Zacks Investment Research upgraded shares of Tenet Healthcare (NYSE:THC) from a hold rating to a buy rating in a report issued on Thursday morning, Zacks.com reports. Zacks Investment Research currently has $35.00 target price on the stock.
According to Zacks, “Tenet Healthcare's shares have outperformed its industry year to date. Its strategic divestitures have helped to streamline the business by focusing on core operations and pay down debt. Given its restructuring plans, we expect the company to lower its debt level further. Accretive acquisitions are significantly strengthening its top line. Its cost-reduction program, comprising of headcount reductions and renegotiation of contracts with suppliers is likely to favor earnings going forward. Its third-quarter 2019 adjusted net income of 58 cents per share beat the Zacks Consensus Estimate by 107.1% and also shot up 100% year over year on the back of volume growth and better revenues. However, its revenues have been declining over the last few quarters, which bothers the company. Its cash flow has been deteriorating over the last many quarters.”
A number of other analysts also recently issued reports on the stock. Goldman Sachs Group began coverage on shares of Tenet Healthcare in a report on Wednesday, August 14th. They set a neutral rating and a $28.00 price target on the stock. Royal Bank of Canada reaffirmed a hold rating and set a $26.00 price target on shares of Tenet Healthcare in a report on Sunday, August 11th. Credit Suisse Group raised shares of Tenet Healthcare from a neutral rating to an outperform rating and raised their price target for the company from $25.00 to $36.00 in a report on Wednesday, November 6th. Mizuho reissued a buy rating on shares of Tenet Healthcare in a report on Thursday, November 7th. Finally, SunTrust Banks raised their price objective on shares of Tenet Healthcare from $24.00 to $31.00 and gave the stock a hold rating in a report on Wednesday, November 6th. One research analyst has rated the stock with a sell rating, eight have assigned a hold rating and five have issued a buy rating to the stock. The company has a consensus rating of Hold and a consensus price target of $30.77.
Shares of NYSE THC opened at $32.20 on Thursday. The firm’s 50-day moving average price is $27.51 and its 200-day moving average price is $22.74. The company has a quick ratio of 1.14, a current ratio of 1.22 and a debt-to-equity ratio of 30.38. The company has a market cap of $3.44 billion, a PE ratio of 15.10, a PEG ratio of 0.80 and a beta of 1.66. Tenet Healthcare has a 52-week low of $16.60 and a 52-week high of $33.08.
Tenet Healthcare (NYSE:THC) last announced its quarterly earnings results on Monday, November 4th. The company reported $0.58 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.28 by $0.30. The firm had revenue of $4.57 billion for the quarter, compared to the consensus estimate of $4.46 billion. Tenet Healthcare had a negative net margin of 1.31% and a positive return on equity of 35.68%. The business’s quarterly revenue was up 1.8% compared to the same quarter last year. During the same quarter last year, the firm posted $0.29 EPS. As a group, equities research analysts anticipate that Tenet Healthcare will post 2.66 EPS for the current fiscal year.
In other Tenet Healthcare news, major shareholder Glenview Capital Management, L acquired 221,875 shares of the company’s stock in a transaction that occurred on Wednesday, October 2nd. The shares were bought at an average price of $20.50 per share, with a total value of $4,548,437.50. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Audrey T. Andrews sold 65,360 shares of the firm’s stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $30.59, for a total transaction of $1,999,362.40. Following the sale, the executive vice president now owns 56,602 shares in the company, valued at approximately $1,731,455.18. The disclosure for this sale can be found here. Company insiders own 1.50% of the company’s stock.
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. BlackRock Inc. raised its stake in Tenet Healthcare by 9.8% during the 2nd quarter. BlackRock Inc. now owns 11,069,966 shares of the company’s stock worth $228,706,000 after acquiring an additional 988,993 shares during the period. State Street Corp raised its stake in Tenet Healthcare by 6.1% during the 3rd quarter. State Street Corp now owns 3,415,339 shares of the company’s stock worth $75,547,000 after acquiring an additional 195,206 shares during the period. Camber Capital Management LP raised its stake in Tenet Healthcare by 42.9% during the 2nd quarter. Camber Capital Management LP now owns 2,500,000 shares of the company’s stock worth $51,650,000 after acquiring an additional 750,000 shares during the period. Letko Brosseau & Associates Inc. raised its stake in Tenet Healthcare by 18.8% during the 3rd quarter. Letko Brosseau & Associates Inc. now owns 2,476,785 shares of the company’s stock worth $54,786,000 after acquiring an additional 391,475 shares during the period. Finally, FMR LLC raised its stake in Tenet Healthcare by 13.7% during the 1st quarter. FMR LLC now owns 1,785,117 shares of the company’s stock worth $51,483,000 after acquiring an additional 215,600 shares during the period. Institutional investors own 99.16% of the company’s stock.
About Tenet Healthcare
Tenet Healthcare Corporation operates as a diversified healthcare services company. The company operates in three segments: Hospital Operations and Other, Ambulatory Care, and Conifer. Its general hospitals offer acute care services, operating and recovery rooms, radiology and respiratory therapy services, clinical laboratories, and pharmacies.
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