Tenet Healthcare Corporation
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Range $242 – $308
Price Chart
About the company
Tenet Healthcare Corporation operates as a broad-ranging provider of health solutions. The company organizes its operations across three main divisions: Hospital Operations and Other, Ambulatory Care, and Conifer. Within its network of acute care facilities, Tenet delivers a full spectrum of essential services.
- CEO
- Saumya Sutaria
- IPO
- 1980
- Employees
- 88,500
- HQ
- Dallas, TX, US
AI snapshot
Six angles, distilled from the data.
The stock is still in a larger uptrend, trading above its 200-day average of 213.48 and well above the 52-week low of 157.58. The intermediate trend has cooled after running below the 50-day average of 261.73, leaving a constructive but no longer extended setup near the upper half of the yearly range.
Wall Street stays constructive, with a Buy consensus and an average target around 284.64, above the recent close. Recent calls have been mixed at the margin, including a BMO initiation at Market Perform and several reaffirmations or target raises, which points to steady but not euphoric sentiment.
The earnings profile remains strong: Tenet has beaten estimates in 7 of the last 7 reported quarters, including a 50.0% upside surprise in July. Next-year EPS is still modeled at 21.08 versus 25.86 TTM, so shareholders should watch whether margin discipline can offset the tougher comparison.
Recent insider activity leans heavily toward selling, with 14 sales and no buys. The largest cluster came from the CEO and several directors in late August and September, while the lone gift is not a market signal. The pattern suggests management has been reducing exposure rather than adding.
Profitability is solid, with a 41.7% gross margin, 18.16% operating margin, and 10.27% net margin. Growth remains healthy at 6.8% revenue growth and 213.4% earnings growth year over year, while free cash flow of $4.55 billion and a 21.85% FCF yield support the story.
Tenet screens as a high-quality operator versus many healthcare facility peers, backed by strong margins and cash generation. The balance sheet carries $13.17 billion of debt against $2.88 billion of cash, so leverage remains a key offset even with a premium valuation profile.
Similar companies
Peers in the same neighborhood.
- Market Cap
- $21.19B
- P/E
- 10.07
- Fwd P/E
- 12.40
- PEG
- 0.15
- P/S
- 0.97
- P/B
- 4.72
- EV/EBITDA
- 6.38
- Div Yield
- 0.00%
- Gross Margin
- 26.87%
- Op Margin
- 16.80%
- Net Margin
- 10.27%
- ROE
- 50.63%
- ROIC
- 11.91%
Latest fiscal year · YoY change
- Revenue
- $21.31B+3.1%
- Gross Profit
- $17.53B+113.5%
- Op Income
- $3.44B
- Net Income
- $1.41B-56.0%
- EPS
- $15.61-52.7%
- OCF Growth
- +72.9%
- FCF Growth
- +126.7%
- 52W High
- $283.05
- 52W Low
- $157.58
- 50D MA
- $262.26
- 200D MA
- $213.79
- Beta
- 1.23
- RSI (14)
- 54
- Avg Volume
- 980.54K
Earnings call summaries
Pick a quarter — each call distilled into takeaways, results, and a bull vs bear read.
Tenet beat expectations in Q2 2026 with strong hospital and ambulatory performance, then raised full-year revenue, EBITDA, and free cash flow guidance despite exchange enrollment pressure.· July 24, 2026
- Q2 net operating revenues were $5.6 billion and adjusted EBITDA was $1.304 billion, up 16.3% year over year, with adjusted diluted EPS up 52% to $6.12.
- USPI adjusted EBITDA rose 8.8% to $542 million; same-facility revenues grew 5% and total joint replacements in ASCs grew 10% year over year.
- Hospital adjusted EBITDA grew 22% to $762 million with an 18% margin; same-hospital inpatient adjusted admissions rose 2.6%.
- Exchange revenues fell 17% year over year and exchange admissions declined about 13.5%, but management said the impact was in line with expectations and was offset by cost actions and growth initiatives.
- Tenet raised 2026 guidance for revenue, adjusted EBITDA, and adjusted free cash flow, and increased share repurchase authorization by $2 billion.
