Tenet Healthcare Corporation (THC) fair value: what the stock is really worth
As of Nov 4, 2026: fair value (intrinsic value) of Tenet Healthcare Corporation stock $279, price $292, that is 4.5% below the price, quality 60 out of 100. Rating: fairly valued. Calculated from audited financials with 21 of our 26 valuation models and 37 quality factors, updated daily.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 3, 2026.
How to read this chart
60‑month range $37.50 – $292.25 · fair‑value band $173.00 – $412.05 · the $292.25 price screens above the $279.20 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. As of Nov 3, 2026.
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Tenet Healthcare Corporation operates as a diversified healthcare services company in the United States. The company operates through two segments: Hospital Operations and Services, and Ambulatory Care.
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Its general hospitals offer acute care services, operating and recovery rooms, radiology and respiratory therapy services, clinical laboratories, and pharmacies.
The company also provides intensive and critical care, and/or coronary care units; cardiovascular, digestive disease, neurosciences, musculoskeletal, and obstetrics services; outpatient services, including physical therapy; tertiary care services, such as cardiothoracic surgery, complex spinal surgery, neonatal intensive care, and neurosurgery services; pediatric quaternary care services through heart, liver, and kidney transplants programs; and limb salvaging vascular procedure, acute level 1 trauma, intravascular stroke care, minimally invasive cardiac valve replacement, imaging technology, surgical robotic, and telemedicine access services.
In addition, it offers a range of procedures and services comprising orthopedics, total joint replacement, and spinal and other musculoskeletal procedures; gastroenterology; pain management; otolaryngology; ophthalmology; and urology.
Further, the company operates acute care and specialty hospitals, off-campus emergency departments, imaging centers, urgent care centers, and micro-hospitals, as well as ambulatory surgery centers and surgical hospitals.
Tenet Healthcare Corporation was founded in 1967 and is headquartered in Dallas, Texas.
Stock analysis
Tenet Healthcare Corporation (THC) currently trades at $292.25, while our model-based Fair Value estimate is $279.20, so the stock looks roughly fairly valued today (gap 4.7%).
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Valuation
Bull case: the Multiples group reads highest at a median of $359.81 per share, and 9 of the 21 models we run sit above the $292.25 price.
Bear case: the Economic Profit group reads lowest at $113.82, and 12 of the 21 models stay below the price. Data coverage for this calculation is medium.
Scenario range: $173.00 (bear) to $412.05 (bull), the price of $292.25 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 60/100 (solid quality), in the Healthcare sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Tenet Healthcare Corporation reported revenue of $21.3B in FY2025 versus $19.5B in FY2021, a compound +2.3%/yr. Reported net income was $1.4B in FY2025, compounding +11.4%/yr from FY2021.
Key figures
Market cap $24.5B Large · P/E ratio 8.5 · P/S ratio 1.11 · EPS (TTM) $34.29 · Net margin 13.1% · Return on equity 41.7% · Return on assets (EBIT) 12.0% · Operating margin 19.0%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 65 out of 100 (low confidence).
What moves the price
Analysts expect earnings well below the last reported figure (earnings in transition, for example expiring patents or contracts); a fair value that looks fair on trailing earnings may then be too optimistic.
The share trades at its 52-week high and 81% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Healthcare peers we cover trades at −7% fair-value upside, at −4%, THC screens cheaper than that median.
Fair Value models
Bear$173.00Fair Value $279.20Bull$412.05
Price $292.25 · Downside -4.5%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then ($29.03 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
In the last 6 months, 11 officers or directors sold shares worth $51.5M and none bought.
SaleJ Robert KerreyDirector2× since May 28, 2026: 17,648 shares, avg. $235.22$4.2MSep 14, 2026
SaleRichard J MarkDirector10,000 shares at $263.42$2.6MSep 10, 2026
SaleNadja WestDirector3× since Dec 15, 2025: 6,330 shares, avg. $199.10$1.3MSep 2, 2026
SaleLisa Y FooEVP, Chief Operating Officer2× since Jul 29, 2026: 34,000 shares, avg. $263.88$9.0MAug 31, 2026
SaleSaumya SutariaCEO, Director100,000 shares at $276.36$27.6MAug 25, 2026
SaleCecil D HaneyDirector1,300 shares at $278.03$361,439Aug 24, 2026
SaleTammy RomoDirector7,422 shares at $263.03$2.0MAug 7, 2026
SaleRoy BluntDirector600 shares at $262.68$157,608Aug 5, 2026
SaleJames L BiermanDirector5,000 shares at $244.96$1.2MJul 27, 2026
SalePaola M ArbourEVP, Chief Information Officer2× since Mar 11, 2026: 17,378 shares, avg. $241.85$4.2MJul 27, 2026
Plus 3 more entries from the last 12 months.
