Tenet Healthcare (NYSE:THC) Upgraded to "Hold" at BMO Capital Markets

Key Points

• BMO Capital Markets upgraded Tenet Healthcare to “Hold.” Despite the downgrade in conviction, analysts overall maintain a “Moderate Buy” consensus, with an average price target of $277.25.
• Tenet reported quarterly earnings of $6.12 per share, beating estimates of $4.26, while revenue reached $6.04 billion, up 6.8% year over year and above expectations.
• Shares opened at $256.23, down 2.2%, while insiders have sold 131,199 shares worth about $35.1 million over the past 90 days; institutional investors own 95.44% of the stock.

Tenet Healthcare (NYSE:THC - Get Free Report) was upgraded by equities researchers at BMO Capital Markets to a "hold" rating in a report released on Tuesday, Zacks reports.

Several other research analysts have also weighed in on the company. Raymond James Financial reissued an "outperform" rating and set a $285.00 price target on shares of Tenet Healthcare in a research report on Friday, August 14th. Cantor Fitzgerald reaffirmed an "overweight" rating on shares of Tenet Healthcare in a research note on Monday, July 27th. Weiss Ratings raised shares of Tenet Healthcare from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Thursday, August 20th. UBS Group raised their price target on shares of Tenet Healthcare from $288.00 to $308.00 and gave the stock a "buy" rating in a report on Monday, July 27th. Finally, Royal Bank Of Canada upped their price objective on shares of Tenet Healthcare from $236.00 to $283.00 and gave the company an "outperform" rating in a research note on Monday, July 27th. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $277.25.

Tenet Healthcare Stock Down 2.2%

Shares of NYSE:THC opened at $256.23 on Tuesday. The firm has a 50 day simple moving average of $254.81 and a 200 day simple moving average of $213.49. Tenet Healthcare has a 52 week low of $157.58 and a 52 week high of $283.05. The company has a debt-to-equity ratio of 2.00, a quick ratio of 1.35 and a current ratio of 1.41. The company has a market cap of $20.63 billion, a PE ratio of 9.88, a price-to-earnings-growth ratio of 1.00 and a beta of 1.23.

Tenet Healthcare (NYSE:THC - Get Free Report) last posted its quarterly earnings data on Thursday, July 23rd. The company reported $6.12 earnings per share for the quarter, topping the consensus estimate of $4.26 by $1.86. The firm had revenue of $6.04 billion for the quarter, compared to analysts' expectations of $5.43 billion. Tenet Healthcare had a net margin of 10.27% and a return on equity of 26.76%. The company's quarterly revenue was up 6.8% compared to the same quarter last year. During the same period in the previous year, the company posted $4.02 EPS. Tenet Healthcare has set its FY 2026 guidance at 20.300-21.690 EPS. As a group, research analysts expect that Tenet Healthcare will post 21.04 earnings per share for the current year.

Insider Activity

In related news, EVP Lisa Y. Foo sold 24,000 shares of Tenet Healthcare stock in a transaction on Monday, August 31st. The shares were sold at an average price of $266.32, for a total value of $6,391,680.00. Following the completion of the sale, the executive vice president owned 8,053 shares of the company's stock, valued at approximately $2,144,674.96. The trade was a 74.88% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director J. Robert Kerrey sold 12,010 shares of the stock in a transaction on Monday, September 14th. The stock was sold at an average price of $263.72, for a total transaction of $3,167,277.20. Following the transaction, the director directly owned 4,794 shares in the company, valued at $1,264,273.68. The trade was a 71.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 131,199 shares of company stock valued at $35,065,587. 0.97% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Trust Co. of Vermont acquired a new stake in Tenet Healthcare in the 2nd quarter worth approximately $37,000. OP Asset Management Ltd acquired a new position in Tenet Healthcare during the first quarter valued at approximately $49,000. Compass Financial Management LLC bought a new position in shares of Tenet Healthcare in the second quarter valued at approximately $57,000. William B. Walkup & Associates Inc. lifted its stake in shares of Tenet Healthcare by 88.7% in the fourth quarter. William B. Walkup & Associates Inc. now owns 302 shares of the company's stock worth $60,000 after buying an additional 142 shares during the last quarter. Finally, Capital Advisors Ltd. LLC grew its stake in Tenet Healthcare by 11,933.3% in the 1st quarter. Capital Advisors Ltd. LLC now owns 361 shares of the company's stock valued at $68,000 after buying an additional 358 shares during the last quarter. Institutional investors and hedge funds own 95.44% of the company's stock.

About Tenet Healthcare

Tenet Healthcare Corporation NYSE: THC is a diversified healthcare services company that owns and operates acute care hospitals and other healthcare facilities in the United States. Its hospitals provide services including emergency care, surgery, cardiovascular care, orthopedics, oncology, women's health and other inpatient and outpatient treatments.

Through its ambulatory business, United Surgical Partners International, Tenet operates and manages ambulatory surgery centers and other outpatient facilities.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.