Tenet reported second-quarter 2026 net operating revenues of $5.6 billion, consolidated adjusted EBITDA of $1.304 billion, and adjusted EBITDA margin of 23.2%. Adjusted EBITDA grew 16.3% year over year, and adjusted diluted EPS increased 52% to $6.12. USPI adjusted EBITDA was $542 million, up 8.8%, with a 39% margin; hospital adjusted EBITDA was $762 million, up 22%, with an 18% margin. Same-facility system-wide revenues at USPI grew 5%, net revenue per case rose 6.3%, and same-facility case volumes were down 1.2%. In hospitals, same-hospital inpatient adjusted admissions rose 2.6% and revenue per adjusted admission increased 3.3% year over year. Exchange revenues declined 17% year over year and represented about 5.5% of consolidated net operating revenues; exchange admissions were down about 13.5%. Tenet recognized $92 million of favorable out-of-period supplemental Medicaid revenue in Q2 versus $70 million in Q2 2025. Adjusted free cash flow was $444 million in the quarter, and the company had $2.1 billion of cash on hand at June 30, 2026 with no borrowings outstanding under its line of credit. For 2026, Tenet raised consolidated net operating revenue guidance to $21.9 billion to $22.5 billion, adjusted EBITDA guidance to $4.83 billion to $5.03 billion, USPI adjusted EBITDA guidance to $2.16 billion to $2.22 billion, hospital adjusted EBITDA guidance to $2.67 billion to $2.81 billion, and adjusted free cash flow after NCI to $1.825 billion to $2.055 billion. The company expects about $140 million of supplemental Medicaid program contributions in 2026, including about $20 million in the second half, and said it now expects to exceed $300 million in full-year 2026 M&A spend. Q3 2026 consolidated adjusted EBITDA is expected to be 23% to 24% of full-year adjusted EBITDA at the midpoint, and Q3 USPI adjusted EBITDA is expected to be 24% to 25% of full-year USPI adjusted EBITDA at the midpoint.
Saumya Sutaria said the company is exceeding goals because core volumes, same-store revenue growth, and expense execution are all strong. He emphasized that Tenet planned early for cost savings and is now seeing benefits from productivity, clinical operations improvements, and technology/AI-driven automation. His tone was constructive and confident, especially around the second half of the year, the USPI pipeline, and the company’s ability to manage through exchange and Medicaid uncertainty.
Sun Park highlighted the quarter’s margin strength, saying adjusted EBITDA margin was 23.2% overall, 39% at USPI, and 18% in hospitals. He said the company generated $444 million of adjusted free cash flow in Q2 and ended the quarter with $2.1 billion of cash and no revolver borrowings, while leverage was 2.33x EBITDA or 2.9x EBITDA less NCI. He also detailed the 2026 outlook raise, including revenue of $21.9 billion to $22.5 billion, adjusted EBITDA of $4.83 billion to $5.03 billion, and adjusted free cash flow after NCI of $1.825 billion to $2.055 billion, with about $150 million of tax payments tied to the Conifer transaction included in free cash flow guidance. Capital deployment remained centered on USPI M&A, hospital growth investments, buybacks, and selective debt management; the board also authorized a $2 billion increase in repurchase capacity.
Analysts focused on the drivers of margin expansion, the exchange enrollment decline, hospital revenue per adjusted admission, ASC volume trends, and capital allocation. Management said margin gains came from traditional efficiency work, clinical operations improvements like length-of-stay and throughput, and technology/AI automation, while exchange declines were roughly in line with expectations and were being offset by cost actions and growth initiatives. On the Q&A around exchanges, Tenet said the revenue drop translated into a roughly $65 million headwind in Q2 and that uninsured volumes rose on a roughly one-for-one basis with exchange declines. On capital allocation, management said buybacks remain attractive at current valuations, USPI M&A will stay a priority, hospital builds are being approached more cautiously, and the balance sheet has no near-term maturity pressure.
The positive case from the call is that Tenet is still posting strong organic growth despite exchange pressure, with USPI and hospitals both delivering meaningful EBITDA growth and margin expansion. Management also sounded confident that cost actions, higher-acuity mix, and continued capital deployment can sustain performance, while free cash flow and buybacks should support EPS.
The main risks discussed were continued exchange enrollment erosion, which management said is especially pronounced in states like Florida, Arizona, Michigan, South Carolina and Texas, and the possibility that it could worsen before it stabilizes. Management also noted hospital elective surgery pressure tied to exchange mix shifts, caution on large-scale hospital builds, and uncertainty around next year’s exchange dynamics and certain 340B/proposed outpatient rule changes.