Plus 12 other filings such as grants, option exercises or tax withholding. They are not market purchases or sales.
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.76/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+3.1%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+3.6%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+3.9%
Start year 2020 (pandemic). Over 10 years: +1.4% a year
Revenue growth 40 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+5.1%
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What shareholders gained per year (last 5 years) (mathematically smoothed) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Smoothed = median of all growth paths between the years of the window (trend line on the logarithm of earnings per share): a single extreme year cannot distort the rate. The reported figure stays in the tooltip.
+56.8%
Earnings growth per share plus dividend.
Earnings per share, growth per year+56.8%
Dividend (yield on the price)0.0%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.base effect: 20.5% / 62.6%
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.11% → 16%
2025 sits 166% above its own trend. The rate follows the median trend of the last 5 years, not that single year.
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
Price in line with expectations
The price assumes about as much growth as the company has delivered so far and about what analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+2.7%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+1.5%
Yearly sales growth analysts expect, extended to five years.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +0.3% a year for the price and −0.8% for the forecasts.
AI conclusion: Growth from higher-acuity cases and ambulatory surgery forms the main strength, while limited moat and debt exceeding equity represent the key weakness.
Main risk: Changes to Medicare or Medicaid reimbursement rates, eligibility or site-neutral payment rules could cut revenues and margins from government payers that represent a substantial share of admissions and procedures.
Bull case: Tenet could further accelerate its shift toward higher-margin ambulatory surgery centers and use automation to maintain or improve overall profitability even if hospital reimbursements face pressure.
Bear case: If reimbursement or eligibility rules tighten materially, the hospital segment could see persistent volume and margin erosion that ambulatory growth might not fully offset.
Tenet faces a notable earnings headwind from the expiration of enhanced ACA subsidies. Yet executives project continued underlying growth from higher-acuity cases and the ambulatory surgery segment. Will operational gains fully offset this policy challenge, or will margins feel more pressure than the headline outlook suggests?
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Medical Care Facilities · 235 stocks
Beats the industry median on 7/13 measures
A mixed picture versus its industry peers.
Valuation
Quality Score60 · Above median
Fair Value upside−4.5% · Below median
Profitability
Return on equity (12 months)41.7% · Top 25%
Return on assets8.0% · Above median
Net margin (12 months)22.0% · Top 25%
Operating margin (12 months)19.0% · Top 25%
Growth and dividend
Revenue growth (quarter YoY)6.5% · Above median
Balance sheet
Debt / equity3.10× · Highest 25%
Valuation Multiplesvs Medical Care Facilities median · lower = cheaper
P/E (12 months)8.5× · Cheapest 25%
P/B5.81× · book value is mostly goodwill ⓘGoodwill and other intangible assets are larger than the equity. The book value mainly reflects prices paid for past acquisitions, so we do not rank this P/B against the peer group.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Is Tenet Healthcare Corporation (THC) overvalued or undervalued?
As of Nov 3, 2026, our model estimates a fair value of $279.20 versus a price of $292.25, about 4% lower (fairly valued).
What is the fair value of THC?
Our model-based fair value for Tenet Healthcare Corporation is $279.20 (as of Nov 3, 2026), built from audited fundamentals. The current price: $292.25.
What is the quality score of THC?
Tenet Healthcare Corporation has a Quality Score of 60/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Tenet Healthcare Corporation (THC)?
Our model-based price target is the fair value of $279.20 (as of Nov 3, 2026) from 21 valuation models. Cautious scenario $173.00, optimistic scenario $412.05. It is a calculation from audited fundamentals, not an analyst target.
What is the Tenet Healthcare Corporation stock forecast for 2026?
Our models put fair value at $279.20, about 4% lower versus a price of $292.25 (fairly valued). Cautious scenario $173.00, optimistic scenario $412.05. The calculation is refreshed regularly with new filings.
What is the revenue of Tenet Healthcare Corporation (THC)?
Tenet Healthcare Corporation reported trailing-twelve-month revenue of about $22.2B (latest available figure, as of Nov 3, 2026).
What growth is priced into Tenet Healthcare Corporation (THC)?
