Tenet Healthcare (NYSE:THC) Releases Q4 Earnings Guidance

Tenet Healthcare (NYSE:THC) issued an update on its fourth quarter earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of $2.69-3.31 for the period, compared to the consensus estimate of $2.88. The company issued revenue guidance of $5.01-5.21 billion, compared to the consensus revenue estimate of $5.29 billion. Tenet Healthcare also updated its FY 2024 guidance to 11.120-11.730 EPS.

Tenet Healthcare Price Performance

Shares of Tenet Healthcare stock traded down $2.66 during trading on Wednesday, hitting $160.10. The stock had a trading volume of 582,585 shares, compared to its average volume of 1,205,371. The firm has a market cap of $15.34 billion, a price-to-earnings ratio of 5.83, a P/E/G ratio of 0.71 and a beta of 2.14. Tenet Healthcare has a 12 month low of $51.04 and a 12 month high of $171.20. The business’s 50-day moving average is $159.66 and its 200 day moving average is $141.48. The company has a current ratio of 1.45, a quick ratio of 1.38 and a debt-to-equity ratio of 2.53.

Tenet Healthcare (NYSE:THC) last released its quarterly earnings results on Tuesday, October 29th. The company reported $2.93 earnings per share for the quarter, beating the consensus estimate of $2.33 by $0.60. The firm had revenue of $5.12 billion for the quarter, compared to analysts’ expectations of $5.05 billion. Tenet Healthcare had a return on equity of 24.66% and a net margin of 13.17%. The company’s revenue was up 1.1% compared to the same quarter last year. During the same quarter last year, the firm posted $1.44 EPS. As a group, sell-side analysts anticipate that Tenet Healthcare will post 10.72 earnings per share for the current year.

Tenet Healthcare announced that its board has authorized a stock buyback plan on Wednesday, July 24th that authorizes the company to buyback $1.50 billion in outstanding shares. This buyback authorization authorizes the company to buy up to 10.3% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s board believes its stock is undervalued.

Analysts Set New Price Targets

Several research analysts recently issued reports on THC shares. Citigroup upped their target price 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. Cantor Fitzgerald increased their price objective on Tenet Healthcare from $168.00 to $177.00 and gave the company an “overweight” rating in a research report on Wednesday. Truist Financial reaffirmed a “buy” rating and issued a $190.00 target price (up previously from $180.00) on shares of Tenet Healthcare in a research note on Wednesday. Raymond James lifted their price target on shares of Tenet Healthcare from $130.00 to $175.00 and gave the stock a “strong-buy” rating in a research note on Thursday, July 25th. Finally, The Goldman Sachs Group lifted their target price on shares of Tenet Healthcare from $173.00 to $196.00 and gave the stock a “buy” rating in a research report on Wednesday. One analyst has rated the stock with a hold rating, fourteen have given a buy rating and four have assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, Tenet Healthcare currently has an average rating of “Buy” and an average price target of $163.65.

Insider Activity at Tenet Healthcare

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

Tenet Healthcare Company Profile

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.