Tenet Healthcare (THC) Raised to “Buy” at Zacks Investment Research
Zacks Investment Research upgraded shares of Tenet Healthcare (NYSE:THC) from a hold rating to a buy rating in a research note issued to investors on Monday morning. Zacks Investment Research currently has $38.00 target price on the stock.
According to Zacks, “Shares of Tenet Healthcare have soared compared to the industry year to date. Strategic divestitures helped streamlining its core operations while accretive acquisitions are significantly strengthening its top line. Moreover, the company’s recently taken enterprise-wide cost-reduction program is likely to favor earnings going forward. Following a solid first quarter results, Tenet Healthcare has raised its 2018 guidance. Tenet’s first-quarter earnings per share beat estimates and reversed the year-ago loss on strong performances across all its segments. The Zacks Consensus Estimate for 2018 and 2019 has been revised upward in the last 30 days. However, the company has a high level of uncollectible accounts leading to a mounting level of bad debt. Rising leverage ratio has induced a spike in interest expenses, weighing on the company’s margins. Tenet Healthcare has also been suffering lower revenues over the past many quarters.”
Other equities analysts also recently issued research reports about the stock. Jefferies Group set a $23.00 target price on shares of Tenet Healthcare and gave the stock a buy rating in a research note on Tuesday, February 27th. ValuEngine upgraded shares of Tenet Healthcare from a hold rating to a buy rating in a research note on Thursday, March 1st. Citigroup lifted their target price on shares of Tenet Healthcare from $19.00 to $27.00 and gave the stock a buy rating in a research note on Thursday, March 1st. Mizuho reiterated a buy rating and issued a $29.00 target price on shares of Tenet Healthcare in a research note on Thursday, March 22nd. Finally, TheStreet upgraded shares of Tenet Healthcare from a d+ rating to a c rating in a research note on Tuesday, March 13th. Three analysts have rated the stock with a sell rating, seven have assigned a hold rating and nine have assigned a buy rating to the company’s stock. Tenet Healthcare has an average rating of Hold and an average target price of $26.69.
Tenet Healthcare (NYSE:THC) last posted its earnings results on Monday, April 30th. The company reported $0.57 earnings per share for the quarter, topping the consensus estimate of ($0.04) by $0.61. The firm had revenue of $4.70 billion during the quarter, compared to the consensus estimate of $4.56 billion. Tenet Healthcare had a negative net margin of 2.90% and a positive return on equity of 23.13%. The company’s revenue was down 2.4% on a year-over-year basis. During the same quarter last year, the company earned ($0.27) earnings per share. equities research analysts anticipate that Tenet Healthcare will post 1.54 EPS for the current fiscal year.
In other news, Director Ashish Dave sold 75,000 shares of the firm’s stock in a transaction that occurred on Friday, March 9th. The shares were sold at an average price of $1.40, for a total value of $105,000.00. 1.20% of the stock is currently owned by company insiders.
Institutional investors have recently made changes to their positions in the business. Folger Hill Asset Management LP bought a new stake in Tenet Healthcare during the fourth quarter valued at approximately $1,137,000. Gotham Asset Management LLC lifted its position in Tenet Healthcare by 446.4% during the fourth quarter. Gotham Asset Management LLC now owns 439,274 shares of the company’s stock valued at $6,659,000 after purchasing an additional 358,885 shares during the last quarter. Millennium Management LLC bought a new stake in Tenet Healthcare during the fourth quarter valued at approximately $22,655,000. MetLife Investment Advisors LLC bought a new stake in Tenet Healthcare during the fourth quarter valued at approximately $1,358,000. Finally, California Public Employees Retirement System lifted its position in Tenet Healthcare by 6.3% during the fourth quarter. California Public Employees Retirement System now owns 965,955 shares of the company’s stock valued at $14,644,000 after purchasing an additional 56,838 shares during the last quarter.
Tenet Healthcare Company Profile
Tenet Healthcare Corporation operates as a diversified healthcare services company. It operates in three segments: Hospital Operations and Other, Ambulatory Care, and Conifer. The company's general hospitals offer acute care services, operating and recovery rooms, radiology and respiratory therapy services, clinical laboratories, and pharmacies.
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