TENET HEALTHCARE CORP (THC) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:THC • US88033G4073

195.33 USD
+4.67 (+2.45%)
Last: Feb 5, 2026, 02:32 PM
Fundamental Rating

6

THC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 102 industry peers in the Health Care Providers & Services industry. THC has an excellent profitability rating, but there are some minor concerns on its financial health. THC may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make THC suitable for value investing!


Dividend Valuation Growth Profitability Health

9

1. Profitability

1.1 Basic Checks

  • THC had positive earnings in the past year.
  • In the past year THC had a positive cash flow from operations.
  • Each year in the past 5 years THC has 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 0 1B 2B 3B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 4.60%, THC is in the better half of the industry, outperforming 73.53% of the companies in the same industry.
  • THC's Return On Equity of 33.73% is amongst the best of the industry. THC outperforms 94.12% of its industry peers.
  • With an excellent Return On Invested Capital value of 11.65%, THC belongs to the best of the industry, outperforming 85.29% of the companies in the same industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for THC is in line with the industry average of 9.16%.
  • The last Return On Invested Capital (11.65%) for THC is above the 3 year average (9.25%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 4.6%
ROE 33.73%
ROIC 11.65%
ROA(3y)4.91%
ROA(5y)3.9%
ROE(3y)50.24%
ROE(5y)332.92%
ROIC(3y)9.25%
ROIC(5y)8.01%
THC Yearly ROA, ROE, ROICTHC Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500 1K

1.3 Margins

  • THC has a Profit Margin of 6.49%. This is amongst the best in the industry. THC outperforms 84.31% of its industry peers.
  • THC's Profit Margin has improved in the last couple of years.
  • The Operating Margin of THC (17.52%) is better than 96.08% of its industry peers.
  • THC's Operating Margin has improved in the last couple of years.
  • THC has a better Gross Margin (82.26%) than 96.08% of its industry peers.
  • THC's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 17.52%
PM (TTM) 6.49%
GM 82.26%
OM growth 3Y10.99%
OM growth 5Y11.36%
PM growth 3Y48.9%
PM growth 5YN/A
GM growth 3Y-0.23%
GM growth 5Y-0.27%
THC Yearly Profit, Operating, Gross MarginsTHC Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. Health

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.
  • THC has less shares outstanding than it did 1 year ago.
  • THC has less shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, THC has an improved debt to assets ratio.
THC Yearly Shares OutstandingTHC Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 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 5B 10B 15B 20B 25B

2.2 Solvency

  • THC has an Altman-Z score of 1.84. This is not the best score and indicates that THC is in the grey zone with still only limited risk for bankruptcy at the moment.
  • THC has a Altman-Z score (1.84) which is comparable to the rest of the industry.
  • THC has a debt to FCF ratio of 8.78. This is a slightly negative value and a sign of low solvency as THC would need 8.78 years to pay back of all of its debts.
  • With a Debt to FCF ratio value of 8.78, THC perfoms like the industry average, outperforming 50.98% of the companies in the same industry.
  • A Debt/Equity ratio of 3.26 is on the high side and indicates that THC has dependencies on debt financing.
  • With a Debt to Equity ratio value of 3.26, THC is not doing good in the industry: 74.51% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 3.26
Debt/FCF 8.78
Altman-Z 1.84
ROIC/WACC1.34
WACC8.7%
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 0 5B 10B 15B

2.3 Liquidity

  • THC has a Current Ratio of 1.71. This is a normal value and indicates that THC is financially healthy and should not expect problems in meeting its short term obligations.
  • The Current ratio of THC (1.71) is better than 67.65% of its industry peers.
  • A Quick Ratio of 1.64 indicates that THC should not have too much problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 1.64, THC is in the better half of the industry, outperforming 65.69% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.71
Quick Ratio 1.64
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 2B 4B 6B

