Group 1 - Community Health Systems, Inc. (CYH) is experiencing significant activity in the options market, particularly with the Dec 19, 2025 $1.00 Call showing high implied volatility, indicating potential for a major price movement [1] - Implied volatility reflects market expectations for future stock movement, suggesting that investors anticipate a significant event that could lead to a substantial rally or sell-off [2] - Currently, Community Health Systems holds a Zacks Rank 3 (Hold) in the Medical - Hospital industry, which is in the top 40% of the Zacks Industry Rank, but analysts have revised earnings estimates downward, leading to a consensus estimate shift from earnings of 6 cents per share to a loss of 32 cents [3] Group 2 - The high implied volatility surrounding Community Health Systems may indicate a trading opportunity, as options traders often seek to sell premium on such options, hoping the stock does not move as much as expected by expiration [4]

Core Insights - Acadia Healthcare reported quarterly earnings of $0.72 per share, exceeding the Zacks Consensus Estimate of $0.67 per share, but down from $0.91 per share a year ago [1] - The company achieved a revenue of $851.57 million for the quarter, surpassing the Zacks Consensus Estimate by 0.37% and up from $815.63 million year-over-year [3] Earnings Performance - The earnings surprise for the quarter was +7.46%, following a previous quarter where the company had a surprise of +16.9% [2] - Over the last four quarters, Acadia Healthcare has exceeded consensus EPS estimates three times [2] Stock Performance - Acadia Healthcare shares have declined approximately 47.9% year-to-date, contrasting with the S&P 500's gain of 15.1% [4] - The stock currently holds a Zacks Rank 4 (Sell), indicating expectations of underperformance in the near future [7] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.64 on revenues of $826.88 million, and for the current fiscal year, it is $2.46 on revenues of $3.31 billion [8] - The outlook for the Medical - Hospital industry is favorable, ranking in the top 20% of over 250 Zacks industries, which historically outperforms the bottom 50% by more than 2 to 1 [9]

Core Insights - Universal Health Services (UHS) reported quarterly earnings of $5.69 per share, exceeding the Zacks Consensus Estimate of $4.66 per share, and showing a year-over-year increase from $3.71 per share, resulting in an earnings surprise of +22.10% [1] - The company achieved revenues of $4.5 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 4.23% and increasing from $3.96 billion year-over-year [2] - UHS shares have increased approximately 17.4% year-to-date, outperforming the S&P 500's gain of 15.5% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $5.75, with expected revenues of $4.48 billion, and for the current fiscal year, the EPS estimate is $20.58 on revenues of $17.17 billion [7] - The estimate revisions trend for UHS was favorable prior to the earnings release, contributing to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Medical - Hospital industry, to which UHS belongs, is currently ranked in the top 39% of over 250 Zacks industries, suggesting that stocks in the top 50% outperform those in the bottom 50% by more than 2 to 1 [8] - Tenet Healthcare, another company in the same industry, is expected to report quarterly earnings of $3.33 per share, reflecting a year-over-year change of +13.7% [9]

Core Viewpoint - Tenet Healthcare (THC) has shown strong stock performance recently, with an 8.1% return over the past month, outperforming the S&P 500's 2.7% and the Zacks Medical - Hospital industry's 4.3% [1] Earnings Estimates - Tenet is expected to report earnings of $3.35 per share for the current quarter, reflecting a year-over-year increase of 14.3% [4] - The consensus earnings estimate for the current fiscal year is $15.54, indicating a year-over-year change of 30.8% [4] - For the next fiscal year, the consensus estimate is $15.96, showing a 2.7% increase from the previous year [5] Revenue Growth - The consensus sales estimate for the current quarter is $5.25 billion, representing a year-over-year change of 2.4% [10] - Estimated revenues for the current and next fiscal years are $21.15 billion and $22.14 billion, indicating changes of 2.4% and 4.6%, respectively [10] Recent Performance - In the last reported quarter, Tenet achieved revenues of $5.27 billion, a year-over-year increase of 3.3% [11] - The EPS for the same period was $4.02, compared to $2.31 a year ago, with a revenue surprise of 2.42% and an EPS surprise of 41.55% [11][12] Valuation - Tenet is graded A in the Zacks Value Style Score, indicating it is trading at a discount compared to its peers [16] - The evaluation of valuation multiples such as P/E, P/S, and P/CF suggests that Tenet's stock is fairly valued or undervalued relative to its historical values and peers [14][15] Conclusion - The Zacks Rank 2 for Tenet suggests potential outperformance in the near term, supported by strong earnings and revenue growth projections [17]

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]

