TENET HEALTHCARE CORP (THC) Fundamental Analysis & Valuation

NYSE:THC • US88033G4073

244.8 USD
+1.92 (+0.79%)
At close: Mar 4, 2026
244.8 USD
0 (0%)
After Hours: 3/4/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This THC fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

6

THC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 101 industry peers in the Health Care Providers & Services industry. While THC has a great profitability rating, there are some minor concerns on its financial health. THC has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

9

1. THC Profitability Analysis

1.1 Basic Checks

  • THC had positive earnings in the past year.
  • In the past year THC had a positive cash flow from operations.
  • In the past 5 years THC has always been profitable.
  • In the past 5 years THC always reported a positive cash flow from operatings.
THC Yearly Net Income VS EBIT VS OCF VS FCFTHC Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B 2B 3B

1.2 Ratios

  • THC has a Return On Assets of 4.74%. This is in the better half of the industry: THC outperforms 75.25% of its industry peers.
  • THC has a better Return On Equity (33.34%) than 94.06% of its industry peers.
  • THC's Return On Invested Capital of 11.83% is amongst the best of the industry. THC outperforms 86.14% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for THC is in line with the industry average of 9.13%.
  • The 3 year average ROIC (10.41%) for THC is below the current ROIC(11.83%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 4.74%
ROE 33.34%
ROIC 11.83%
ROA(3y)5.99%
ROA(5y)4.56%
ROE(3y)49.35%
ROE(5y)54.59%
ROIC(3y)10.41%
ROIC(5y)9.48%
THC Yearly ROA, ROE, ROICTHC Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500 1K

1.3 Margins

  • Looking at the Profit Margin, with a value of 6.60%, THC belongs to the top of the industry, outperforming 84.16% of the companies in the same industry.
  • THC's Profit Margin has improved in the last couple of years.
  • The Operating Margin of THC (17.28%) is better than 96.04% of its industry peers.
  • In the last couple of years the Operating Margin of THC has grown nicely.
  • THC has a Gross Margin of 82.26%. This is amongst the best in the industry. THC outperforms 96.04% of its industry peers.
  • THC's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 17.28%
PM (TTM) 6.6%
GM 82.26%
OM growth 3Y10.6%
OM growth 5Y17.74%
PM growth 3Y45.5%
PM growth 5Y23.89%
GM growth 3Y-0.27%
GM growth 5Y-0.2%
THC Yearly Profit, Operating, Gross MarginsTHC Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. THC Health Analysis

2.1 Basic Checks

  • THC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
  • Compared to 1 year ago, THC has less shares outstanding
  • The number of shares outstanding for THC has been reduced compared to 5 years ago.
  • The debt/assets ratio for THC has been reduced compared to a year ago.
THC Yearly Shares OutstandingTHC Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M 100M
THC Yearly Total Debt VS Total AssetsTHC Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

2.2 Solvency

  • An Altman-Z score of 1.98 indicates that THC is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • With a Altman-Z score value of 1.98, THC perfoms like the industry average, outperforming 48.51% of the companies in the same industry.
  • The Debt to FCF ratio of THC is 5.21, which is a neutral value as it means it would take THC, 5.21 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of THC (5.21) is better than 62.38% of its industry peers.
  • A Debt/Equity ratio of 3.10 is on the high side and indicates that THC has dependencies on debt financing.
  • THC has a Debt to Equity ratio of 3.10. This is in the lower half of the industry: THC underperforms 75.25% of its industry peers.
Industry RankSector Rank
Debt/Equity 3.1
Debt/FCF 5.21
Altman-Z 1.98
ROIC/WACC1.44
WACC8.19%
THC Yearly LT Debt VS Equity VS FCFTHC Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5B 10B 15B

2.3 Liquidity

  • A Current Ratio of 1.76 indicates that THC should not have too much problems paying its short term obligations.
  • The Current ratio of THC (1.76) is better than 72.28% of its industry peers.
  • THC has a Quick Ratio of 1.68. This is a normal value and indicates that THC is financially healthy and should not expect problems in meeting its short term obligations.
  • THC has a Quick ratio of 1.68. This is in the better half of the industry: THC outperforms 69.31% of its industry peers.
Industry RankSector Rank
Current Ratio 1.76
Quick Ratio 1.68
THC Yearly Current Assets VS Current LiabilitesTHC Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. THC Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 41.01% over the past year.
  • THC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.26% yearly.
  • Looking at the last year, THC shows a small growth in Revenue. The Revenue has grown by 3.12% in the last year.
  • The Revenue has been growing slightly by 3.85% on average over the past years.
EPS 1Y (TTM)41.01%
EPS 3Y34.93%
EPS 5Y16.26%
EPS Q2Q%36.63%
Revenue 1Y (TTM)3.12%
Revenue growth 3Y3.58%
Revenue growth 5Y3.85%
Sales Q2Q%8.97%