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

5

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 39.32% over the past year.
  • Measured over the past years, THC shows a very strong growth in Earnings Per Share. The EPS has been growing by 34.84% on average per year.
  • Looking at the last year, THC shows a decrease in Revenue. The Revenue has decreased by -0.56% in the last year.
  • The Revenue has been growing slightly by 2.26% on average over the past years.
EPS 1Y (TTM)39.32%
EPS 3Y16.22%
EPS 5Y34.84%
EPS Q2Q%26.28%
Revenue 1Y (TTM)-0.56%
Revenue growth 3Y1.98%
Revenue growth 5Y2.26%
Sales Q2Q%3.26%

3.2 Future

  • Based on estimates for the next years, THC will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.65% on average per year.
  • The Revenue is expected to grow by 3.27% on average over the next years.
EPS Next Y36.74%
EPS Next 2Y17.92%
EPS Next 3Y15.45%
EPS Next 5Y13.65%
Revenue Next Year2.31%
Revenue Next 2Y3.3%
Revenue Next 3Y3.83%
Revenue Next 5Y3.27%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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 accelerating.
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

9

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 12.59, THC is valued correctly.
  • Compared to the rest of the industry, the Price/Earnings ratio of THC indicates a rather cheap valuation: THC is cheaper than 83.33% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of THC to the average of the S&P500 Index (28.25), we can say THC is valued rather cheaply.
  • A Price/Forward Earnings ratio of 11.80 indicates a reasonable valuation of THC.
  • Based on the Price/Forward Earnings ratio, THC is valued cheaply inside the industry as 86.27% of the companies are valued more expensively.
  • THC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.50.
Industry RankSector Rank
PE 12.59
Fwd PE 11.8
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

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of THC indicates a rather cheap valuation: THC is cheaper than 90.20% of the companies listed in the same industry.
  • THC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. THC is cheaper than 81.37% of the companies in the same industry.
Industry RankSector Rank
P/FCF 11.43
EV/EBITDA 6.02
THC Per share dataTHC EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 100 200

4.3 Compensation for Growth

  • THC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • THC has an outstanding profitability rating, which may justify a higher PE ratio.
  • THC's earnings are expected to grow with 15.45% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.34
PEG (5Y)0.36
EPS Next 2Y17.92%
EPS Next 3Y15.45%

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

0

5. Dividend

5.1 Amount

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

More info and screens

Find the best dividend stocksShow peers with best dividend

TENET HEALTHCARE CORP

NYSE:THC (2/5/2026, 2:32:55 PM)