Company Overview - Arcutis Biotherapeutics, Inc. (ARQT) is part of the Medical group, which consists of 979 companies and is currently ranked 8 in the Zacks Sector Rank [2] - The company is categorized under the Medical - Biomedical and Genetics industry, which includes 489 stocks and is ranked 147 in the Zacks Industry Rank [6] Performance Metrics - Year-to-date, Arcutis Biotherapeutics has gained approximately 6%, while the average return for Medical companies is -7.4%, indicating that ARQT is outperforming its peers [4] - The Zacks Consensus Estimate for ARQT's full-year earnings has increased by 25.7% over the past quarter, reflecting improved analyst sentiment and a stronger earnings outlook [4] Zacks Rank - Arcutis Biotherapeutics currently holds a Zacks Rank of 2 (Buy), which emphasizes its potential for improving earnings outlooks [3] - In comparison, another Medical stock, Tenet Healthcare (THC), has a Zacks Rank of 1 (Strong Buy) and has returned 31.2% year-to-date [5]

Core Insights - HCA Healthcare reported quarterly earnings of $6.84 per share, exceeding the Zacks Consensus Estimate of $6.19 per share, and up from $5.5 per share a year ago, representing an earnings surprise of +10.50% [1] - The company generated revenues of $18.61 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 0.68% and increasing from $17.49 billion year-over-year [2] - HCA shares have appreciated approximately 13.8% year-to-date, outperforming the S&P 500's gain of 8.2% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $5.52 on revenues of $18.45 billion, while for the current fiscal year, the estimate is $25.30 on revenues of $74.62 billion [7] - The estimate revisions trend for HCA was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Medical - Hospital industry, to which HCA belongs, is currently ranked in the top 22% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - Another competitor in the same industry, Universal Health Services, is expected to report quarterly earnings of $4.85 per share, reflecting a year-over-year increase of +12.5% [9]

Core Viewpoint - Tenet Healthcare (THC) has seen a 15.2% increase in shares over the past month, outperforming the S&P 500, raising questions about the sustainability of this trend leading up to the next earnings release [1] Estimates Movement - Estimates for Tenet Healthcare have trended upward in the past month, with a consensus estimate shift of 5.78% [2] VGM Scores - Tenet has a Growth Score of B, a Momentum Score of F, and a Value Score of A, placing it in the top 20% for the value investment strategy, resulting in an aggregate VGM Score of A [3] Outlook - The upward trend in estimates and the magnitude of revisions suggest a positive outlook for Tenet, reflected in a Zacks Rank 2 (Buy), indicating expectations for above-average returns in the coming months [4] Industry Performance - Tenet operates within the Zacks Medical - Hospital industry, where Universal Health Services (UHS) has gained 7.5% over the past month, reporting revenues of $4.1 billion with a year-over-year change of +6.7% and an EPS of $4.84 compared to $3.70 a year ago [5] Earnings Expectations for Industry Player - Universal Health Services is projected to post earnings of $4.89 per share for the current quarter, reflecting a year-over-year change of +13.5%, with a Zacks Consensus Estimate change of +1% over the last 30 days, resulting in a Zacks Rank 3 (Hold) [6]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Summary: Tenet Healthcare (THC) - Tenet Healthcare currently holds a Momentum Style Score of B, indicating a positive momentum outlook [2] - The company has a Zacks Rank of 2 (Buy), suggesting strong potential for outperformance in the market [3] - Over the past week, THC shares increased by 11.18%, outperforming the Zacks Medical - Hospital industry, which rose by 9.56% [5] - In a longer timeframe, THC shares have appreciated by 34.51% over the past month, compared to the industry's 13.64% [5] - Over the last quarter, THC shares rose by 23.59%, and over the past year, they gained 24.85%, while the S&P 500 saw movements of -2.56% and 11.12%, respectively [6] - The average 20-day trading volume for THC is 1,609,941 shares, indicating a bullish trend as the stock is rising with above-average volume [7] Earnings Outlook - In the past two months, 8 earnings estimates for THC have been revised upwards, while none have been revised downwards, increasing the consensus estimate from $12.12 to $12.69 [9] - For the next fiscal year, 4 estimates have moved up, while 3 have been revised down [9] Conclusion - Considering the positive momentum indicators and earnings outlook, Tenet Healthcare is positioned as a 2 (Buy) stock with a Momentum Score of B, making it a strong candidate for near-term investment [11]

Group 1 - Acadia Healthcare Company, Inc. (ACHC) is experiencing significant attention from investors due to high implied volatility in its options market, particularly the Jun 20, 2025 $65 Call option [1] - Implied volatility indicates the market's expectation of future price movement, suggesting that investors anticipate a substantial price change or an upcoming event that could trigger a rally or sell-off [2] - Acadia Healthcare currently holds a Zacks Rank 3 (Hold) in the Medical - Hospital industry, which is in the top 35% of the Zacks Industry Rank, but analysts have not increased earnings estimates for the current quarter, with a consensus estimate dropping from 77 cents to 71 cents per share [3] Group 2 - The high implied volatility surrounding Acadia Healthcare may indicate a developing trading opportunity, as options traders often seek to sell premium on options with high implied volatility to capture decay [4]