3.2 Future

  • The Earnings Per Share is expected to grow by 2.62% on average over the next years.
  • Based on estimates for the next years, THC will show a small growth in Revenue. The Revenue will grow by 3.43% on average per year.
EPS Next Y-1.03%
EPS Next 2Y3.47%
EPS Next 3Y6.93%
EPS Next 5Y2.62%
Revenue Next Year3.93%
Revenue Next 2Y3.18%
Revenue Next 3Y3.48%
Revenue Next 5Y3.43%

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
THC Yearly Revenue VS EstimatesTHC Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5B 10B 15B 20B 25B
THC Yearly EPS VS EstimatesTHC Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5 10 15 20 25

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Find the best growth stocksShow best growing peers

6

4. THC Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 14.59, which indicates a correct valuation of THC.
  • Based on the Price/Earnings ratio, THC is valued cheaper than 83.17% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 27.03. THC is valued slightly cheaper when compared to this.
  • A Price/Forward Earnings ratio of 14.74 indicates a correct valuation of THC.
  • 83.17% of the companies in the same industry are more expensive than THC, based on the Price/Forward Earnings ratio.
  • THC's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.11.
Industry RankSector Rank
PE 14.59
Fwd PE 14.74
THC Price Earnings VS Forward Price EarningsTHC Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, THC is valued cheaply inside the industry as 87.13% of the companies are valued more expensively.
  • THC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. THC is cheaper than 87.13% of the companies in the same industry.
Industry RankSector Rank
P/FCF 8.5
EV/EBITDA 7
THC Per share dataTHC EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 100 200

4.3 Compensation for Growth

  • The excellent profitability rating of THC may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.9
EPS Next 2Y3.47%
EPS Next 3Y6.93%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. THC Dividend Analysis

5.1 Amount

  • THC does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

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Find the best dividend stocksShow peers with best dividend

THC Fundamentals: All Metrics, Ratios and Statistics

TENET HEALTHCARE CORP

NYSE:THC (3/4/2026, 8:04:00 PM)

After market: 244.8 0 (0%)

