October 11th. They issued an “overweight” rating and a $200.00 price target on the stock. Finally, UBS Group lifted their price objective on shares of Tenet Healthcare from $197.00 to $217.00 and gave the company a “buy” rating in a research report on Wednesday. One investment analyst has rated the stock with a hold rating, fourteen have issued a buy rating and four have assigned a strong buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Buy” and a consensus target price of $163.65.

Tenet Healthcare Price Performance

Shares of THC stock opened at $158.05 on Thursday. The firm has a market cap of $15.14 billion, a P/E ratio of 5.80, a P/E/G ratio of 0.71 and a beta of 2.14. The company has a debt-to-equity ratio of 2.53, a current ratio of 1.45 and a quick ratio of 1.38. Tenet Healthcare has a 1-year low of $51.04 and a 1-year high of $171.20. The firm has a fifty day moving average of $159.66 and a two-hundred day moving average of $141.59.

Tenet Healthcare (NYSE:THC) last announced its quarterly earnings data on Tuesday, October 29th. The company reported $2.93 earnings per share for the quarter, topping the consensus estimate of $2.33 by $0.60. The company had revenue of $5.12 billion during the quarter, compared to analyst estimates of $5.05 billion. Tenet Healthcare had a net margin of 13.17% and a return on equity of 24.66%. The firm’s revenue for the quarter was up 1.1% compared to the same quarter last year. During the same period last year, the business earned $1.44 EPS.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in THC. Price T Rowe Associates Inc. MD increased its position in shares of Tenet Healthcare by 11.1% in the first quarter. Price T Rowe Associates Inc. MD now owns 7,915,000 shares of the company’s stock worth $831,947,000 after acquiring an additional 790,684 shares in the last quarter. 8 Knots Management LLC boosted its holdings in shares of Tenet Healthcare by 74.5% during the first quarter. 8 Knots Management LLC now owns 1,025,730 shares of the company’s stock worth $107,814,000 after purchasing an additional 438,033 shares during the period. Acadian Asset Management LLC boosted its holdings in shares of Tenet Healthcare by 7,223.1% during the second quarter. Acadian Asset Management LLC now owns 326,244 shares of the company’s stock worth $43,385,000 after purchasing an additional 321,789 shares during the period. Farallon Capital Management LLC boosted its holdings in shares of Tenet Healthcare by 70.1% during the first quarter. Farallon Capital Management LLC now owns 637,442 shares of the company’s stock worth $67,002,000 after purchasing an additional 262,600 shares during the period. Finally, Allspring Global Investments Holdings LLC boosted its holdings in shares of Tenet Healthcare by 344.7% during the third quarter. Allspring Global Investments Holdings LLC now owns 317,198 shares of the company’s stock worth $52,718,000 after purchasing an additional 245,875 shares during the period. 95.44% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Tenet Healthcare

In other news, CEO Saumya Sutaria sold 86,227 shares of Tenet Healthcare stock in a transaction that occurred on Wednesday, August 14th. The shares were sold at an average price of $154.41, for a total value of $13,314,311.07. Following the transaction, the chief executive officer now owns 13,773 shares of the company’s stock, valued at $2,126,688.93. The trade was a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. In other news, Director Meghan Fitzgerald sold 20,000 shares of Tenet Healthcare stock in a transaction that occurred on Tuesday, August 6th. The shares were sold at an average price of $146.34, for a total value of $2,926,800.00. Following the transaction, the director now directly owns 15,269 shares of the company’s stock, valued at $2,234,465.46. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Saumya Sutaria sold 86,227 shares of Tenet Healthcare stock in a transaction that occurred on Wednesday, August 14th. The stock was sold at an average price of $154.41, for a total transaction of $13,314,311.07. Following the completion of the transaction, the chief executive officer now directly owns 13,773 shares in the company, valued at approximately $2,126,688.93. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 128,203 shares of company stock valued at $19,754,997 in the last quarter. Insiders own 0.93% of the company’s stock.

Tenet Healthcare announced that its board has initiated a share buyback plan on Wednesday, July 24th that allows the company to repurchase $1.50 billion in shares. This repurchase authorization allows the company to purchase up to 10.3% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s leadership believes its shares are undervalued.

About Tenet Healthcare

Tenet Healthcare Corporation operates as a diversified healthcare services company in the United States. The company operates through two segments: Hospital Operations and Services, and Ambulatory Care. Its general hospitals offer acute care services, operating and recovery rooms, radiology and respiratory therapy services, clinical laboratories, and pharmacies.