195.33

+4.67 (+2.45%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)10-28
Earnings (Next)02-11
Inst Owners98.45%
Inst Owner Change-3.96%
Ins Owners0.73%
Ins Owner Change-1.09%
Market Cap17.17B
Revenue(TTM)20.86B
Net Income(TTM)1.35B
Analysts81.43
Price Target239.23 (22.47%)
Short Float %3.12%
Short Ratio3.03
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)24.75%
Min EPS beat(2)10.92%
Max EPS beat(2)38.59%
EPS beat(4)4
Avg EPS beat(4)25.46%
Min EPS beat(4)10.92%
Max EPS beat(4)38.59%
EPS beat(8)8
Avg EPS beat(8)41.73%
EPS beat(12)12
Avg EPS beat(12)37.25%
EPS beat(16)16
Avg EPS beat(16)44.64%
Revenue beat(2)1
Avg Revenue beat(2)0.42%
Min Revenue beat(2)-0.28%
Max Revenue beat(2)1.13%
Revenue beat(4)2
Avg Revenue beat(4)-0.36%
Min Revenue beat(4)-2.85%
Max Revenue beat(4)1.13%
Revenue beat(8)6
Avg Revenue beat(8)0.46%
Revenue beat(12)9
Avg Revenue beat(12)0.73%
Revenue beat(16)9
Avg Revenue beat(16)-0.03%
PT rev (1m)0.13%
PT rev (3m)10.96%
EPS NQ rev (1m)-0.08%
EPS NQ rev (3m)-0.53%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)2.74%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.75%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.66%
Valuation
Industry RankSector Rank
PE 12.59
Fwd PE 11.8
P/S 0.82
P/FCF 11.43
P/OCF 6.93
P/B 4.28
P/tB N/A
EV/EBITDA 6.02
EPS(TTM)15.52
EY7.95%
EPS(NY)16.55
Fwd EY8.47%
FCF(TTM)17.09
FCFY8.75%
OCF(TTM)28.19
OCFY14.43%
SpS237.29
BVpS45.67
TBVpS-96.62
PEG (NY)0.34
PEG (5Y)0.36
Graham Number126.29
Profitability
Industry RankSector Rank
ROA 4.6%
ROE 33.73%
ROCE 14.7%
ROIC 11.65%
ROICexc 13.23%
ROICexgc 30.88%
OM 17.52%
PM (TTM) 6.49%
GM 82.26%
FCFM 7.2%
ROA(3y)4.91%
ROA(5y)3.9%
ROE(3y)50.24%
ROE(5y)332.92%
ROIC(3y)9.25%
ROIC(5y)8.01%
ROICexc(3y)10.01%
ROICexc(5y)8.76%
ROICexgc(3y)21.74%
ROICexgc(5y)18.93%
ROCE(3y)11.67%
ROCE(5y)10.11%
ROICexgc growth 3Y12.5%
ROICexgc growth 5Y15.11%
ROICexc growth 3Y10.5%
ROICexc growth 5Y10.87%
OM growth 3Y10.99%
OM growth 5Y11.36%
PM growth 3Y48.9%
PM growth 5YN/A
GM growth 3Y-0.23%
GM growth 5Y-0.27%
F-Score5
Asset Turnover0.71
Health
Industry RankSector Rank
Debt/Equity 3.26
Debt/FCF 8.78
Debt/EBITDA 2.93
Cap/Depr 118.3%
Cap/Sales 4.68%
Interest Coverage 4.59
Cash Conversion 55.34%
Profit Quality 110.93%
Current Ratio 1.71
Quick Ratio 1.64
Altman-Z 1.84
F-Score5
WACC8.7%
ROIC/WACC1.34
Cap/Depr(3y)96.91%
Cap/Depr(5y)86.14%
Cap/Sales(3y)4.04%
Cap/Sales(5y)3.71%
Profit Quality(3y)126.2%
Profit Quality(5y)239.34%
High Growth Momentum
Growth
EPS 1Y (TTM)39.32%
EPS 3Y16.22%
EPS 5Y34.84%
EPS Q2Q%26.28%
EPS Next Y36.74%
EPS Next 2Y17.92%
EPS Next 3Y15.45%
EPS Next 5Y13.65%
Revenue 1Y (TTM)-0.56%
Revenue growth 3Y1.98%
Revenue growth 5Y2.26%
Sales Q2Q%3.26%
Revenue Next Year2.31%
Revenue Next 2Y3.3%
Revenue Next 3Y3.83%
Revenue Next 5Y3.27%
EBIT growth 1Y14.33%
EBIT growth 3Y13.18%
EBIT growth 5Y13.88%
EBIT Next Year44.53%
EBIT Next 3Y15.85%
EBIT Next 5Y9.84%
FCF growth 1Y31.99%
FCF growth 3Y7.04%
FCF growth 5Y14.67%
OCF growth 1Y25.72%
OCF growth 3Y9.29%
OCF growth 5Y10.67%

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 9 / 10 to TENET HEALTHCARE CORP (THC). This can be considered as Undervalued.


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 12.59 and the Price/Book (PB) ratio is 4.28.


Can you provide the expected EPS growth for THC stock?

The Earnings per Share (EPS) of TENET HEALTHCARE CORP (THC) is expected to grow by 36.74% in the next year.