Kensico Capital Management Corp Invests $31.06 Million in Tenet Healthcare Corporation $THC

Key Points

• Kensico Capital Management Corp has acquired a new position in Tenet Healthcare Corporation, purchasing 230,900 shares valued at approximately $31.06 million, making it their 22nd largest holding.
• Insiders have sold a total of 11,960 shares of Tenet Healthcare worth approximately $2.13 million in the last three months, reflecting a decrease in their ownership stake.
• Tenet Healthcare's recent earnings report showed earnings of $4.02 per share, significantly beating analyst expectations, with a revenue increase to $5.27 billion compared to the previous year.

Kensico Capital Management Corp bought a new stake in Tenet Healthcare Corporation (NYSE:THC - Free Report) in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund bought 230,900 shares of the company's stock, valued at approximately $31,056,000. Tenet Healthcare accounts for 0.7% of Kensico Capital Management Corp's portfolio, making the stock its 22nd biggest position. Kensico Capital Management Corp owned 0.25% of Tenet Healthcare as of its most recent SEC filing.

A number of other institutional investors also recently modified their holdings of the business. Loring Wolcott & Coolidge Fiduciary Advisors LLP MA acquired a new position in Tenet Healthcare in the first quarter valued at about $26,000. Wayfinding Financial LLC acquired a new position in Tenet Healthcare in the first quarter valued at about $28,000. SVB Wealth LLC acquired a new position in Tenet Healthcare in the first quarter valued at about $30,000. Colonial Trust Co SC raised its stake in Tenet Healthcare by 85.7% during the fourth quarter. Colonial Trust Co SC now owns 247 shares of the company's stock worth $31,000 after acquiring an additional 114 shares in the last quarter. Finally, N.E.W. Advisory Services LLC acquired a new position in Tenet Healthcare during the first quarter worth about $31,000. Institutional investors own 95.44% of the company's stock.

Tenet Healthcare Stock Performance

Shares of Tenet Healthcare stock traded up $3.88 during trading on Friday, hitting $196.40. 923,997 shares of the company's stock traded hands, compared to its average volume of 919,935. Tenet Healthcare Corporation has a 1 year low of $109.82 and a 1 year high of $196.73. The business has a 50-day simple moving average of $171.97 and a 200-day simple moving average of $153.22. The company has a debt-to-equity ratio of 2.39, a current ratio of 1.71 and a quick ratio of 1.63. The stock has a market capitalization of $17.35 billion, a P/E ratio of 12.57, a PEG ratio of 0.84 and a beta of 1.55.

Tenet Healthcare (NYSE:THC - Get Free Report) last posted its earnings results on Tuesday, July 22nd. The company reported $4.02 earnings per share for the quarter, beating analysts' consensus estimates of $2.84 by $1.18. Tenet Healthcare had a return on equity of 24.69% and a net margin of 7.17%.The company had revenue of $5.27 billion for the quarter, compared to the consensus estimate of $5.16 billion. During the same quarter in the prior year, the company earned $2.31 earnings per share. Tenet Healthcare's revenue was up 3.2% on a year-over-year basis. Tenet Healthcare has set its FY 2025 guidance at 15.550-16.210 EPS. As a group, analysts forecast that Tenet Healthcare Corporation will post 12.24 EPS for the current year.

Insider Activity

In related news, EVP Lisa Y. Foo sold 8,000 shares of Tenet Healthcare stock in a transaction that occurred on Wednesday, August 20th. The stock was sold at an average price of $179.53, for a total transaction of $1,436,240.00. Following the sale, the executive vice president owned 20,878 shares of the company's stock, valued at approximately $3,748,227.34. This trade represents a 27.70% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Christopher S. Lynch sold 3,952 shares of Tenet Healthcare stock in a transaction that occurred on Tuesday, August 19th. The shares were sold at an average price of $176.39, for a total value of $697,093.28. Following the sale, the director directly owned 12,358 shares in the company, valued at $2,179,827.62. This trade represents a 24.23% decrease in their position. The disclosure for this sale can be found here. Insiders sold 11,960 shares of company stock worth $2,134,801 in the last ninety days. Corporate insiders own 0.81% of the company's stock.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on the company. Stephens upgraded Tenet Healthcare to a "strong-buy" rating in a report on Monday, June 2nd. Robert W. Baird cut their price target on Tenet Healthcare from $195.00 to $167.00 and set a "neutral" rating on the stock in a report on Friday, July 25th. Wells Fargo & Company lifted their price target on shares of Tenet Healthcare from $195.00 to $200.00 and gave the company an "overweight" rating in a research report on Thursday, August 14th. Wall Street Zen upgraded Tenet Healthcare from a "hold" rating to a "strong-buy" rating in a research note on Saturday, July 26th. Finally, Mizuho lifted their price objective on Tenet Healthcare from $184.00 to $194.00 and gave the stock an "outperform" rating in a report on Friday, July 11th. One analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $192.69.

Tenet Healthcare 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.