Zacks Investment Research lowered shares of Tenet Healthcare (NYSE:THC) from a buy rating to a hold rating in a research report sent to investors on Wednesday.

According to Zacks, “Shares of Tenet Healthcare gained in a year’s time, outperforming its industry's growth. Moreover, it has witnessed its 2018 earnings estimates move upward over the past 30 days. Strategic divestitures helped streamlining its core operations while accretive acquisitions are significantly strengthening its top line. Moreover, the company’s recently adopted enterprise-wide cost-reduction program is likely to favor earnings going forward. However, the company has a high level of uncollectible accounts inducing a mounting level of bad debt. Rising leverage ratio has induced a spike in interest expenses, weighing on the company’s margins. Its revenues have been declining over the last few quarters mainly due to reduced admissions, inpatient and outpatient surgeries, emergency department visits and total outpatient visits.”

A number of other equities research analysts also recently weighed in on THC. Jefferies Financial Group downgraded Tenet Healthcare from a buy rating to a hold rating and upped their target price for the stock from $28.00 to $38.00 in a research report on Friday, June 29th. ValuEngine downgraded Tenet Healthcare from a strong-buy rating to a buy rating in a research report on Wednesday, June 27th. Piper Jaffray Companies restated a hold rating and issued a $34.00 target price on shares of Tenet Healthcare in a research report on Wednesday, August 8th. Mizuho set a $36.00 target price on Tenet Healthcare and gave the stock a buy rating in a research report on Tuesday, August 7th. Finally, Citigroup upped their target price on Tenet Healthcare from $37.00 to $44.00 and gave the stock a buy rating in a research report on Monday, July 23rd. Three analysts have rated the stock with a sell rating, ten have issued a hold rating and four have assigned a buy rating to the company’s stock. The stock presently has a consensus rating of Hold and a consensus price target of $30.80.

THC opened at $25.39 on Wednesday. The company has a market capitalization of $2.91 billion, a price-to-earnings ratio of 31.89, a PEG ratio of 1.27 and a beta of 0.92. The company has a debt-to-equity ratio of 24.66, a current ratio of 1.08 and a quick ratio of 1.01. Tenet Healthcare has a 1-year low of $12.25 and a 1-year high of $39.74.

Tenet Healthcare (NYSE:THC) last released its earnings results on Monday, August 6th. The company reported $0.49 earnings per share for the quarter, topping analysts’ consensus estimates of $0.25 by $0.24. The firm had revenue of $4.51 billion during the quarter, compared to the consensus estimate of $4.57 billion. Tenet Healthcare had a positive return on equity of 38.91% and a negative net margin of 2.51%. The firm’s revenue for the quarter was down 6.2% compared to the same quarter last year. During the same period in the prior year, the firm posted ($0.17) earnings per share. On average, analysts predict that Tenet Healthcare will post 1.73 EPS for the current fiscal year.

Hedge funds and other institutional investors have recently bought and sold shares of the business. NumerixS Investment Technologies Inc bought a new position in shares of Tenet Healthcare in the second quarter valued at $166,000. Advisors Preferred LLC bought a new position in shares of Tenet Healthcare in the second quarter valued at $163,000. Assetmark Inc. increased its holdings in shares of Tenet Healthcare by 45.8% in the second quarter. Assetmark Inc. now owns 5,093 shares of the company’s stock valued at $171,000 after buying an additional 1,601 shares in the last quarter. Vident Investment Advisory LLC bought a new position in shares of Tenet Healthcare in the second quarter valued at $207,000. Finally, LMR Partners LLP bought a new position in shares of Tenet Healthcare in the second quarter valued at $234,000.

About Tenet Healthcare

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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