244.8

+1.92 (+0.79%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)02-11
Earnings (Next)04-27
Inst Owners98.45%
Inst Owner Change-2.1%
Ins Owners0.73%
Ins Owner Change6.19%
Market Cap21.52B
Revenue(TTM)21.31B
Net Income(TTM)1.41B
Analysts81.43
Price Target255.33 (4.3%)
Short Float %3.17%
Short Ratio2.84
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.87%
Min EPS beat(2)10.92%
Max EPS beat(2)14.82%
EPS beat(4)4
Avg EPS beat(4)25.53%
Min EPS beat(4)10.92%
Max EPS beat(4)38.59%
EPS beat(8)8
Avg EPS beat(8)35.38%
EPS beat(12)12
Avg EPS beat(12)33.64%
EPS beat(16)16
Avg EPS beat(16)40.61%
Revenue beat(2)0
Avg Revenue beat(2)-0.14%
Min Revenue beat(2)-0.28%
Max Revenue beat(2)0%
Revenue beat(4)2
Avg Revenue beat(4)0.36%
Min Revenue beat(4)-0.28%
Max Revenue beat(4)1.13%
Revenue beat(8)5
Avg Revenue beat(8)0.39%
Revenue beat(12)8
Avg Revenue beat(12)0.73%
Revenue beat(16)9
Avg Revenue beat(16)0.21%
PT rev (1m)6.73%
PT rev (3m)8.93%
EPS NQ rev (1m)-6.22%
EPS NQ rev (3m)-5.87%
EPS NY rev (1m)0.36%
EPS NY rev (3m)-0.18%
Revenue NQ rev (1m)-0.89%
Revenue NQ rev (3m)-1.02%
Revenue NY rev (1m)-0.33%
Revenue NY rev (3m)-0.27%
Valuation
Industry RankSector Rank
PE 14.59
Fwd PE 14.74
P/S 1.01
P/FCF 8.5
P/OCF 6.08
P/B 5.1
P/tB N/A
EV/EBITDA 7
EPS(TTM)16.78
EY6.85%
EPS(NY)16.61
Fwd EY6.78%
FCF(TTM)28.79
FCFY11.76%
OCF(TTM)40.28
OCFY16.45%
SpS242.46
BVpS48.01
TBVpS-94.73
PEG (NY)N/A
PEG (5Y)0.9
Graham Number134.64
Profitability
Industry RankSector Rank
ROA 4.74%
ROE 33.34%
ROCE 14.6%
ROIC 11.83%
ROICexc 13.35%
ROICexgc 30.47%
OM 17.28%
PM (TTM) 6.6%
GM 82.26%
FCFM 11.87%
ROA(3y)5.99%
ROA(5y)4.56%
ROE(3y)49.35%
ROE(5y)54.59%
ROIC(3y)10.41%
ROIC(5y)9.48%
ROICexc(3y)11.56%
ROICexc(5y)10.42%
ROICexgc(3y)25.7%
ROICexgc(5y)22.87%
ROCE(3y)12.86%
ROCE(5y)11.71%
ROICexgc growth 3Y16.45%
ROICexgc growth 5Y21.31%
ROICexc growth 3Y13.69%
ROICexc growth 5Y19.39%
OM growth 3Y10.6%
OM growth 5Y17.74%
PM growth 3Y45.5%
PM growth 5Y23.89%
GM growth 3Y-0.27%
GM growth 5Y-0.2%
F-Score6
Asset Turnover0.72
Health
Industry RankSector Rank
Debt/Equity 3.1
Debt/FCF 5.21
Debt/EBITDA 2.88
Cap/Depr 117.03%
Cap/Sales 4.74%
Interest Coverage 4.26
Cash Conversion 77.89%
Profit Quality 179.82%
Current Ratio 1.76
Quick Ratio 1.68
Altman-Z 1.98
F-Score6
WACC8.19%
ROIC/WACC1.44
Cap/Depr(3y)105.72%
Cap/Depr(5y)96.95%
Cap/Sales(3y)4.3%
Cap/Sales(5y)4.05%
Profit Quality(3y)160.11%
Profit Quality(5y)131.6%
High Growth Momentum
Growth
EPS 1Y (TTM)41.01%
EPS 3Y34.93%
EPS 5Y16.26%
EPS Q2Q%36.63%
EPS Next Y-1.03%
EPS Next 2Y3.47%
EPS Next 3Y6.93%
EPS Next 5Y2.62%
Revenue 1Y (TTM)3.12%
Revenue growth 3Y3.58%
Revenue growth 5Y3.85%
Sales Q2Q%8.97%
Revenue Next Year3.93%
Revenue Next 2Y3.18%
Revenue Next 3Y3.48%
Revenue Next 5Y3.43%
EBIT growth 1Y14.49%
EBIT growth 3Y14.57%
EBIT growth 5Y22.28%
EBIT Next Year24.61%
EBIT Next 3Y10.68%
EBIT Next 5Y6.81%
FCF growth 1Y126.7%
FCF growth 3Y99.01%
FCF growth 5Y-2.47%
OCF growth 1Y72.94%
OCF growth 3Y48.41%
OCF growth 5Y0.77%

TENET HEALTHCARE CORP / THC FAQ

What is the ChartMill fundamental rating of TENET HEALTHCARE CORP (THC) stock?

ChartMill assigns a fundamental rating of 6 / 10 to THC.


What is the valuation status for THC stock?

ChartMill assigns a valuation rating of 6 / 10 to TENET HEALTHCARE CORP (THC). This can be considered as Fairly Valued.


Can you provide the profitability details for TENET HEALTHCARE CORP?

TENET HEALTHCARE CORP (THC) has a profitability rating of 9 / 10.


What is the valuation of TENET HEALTHCARE CORP based on its PE and PB ratios?

The Price/Earnings (PE) ratio for TENET HEALTHCARE CORP (THC) is 14.59 and the Price/Book (PB) ratio is 5.1.


Can you provide the expected EPS growth for THC stock?

The Earnings per Share (EPS) of TENET HEALTHCARE CORP (THC) is expected to decline by -1.03% in the next year.