Leerink Partnrs Issues Positive Outlook for THC Earnings

Tenet Healthcare Co. (NYSE:THC) – Investment analysts at Leerink Partnrs boosted their Q3 2024 earnings estimates for shares of Tenet Healthcare in a research report issued to clients and investors on Wednesday, October 23rd. Leerink Partnrs analyst W. Mayo now expects that the company will post earnings of $2.32 per share for the quarter, up from their prior estimate of $2.31. 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 $3.03 EPS, FY2024 earnings at $10.87 EPS, Q3 2025 earnings at $2.72 EPS, FY2025 earnings at $12.22 EPS and FY2026 earnings at $14.25 EPS.

Tenet Healthcare (NYSE:THC) last released its quarterly earnings results on Wednesday, July 24th. The company reported $2.31 EPS for the quarter, topping analysts’ consensus estimates of $1.89 by $0.42. Tenet Healthcare had a return on equity of 24.66% and a net margin of 13.17%. The company had revenue of $5.10 billion for the quarter, compared to analysts’ expectations of $4.98 billion.

Other research analysts have also recently issued research reports about the stock. Deutsche Bank Aktiengesellschaft lifted their price objective on shares of Tenet Healthcare from $150.00 to $155.00 and gave the company a “buy” rating in a report on Friday, June 28th. The Goldman Sachs Group increased their price objective on Tenet Healthcare from $156.00 to $173.00 and gave the company a “buy” rating in a research note on Tuesday, July 30th. Truist Financial upped their price target on Tenet Healthcare from $170.00 to $180.00 and gave the stock a “buy” rating in a report on Monday, October 14th. Citigroup lifted their price objective on Tenet Healthcare from $139.00 to $171.00 and gave the company a “buy” rating in a research note on Thursday, July 25th. Finally, Cantor Fitzgerald reaffirmed an “overweight” rating and issued a $168.00 target price on shares of Tenet Healthcare in a report on Tuesday, October 1st. One research analyst has rated the stock with a hold rating, fourteen have issued a buy rating and four have given a strong buy rating to the company. According to MarketBeat.com, Tenet Healthcare has a consensus rating of “Buy” and a consensus price target of $157.24.

Tenet Healthcare Stock Performance

NYSE THC opened at $151.03 on Friday. The company has a market cap of $14.47 billion, a P/E ratio of 5.54, a P/E/G ratio of 0.80 and a beta of 2.14. Tenet Healthcare has a 1-year low of $51.04 and a 1-year high of $171.20. The company has a debt-to-equity ratio of 2.53, a current ratio of 1.45 and a quick ratio of 1.38. The stock has a 50-day moving average of $160.19 and a two-hundred day moving average of $139.96.

Tenet Healthcare declared that its Board of Directors has initiated a stock repurchase plan on Wednesday, July 24th that permits the company to buyback $1.50 billion in outstanding shares. This buyback authorization permits the company to purchase up to 10.3% of its stock through open market purchases. Stock buyback plans are often an indication that the company’s board believes its shares are undervalued.

Insider Activity

In other news, CEO Saumya Sutaria sold 86,227 shares of the 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 represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. In other Tenet Healthcare news, Director Richard W. Fisher sold 2,000 shares of the stock in a transaction on Tuesday, August 27th. The shares were sold at an average price of $163.67, for a total transaction of $327,340.00. Following the sale, the director now directly owns 14,227 shares of the company’s stock, valued at approximately $2,328,533.09. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Saumya Sutaria sold 86,227 shares of the firm’s stock in a transaction 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 completion of the sale, the chief executive officer now owns 13,773 shares in the company, valued at $2,126,688.93. The trade was 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 worth $19,754,997 over the last 90 days. Company insiders own 0.93% of the company’s stock.

Institutional Trading of Tenet Healthcare

Several large investors have recently added to or reduced their stakes in THC. Nisa Investment Advisors LLC increased its holdings in shares of Tenet Healthcare by 72.4% during the third quarter. Nisa Investment Advisors LLC now owns 16,090 shares of the company’s stock valued at $2,674,000 after purchasing an additional 6,759 shares during the period. State of Alaska Department of Revenue grew its position in Tenet Healthcare by 4.8% in the 3rd quarter. State of Alaska Department of Revenue now owns 11,139 shares of the company’s stock valued at $1,851,000 after buying an additional 515 shares in the last quarter. Financial Management Professionals Inc. raised its position in shares of Tenet Healthcare by 2,222.2% during the 3rd quarter. Financial Management Professionals Inc. now owns 209 shares of the company’s stock worth $35,000 after buying an additional 200 shares in the last quarter. Wealth Enhancement Advisory Services LLC lifted its stake in shares of Tenet Healthcare by 122.8% in the 3rd quarter. Wealth Enhancement Advisory Services LLC now owns 8,009 shares of the company’s stock worth $1,331,000 after acquiring an additional 4,414 shares during the period. Finally, Allworth Financial LP increased its stake in shares of Tenet Healthcare by 186.9% during the third quarter. Allworth Financial LP now owns 14,527 shares of the company’s stock valued at $2,414,000 after acquiring an additional 9,464 shares during the period. 95.44% of the stock is currently owned by institutional investors and hedge funds.

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.