
Tenet Healthcare (THC) Stock Forecast & Price Target
Tenet Healthcare (THC) Analyst Ratings
Bulls say
Tenet Healthcare has demonstrated strong financial performance, highlighted by an impressive +19.3% year-over-year growth in same-facility ambulatory surgery center (ASC) total joints and a solid +21.0% year-over-year revenue increase in the ambulatory segment, amounting to $1.14 billion. The company's focus on higher margin volume has resulted in a commendable 3.3% growth in revenue per adjusted admission for its hospital segment, indicating effective capacity expansion and service line enhancements. Management anticipates sustained demand and growth, driven by pricing strategies, operational efficiencies, and beneficial partnerships, positioning Tenet for continued financial success.
Bears say
Tenet Healthcare faces significant headwinds, with projected EBITDA expected to be 5% lower than estimates due to higher than anticipated professional fees and labor costs, alongside revenue expectations slipping to a range of $5.007 billion to $5.207 billion as a result of recent hospital divestitures. The company’s EBITDA leverage ratio is also concerning, decreasing from 5.6x in 2018 to 2.5x in 2024, indicating increasing financial strain. Additionally, ongoing reimbursement risks, geographic concentration, and a leveraged balance sheet contribute to a wary outlook on the company's operational stability and growth prospects in the context of potential economic downturn and policy uncertainty.
This aggregate rating is based on analysts' research of Tenet Healthcare and is not a guaranteed prediction by Public.com or investment advice.
Tenet Healthcare (THC) Analyst Forecast & Price Prediction
Start investing in Tenet Healthcare (THC)
Order type
Buy in
Order amount
Est. shares
0 shares