Tenet Healthcare (NYSE:THC) Downgraded by Zacks Research to "Hold"

Key Points

• Tenet Healthcare was downgraded by Zacks Research from a "strong-buy" rating to a "hold" rating according to a recent report.
• Several brokerages have adjusted their target prices for Tenet, with Robert W. Baird lowering it to $167 and Guggenheim increasing it to $188, reflecting a mixed outlook on the stock.
• The company's stock has shown strong earnings performance, reporting $4.02 EPS in its latest quarter, which exceeded analyst expectations.

Tenet Healthcare (NYSE:THC - Get Free Report) was downgraded by equities research analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a research report issued to clients and investors on Monday,Zacks.com reports.

Several other brokerages have also recently issued reports on THC. Robert W. Baird decreased their target price on shares of Tenet Healthcare from $195.00 to $167.00 and set a "neutral" rating for the company in a report on Friday, July 25th. Guggenheim lifted their target price on shares of Tenet Healthcare from $180.00 to $188.00 and gave the stock a "buy" rating in a report on Wednesday, July 23rd. Mizuho lifted their target price 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. Barclays lifted their price target on shares of Tenet Healthcare from $208.00 to $229.00 and gave the stock an "overweight" rating in a research note on Thursday, September 18th. Finally, Weiss Ratings reiterated a "hold (c+)" rating on shares of Tenet Healthcare in a research note on Saturday, September 27th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and six have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, Tenet Healthcare has a consensus rating of "Moderate Buy" and an average target price of $199.19.

Tenet Healthcare Trading Up 2.4%

Shares of NYSE THC opened at $204.53 on Monday. Tenet Healthcare has a 1 year low of $109.82 and a 1 year high of $207.14. The stock has a market cap of $18.07 billion, a P/E ratio of 13.09, a price-to-earnings-growth ratio of 0.85 and a beta of 1.52. The firm has a 50-day moving average of $183.68 and a 200 day moving average of $163.55. The company has a debt-to-equity ratio of 2.39, a current ratio of 1.71 and a quick ratio of 1.63.

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

Insider Activity at Tenet Healthcare

In related news, Director Christopher S. Lynch sold 3,952 shares of the business's stock in a transaction that occurred on Tuesday, August 19th. The shares were sold at an average price of $176.39, for a total transaction of $697,093.28. Following the completion of the sale, the director directly owned 12,358 shares in the company, valued at approximately $2,179,827.62. The trade was a 24.23% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, EVP Lisa Y. Foo sold 8,000 shares of the business's stock in a transaction that occurred on Wednesday, August 20th. The shares were 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 $3,748,227.34. This trade represents a 27.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 90,722 shares of company stock worth $17,161,015. 0.81% of the stock is owned by company insiders.

Hedge Funds Weigh In On Tenet Healthcare

Several institutional investors have recently bought and sold shares of THC. Loring Wolcott & Coolidge Fiduciary Advisors LLP MA bought a new position in Tenet Healthcare during the first quarter valued at $26,000. Wayfinding Financial LLC bought a new position in Tenet Healthcare during the first quarter valued at $28,000. SVB Wealth LLC bought a new position in Tenet Healthcare during the first quarter valued at $30,000. N.E.W. Advisory Services LLC bought a new position in Tenet Healthcare during the first quarter valued at $31,000. Finally, Brooklyn Investment Group lifted its position in Tenet Healthcare by 908.7% during the first quarter. Brooklyn Investment Group now owns 232 shares of the company's stock valued at $31,000 after purchasing an additional 209 shares during the last quarter. Institutional investors own 95.44% 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.

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