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Tenet Healthcare (THC) Stock Sinks As Market Gains: Here's Why
Tenet HealthTenet Health(US:THC) ZACKSยท2025-09-10 23:01

Core Viewpoint - Tenet Healthcare is expected to report strong earnings growth in its upcoming earnings report, with a projected EPS of $3.35, reflecting a 14.33% increase year-over-year, and revenue of $5.25 billion, indicating a 2.42% rise from the same quarter last year [2] Group 1: Stock Performance - In the latest trading session, Tenet Healthcare closed at $191.78, down 2.35% from the previous day, underperforming the S&P 500's daily gain of 0.3% [1] - Prior to the recent trading session, Tenet Healthcare shares had gained 15.2%, significantly outperforming the Medical sector's gain of 7.07% and the S&P 500's gain of 2.09% [1] Group 2: Earnings Estimates - For the annual period, Zacks Consensus Estimates project earnings of $15.54 per share and revenue of $21.15 billion, representing increases of 30.81% and 2.36% respectively from the previous year [3] - Recent changes to analyst estimates for Tenet Healthcare are being closely monitored, as positive revisions are seen as a favorable indicator for the business outlook [3] Group 3: Valuation Metrics - Tenet Healthcare currently has a Forward P/E ratio of 12.64, which is higher than the industry average Forward P/E of 10.77 [6] - The company has a PEG ratio of 0.86, compared to the Medical - Hospital industry's average PEG ratio of 1.08, indicating a favorable valuation relative to expected earnings growth [7] Group 4: Industry Ranking - The Medical - Hospital industry, which includes Tenet Healthcare, has a Zacks Industry Rank of 58, placing it in the top 24% of over 250 industries [7] - The Zacks Rank system, which assesses stock performance based on estimate changes, currently ranks Tenet Healthcare as 1 (Strong Buy), reflecting a strong potential for outperformance [5]