Tenet Healthcare Corporation (NYSE:THC) Sees Significant Decline in Short Interest

Key Points

• Tenet Healthcare Corporation (NYSE:THC) experienced a significant decline in short interest, with a decrease of 22.7% in August, reducing total short interest to 2,390,000 shares.
• The company reported a strong quarterly earnings performance, achieving $4.02 EPS which exceeded analysts' expectations by $1.18 and marked a 3.2% year-over-year revenue increase.
• Several analysts have raised their price targets for Tenet Healthcare, with a consensus target now averaging $192.69 following upgrades from firms like Wells Fargo and Truist Financial.

Tenet Healthcare Corporation (NYSE:THC - Get Free Report) was the recipient of a large decline in short interest in the month of August. As of August 15th, there was short interest totaling 2,390,000 shares, adeclineof22.7% from the July 31st total of 3,090,000 shares. Currently,2.7% of the shares of the company are short sold. Based on an average daily volume of 1,530,000 shares, the short-interest ratio is presently 1.6 days. Based on an average daily volume of 1,530,000 shares, the short-interest ratio is presently 1.6 days. Currently,2.7% of the shares of the company are short sold.

Tenet Healthcare Price Performance

Shares of NYSE:THC opened at $192.50 on Tuesday. The company has a market capitalization of $17.01 billion, a P/E ratio of 12.32, a price-to-earnings-growth ratio of 0.84 and a beta of 1.55. The company has a debt-to-equity ratio of 2.39, a quick ratio of 1.63 and a current ratio of 1.71. Tenet Healthcare has a fifty-two week low of $109.82 and a fifty-two week high of $196.73. The company's 50-day moving average is $172.29 and its 200 day moving average is $153.66.

Tenet Healthcare (NYSE:THC - Get Free Report) last posted its quarterly earnings results on Tuesday, July 22nd. The company reported $4.02 EPS for the quarter, topping analysts' consensus estimates of $2.84 by $1.18. Tenet Healthcare had a net margin of 7.17% and a return on equity of 24.69%. The company had revenue of $5.27 billion for the quarter, compared to analysts' expectations of $5.16 billion. During the same quarter in the previous year, the firm posted $2.31 EPS. 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. On average, equities research analysts forecast that Tenet Healthcare will post 12.24 earnings per share for the current year.

Analysts Set New Price Targets

Several research analysts have recently issued reports on the company. Wells Fargo & Company upped their price objective on Tenet Healthcare from $195.00 to $200.00 and gave the company an "overweight" rating in a research note on Thursday, August 14th. Raymond James Financial reiterated an "outperform" rating and set a $200.00 target price (up previously from $185.00) on shares of Tenet Healthcare in a research report on Wednesday, July 23rd. Truist Financial lifted their price target on shares of Tenet Healthcare from $190.00 to $205.00 and gave the company a "buy" rating in a research note on Wednesday, July 16th. JPMorgan Chase & Co. boosted their price objective on Tenet Healthcare from $190.00 to $200.00 and gave the company an "overweight" rating in a report on Monday, August 4th. Finally, Mizuho upped their price objective on shares of Tenet Healthcare from $184.00 to $194.00 and gave the stock an "outperform" rating in a report on Friday, July 11th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and four have issued a Hold rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $192.69.

Insider Transactions at Tenet Healthcare

In other news, EVP Lisa Y. Foo sold 8,000 shares of Tenet Healthcare stock in a transaction on Wednesday, August 20th. The stock was sold at an average price of $179.53, for a total value of $1,436,240.00. Following the transaction, the executive vice president owned 20,878 shares in the company, 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 SEC, which is accessible through this hyperlink. Also, Director Christopher S. Lynch sold 3,952 shares of the firm's stock in a transaction dated Tuesday, August 19th. The shares were sold at an average price of $176.39, for a total value of $697,093.28. Following the completion of 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 ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 11,960 shares of company stock worth $2,134,801 over the last quarter. Corporate insiders own 0.81% of the company's stock.

Institutional Investors Weigh In On Tenet Healthcare

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Loring Wolcott & Coolidge Fiduciary Advisors LLP MA bought a new position in Tenet Healthcare during the first quarter worth about $26,000. Chung Wu Investment Group LLC bought a new stake in Tenet Healthcare during the 2nd quarter valued at $35,000. Canada Pension Plan Investment Board purchased a new position in shares of Tenet Healthcare in the second quarter valued at $35,000. Wayfinding Financial LLC purchased a new stake in Tenet Healthcare during the 1st quarter worth about $28,000. Finally, SVB Wealth LLC purchased a new position in Tenet Healthcare during the 1st quarter valued at about $30,000. 95.44% of the stock is currently owned by institutional investors.

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.

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