AI summary of the company's earnings call · Paraphrased · Not investment advice
- Free Float
- 98.9%
- Shares Outstanding
- 80.52M
- Float Shares
- 79.65M
of shares held by institutions
735 13F filers
Buy/sell ratio 0.00. Sells can include pre-scheduled 10b5-1 plan sales, not just discretionary selling.
Congressional trading
Senate and House stock disclosures for THC, newest first.
| Member | Type | Traded | |
|---|---|---|---|
| Jonathan JacksonHouse · IL01 | Sell | Apr 20, 26 | Filing → |
| Jonathan JacksonHouse · IL01 | Sell | Apr 15, 26 | Filing → |
| Jonathan JacksonHouse · IL01 | Sell | Feb 11, 26 | Filing → |
| Jonathan JacksonHouse · IL01 | Buy | Dec 10, 25 | Filing → |
| Jonathan JacksonHouse · IL01 | Buy | Sep 3, 25 | Filing → |
| Lisa C. McClainHouse · MI09 | Sell | Aug 4, 25 | Filing → |
| Lisa C. McClainHouse · MI09 | Buy | Jun 11, 25 | Filing → |
| John JamesHouse · MI10 | Sell | Sep 4, 24 | Filing → |
| John JamesHouse · MI10 | Buy | Nov 10, 23 | Filing → |
Source: public STOCK Act disclosures. Filed weeks after the trade — a lagging signal, not a real-time one.
Top institutional holders
Largest 13F positions, with quarter-over-quarter change.
| Holder | Shares | Δ Quarter |
|---|---|---|
| Vanguard Group Inc | 8.86M | ▼ 153.57K |
| Blackrock, Inc. | 8.74M | ▲ 38.36K |
| Price T Rowe Associates Inc | 7.96M | ▲ 438.71K |
| Boston Partners | 4.43M | ▲ 598.40K |
| Vanguard Portfolio Management LLC | 4.24M | ▼ 78.78K |
| Fmr LLC | 3.99M | ▼ 3.78M |
| Vanguard Capital Management LLC | 3.89M | ▼ 17.22K |
| State Street Corp | 2.75M | ▲ 35.37K |
| Glenview Capital Management, LLC | 2.24M | ▲ 710.81K |
| Geode Capital Management, LLC | 1.88M | ▼ 45.47K |
| Citadel Advisors LLC | 1.77M | ▲ 1.35M |
| Arrowstreet Capital, Limited Partnership | 1.71M | ▲ 1.04M |
Held by 712 ETFs
Biggest fund positions in THC by dollar value.
Recent insider transactions
Who's buying, who's selling, and how much.
| Date | Insider | Type | Shares |
|---|---|---|---|
| Sep 14, 26 | KERREY J ROBERT | sell | 5,483 |
| Sep 14, 26 | KERREY J ROBERT | sell | 4,025 |
| Sep 14, 26 | KERREY J ROBERT | sell | 2,502 |
| Sep 10, 26 | MARK RICHARD J | sell | 10,000 |
| Sep 2, 26 | West Nadja | sell | 1,152 |
| Aug 31, 26 | Foo Lisa Y | sell | 24,000 |
| Aug 28, 26 | HANEY CECIL D | other | 150 |
| Aug 24, 26 | HANEY CECIL D | sell | 1,300 |
| Aug 24, 26 | Sutaria Saumya | sell | 13,344 |
| Aug 24, 26 | Sutaria Saumya | sell | 36,656 |
A “Sell” may be a pre-scheduled 10b5-1 plan sale rather than a discretionary decision — read insider selling with that in mind.
Our THC coverage
Recent articles, reports, and earnings notes.

Tenet Healthcare (THC): USPI Drives the Growth Case
Tenet Healthcare is shifting from a hospital-heavy operator into a higher-quality outpatient platform, with USPI driving margin expansion and growth. Strong execution, buybacks, and improving leverage support a disciplined Buy view.

Tenet Healthcare Corporation (THC) jumps on deep earnings beat
Tenet Healthcare Corporation (THC) jumps after a sharp Q2 beat, but the real story is in the margins, segment mix, and raised outlook. This deep-dive breaks down USPI strength, hospital EBITDA gains, exchange revenue pressure, and why management’s higher 2026 guidance matters.

Tenet Healthcare Corporation (THC) spikes on earnings beats
Tenet Healthcare Corporation (THC) spikes after reporting earnings beats, lifting shares 20.4% as investors react to stronger-than-expected quarterly results and improved outlook.
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AI analysis · Last refreshed October 5, 2026 · Live quote · Not investment advice