Tenet Healthcare Corporation operates as a diversified healthcare services company. More Details
Good value with acceptable track record.
Share Price & News
How has Tenet Healthcare's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: THC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: THC's weekly volatility (6%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: THC exceeded the US Healthcare industry which returned 44.2% over the past year.
Return vs Market: THC exceeded the US Market which returned 51.8% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Tenet Healthcare's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StWe Think Some Shareholders May Hesitate To Increase Tenet Healthcare Corporation's (NYSE:THC) CEO Compensation
1 month ago | Simply Wall StHere's Why Tenet Healthcare (NYSE:THC) Is Weighed Down By Its Debt Load
2 months ago | Simply Wall StWe Like Tenet Healthcare's (NYSE:THC) Earnings For More Than Just Statutory Profit
Is Tenet Healthcare undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: THC ($65.41) is trading below our estimate of fair value ($165.23)
Significantly Below Fair Value: THC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: THC is good value based on its PE Ratio (17.2x) compared to the US Healthcare industry average (23.3x).
PE vs Market: THC is good value based on its PE Ratio (17.2x) compared to the US market (20.2x).
Price to Earnings Growth Ratio
PEG Ratio: THC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: THC is overvalued based on its PB Ratio (56.7x) compared to the US Healthcare industry average (3.5x).
How is Tenet Healthcare forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: THC's earnings are forecast to decline over the next 3 years (-5.5% per year).
Earnings vs Market: THC's earnings are forecast to decline over the next 3 years (-5.5% per year).
High Growth Earnings: THC's earnings are forecast to decline over the next 3 years.
Revenue vs Market: THC's revenue (4.9% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: THC's revenue (4.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: THC's Return on Equity is forecast to be very high in 3 years time (200.3%).
How has Tenet Healthcare performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: THC has high quality earnings.
Growing Profit Margin: THC became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: THC has become profitable over the past 5 years, growing earnings by 41% per year.
Accelerating Growth: THC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: THC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Healthcare industry (39.8%).
Return on Equity
High ROE: Whilst THC's Return on Equity (27.59%) is high, this metric is skewed due to their high level of debt.
How is Tenet Healthcare's financial position?
Financial Position Analysis
Short Term Liabilities: THC's short term assets ($6.7B) exceed its short term liabilities ($4.9B).
Long Term Liabilities: THC's short term assets ($6.7B) do not cover its long term liabilities ($18.6B).
Debt to Equity History and Analysis
Debt Level: THC's debt to equity ratio (483.4%) is considered high.
Reducing Debt: THC's debt to equity ratio has increased from 438.9% to 483.4% over the past 5 years.
Debt Coverage: THC's debt is well covered by operating cash flow (26.2%).
Interest Coverage: THC's interest payments on its debt are not well covered by EBIT (1.7x coverage).
What is Tenet Healthcare current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate THC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate THC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if THC's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if THC's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of THC's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Ron Rittenmeyer (73 yo)
Mr. Ronald A. Rittenmeyer, also known as Ron, has been an Independent Director of IQVIA Holdings Inc. since October 2016. He served as Director of IMS Health from April 2010 to October 2016. He has been Ex...
CEO Compensation Analysis
Compensation vs Market: Ron's total compensation ($USD16.68M) is above average for companies of similar size in the US market ($USD6.50M).
Compensation vs Earnings: Ron's compensation has been consistent with company performance over the past year.
Experienced Management: THC's management team is considered experienced (3 years average tenure).
Experienced Board: THC's board of directors are considered experienced (3.5 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Tenet Healthcare Corporation's company bio, employee growth, exchange listings and data sources
- Name: Tenet Healthcare Corporation
- Ticker: THC
- Exchange: NYSE
- Founded: 1975
- Industry: Health Care Facilities
- Sector: Healthcare
- Market Cap: US$6.848b
- Shares outstanding: 106.79m
- Website: https://www.tenethealth.com
Number of Employees
- Tenet Healthcare Corporation
- 14201 Dallas Parkway
- United States
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 hospital...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/05/07 03:32|
|End of Day Share Price||2021/05/06 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.