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Tenet Healthcare (THC) Surpasses Market Returns: Some Facts Worth Knowing

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In the latest close session, Tenet Healthcare (THC - Free Report) was up +1.48% at $199.23. The stock outpaced the S&P 500's daily gain of 0.4%. At the same time, the Dow lost 0.04%, and the tech-heavy Nasdaq gained 0.66%.

Prior to today's trading, shares of the hospital operator had gained 7.39% outpaced the Medical sector's gain of 1.8% and the S&P 500's gain of 1.02%.

The investment community will be closely monitoring the performance of Tenet Healthcare in its forthcoming earnings report. The company is scheduled to release its earnings on October 28, 2025. The company is forecasted to report an EPS of $3.33, showcasing a 13.65% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.24 billion, up 2.22% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $15.82 per share and a revenue of $21.16 billion, signifying shifts of +33.16% and +2.38%, respectively, from the last year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Tenet Healthcare. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.17% lower. Tenet Healthcare currently has a Zacks Rank of #4 (Sell).

From a valuation perspective, Tenet Healthcare is currently exchanging hands at a Forward P/E ratio of 12.41. This expresses a premium compared to the average Forward P/E of 11.2 of its industry.

Meanwhile, THC's PEG ratio is currently 0.84. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Medical - Hospital was holding an average PEG ratio of 1.08 at yesterday's closing price.

The Medical - Hospital industry is part of the Medical sector. This group has a Zacks Industry Rank of 201, putting it in the bottom 19% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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