Tenet Healthcare (NYSE:THC) Sets New 1-Year High - Still a Buy?

Key Points

• Tenet Healthcare reached a new 52-week high of $265.83, with shares last trading at $265.58. Analysts remain broadly bullish, with 17 Buy ratings, three Holds, and a consensus price target of $272.25.
• The company significantly exceeded quarterly expectations, reporting $6.12 in EPS versus the $4.26 consensus and $6.04 billion in revenue, up 6.8% year over year. Fiscal 2026 EPS guidance is $20.30–$21.69, compared with analysts’ $21.09 estimate.
• Insiders sold 41,375 shares worth approximately $9.8 million over the past 90 days, while institutional investors own 95.44% of the stock and several firms recently initiated or increased positions.

Shares of Tenet Healthcare Corporation (NYSE:THC - Get Free Report) reached a new 52-week high during trading on Wednesday . The stock traded as high as $265.83 and last traded at $265.58, with a volume of 169186 shares changing hands. The stock had previously closed at $259.45.

Wall Street Analysts Forecast Growth

Several analysts have weighed in on the company. Wall Street Zen upgraded Tenet Healthcare from a "buy" rating to a "strong-buy" rating in a research report on Monday, August 3rd. Wells Fargo & Company lifted their price objective on Tenet Healthcare from $231.00 to $281.00 and gave the stock an "overweight" rating in a research report on Monday, August 3rd. Weiss Ratings downgraded Tenet Healthcare from a "buy (b-)" rating to a "hold (c+)" rating in a report on Tuesday, June 2nd. Royal Bank Of Canada raised their price target on Tenet Healthcare from $236.00 to $283.00 and gave the stock an "outperform" rating in a research note on Monday, July 27th. Finally, Guggenheim raised their target price on shares of Tenet Healthcare from $242.00 to $283.00 and gave the stock a "buy" rating in a research report on Tuesday, July 28th. Seventeen equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, Tenet Healthcare has an average rating of "Moderate Buy" and a consensus price target of $272.25.

Tenet Healthcare Price Performance

The firm has a fifty day moving average price of $203.92 and a two-hundred day moving average price of $202.38. The stock has a market capitalization of $21.44 billion, a P/E ratio of 10.27, a P/E/G ratio of 0.99 and a beta of 1.23. The company has a quick ratio of 1.35, a current ratio of 1.41 and a debt-to-equity ratio of 2.00.

Tenet Healthcare (NYSE:THC - Get Free Report) last posted its quarterly earnings results on Thursday, July 23rd. The company reported $6.12 EPS for the quarter, beating analysts' consensus estimates of $4.26 by $1.86. Tenet Healthcare had a net margin of 10.27% and a return on equity of 26.76%. The firm had revenue of $6.04 billion for the quarter, compared to analysts' expectations of $5.43 billion. During the same quarter in the prior year, the company posted $4.02 earnings per share. The business's revenue for the quarter was up 6.8% on a year-over-year basis. Tenet Healthcare has set its FY 2026 guidance at 20.300-21.690 EPS. On average, analysts expect that Tenet Healthcare Corporation will post 21.09 EPS for the current year.

Insider Buying and Selling at Tenet Healthcare

In other news, Director Tammy Romo sold 4,922 shares of the firm's stock in a transaction on Thursday, August 6th. The stock was sold at an average price of $264.15, for a total value of $1,300,146.30. Following the transaction, the director directly owned 30,784 shares in the company, valued at $8,131,593.60. This trade represents a 13.78% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, EVP Lisa Y. Foo sold 10,000 shares of Tenet Healthcare stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $258.03, for a total transaction of $2,580,300.00. Following the sale, the executive vice president owned 32,053 shares in the company, valued at approximately $8,270,635.59. The trade was a 23.78% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 41,375 shares of company stock worth $9,793,347. 0.97% of the stock is owned by company insiders.

Institutional Investors Weigh In On Tenet Healthcare

Large investors have recently made changes to their positions in the company. Westport Asset Management Inc. purchased a new stake in shares of Tenet Healthcare in the second quarter worth about $187,000. Foster & Motley Inc. purchased a new position in Tenet Healthcare during the 2nd quarter valued at approximately $1,628,000. Trust Co. of Vermont bought a new stake in Tenet Healthcare in the 2nd quarter worth approximately $37,000. Bank of New York Mellon Corp purchased a new stake in shares of Tenet Healthcare during the 2nd quarter worth approximately $106,342,000. Finally, Wedge Capital Management L L P NC grew its holdings in shares of Tenet Healthcare by 37.6% in the second quarter. Wedge Capital Management L L P NC now owns 221,453 shares of the company's stock valued at $41,429,000 after purchasing an additional 60,478 shares in the last quarter. 95.44% of the stock is owned by institutional investors.

About Tenet Healthcare

Tenet Healthcare Corporation NYSE: THC is a diversified American healthcare services company that owns and operates acute care hospitals and a broad range of outpatient facilities. Its portfolio includes general acute-care hospitals, specialty hospitals, ambulatory surgery centers, urgent care and diagnostic imaging centers, and other ancillary service locations. Tenet's operations are oriented around delivering inpatient and outpatient clinical care across multiple medical specialties, with an emphasis on surgical services, emergency care, and advanced diagnostics.

In addition to facility-based care, Tenet provides integrated services designed to support clinical operations and improve patient access and care coordination.

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