For today's price to be fair in a discounted-cash-flow model, Tenet Healthcare Corporation would have to grow free cash flow by +2.7 % per year for five years (discount rate 9.7 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +3.9 % per year. As of Nov 3, 2026.
What discount rate (WACC) does the fair value of THC use?
Our models discount Tenet Healthcare Corporation at 9.7 %: a base by market capitalisation (large), damped by beta 1.20, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Tenet Healthcare Corporation that is +2.7 % per year a year over ten years, using the same discount rate (9.7 %) and the same formula as our fair value.
How much growth has Tenet Healthcare Corporation (THC) delivered so far?
Over the past 5 years revenue at Tenet Healthcare Corporation grew +3.9 % a year. The price currently implies +2.7 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Tenet Healthcare Corporation (THC) growing?
The median revenue growth in the sector is +6.2 % a year. That is the yardstick for the growth priced into Tenet Healthcare Corporation (+2.7 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Tenet Healthcare Corporation (THC)?
The free-cash-flow yield on the price is 10.31 %: that much free cash flow Tenet Healthcare Corporation produces per unit of market value. When it exceeds the discount rate of our models (9.7 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Tenet Healthcare Corporation (THC)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Tenet Healthcare Corporation it is $279.20 per share (as of Nov 3, 2026), against a price of $292.25. It is the blended result of 21 valuation models (cash flow, earnings, asset, dividend).
Is Tenet Healthcare Corporation stock overvalued or undervalued in 2026?
As of Nov 3, 2026, THC trades above its calculated fair value: price $292.25, fair value $279.20, a gap of about −4% (fairly valued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of THC?
No. The price is what the market pays today ($292.25); the fair value is what the company's own numbers justify ($279.20). For Tenet Healthcare Corporation the two are $13.05 per share apart. That gap is exactly why we show both numbers side by side.
How much is Tenet Healthcare Corporation worth?
The market values Tenet Healthcare Corporation at about $24.5B (market capitalisation, as of Nov 3, 2026). Per share that is $292.25; our models calculate a fair value of $279.20 per share.
What do the bullish and bearish scenarios say about THC?
Our models span a range for Tenet Healthcare Corporation: cautious scenario $173.00, base $279.20, optimistic $412.05 per share (as of Nov 3, 2026, price $292.25). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of THC?
Tenet Healthcare Corporation trades at a price-to-earnings ratio of 8.5 (as of Nov 3, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $279.20 is built from several models across several years. Median P/E at fiscal year-end, 7 fiscal years (2018 to 2025), reported earnings, FY2025 ex one-offs: 11.8. Other multiples: PEG 1.9, P/B 5.8, P/S 1.9, EV/EBITDA 11.4.
What is the PEG ratio of THC?
The PEG ratio of Tenet Healthcare Corporation is 1.89 (P/E divided by earnings growth, as of Nov 3, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Tenet Healthcare Corporation (THC)?
Balance-sheet figures for Tenet Healthcare Corporation (as of Nov 3, 2026): return on equity 41.7%, debt of 3.10 per unit of equity. They feed the Quality Score of 60/100, which measures business quality independently of the share price.
How far is THC from its 52-week high?
Tenet Healthcare Corporation trades at $292.25, at its 52-week high of $292.25 and 81% above the low of $161.37 (as of Nov 4, 2026). Distance from the high says nothing about value: that is what the fair value of $279.20 is for.
Which stocks are comparable to Tenet Healthcare Corporation?
From the same area (Healthcare) we also value HCA Healthcare, Inc, Fresenius SE, Dr. Sulaiman Al Habib Medical Services Group, Encompass Health Corporation, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Tenet Healthcare Corporation stock attractive at the current price?
The data as of Nov 3, 2026: price $292.25, calculated fair value $279.20 (−4%), Quality Score 60/100, from 21 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of THC calculated?
We run Tenet Healthcare Corporation through 21 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $279.20, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 15.6% above its aggregate fair value. Tenet Healthcare Corporation itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Tenet Healthcare Corporation (THC)?
The closing price on Nov 4, 2026 was $292.25. Our model-based fair value is $279.20, about 4% lower (fairly valued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Tenet Healthcare Corporation right now?
The price sits close to our fair value, market and models broadly agree here, little valuation tension. A fairly wide model range ($173.00 to $412.05) leaves room in how you read the outcome.
Key figures of Tenet Healthcare Corporation
How large is the market capitalisation of Tenet Healthcare Corporation (THC)?
The market capitalisation of Tenet Healthcare Corporation is $24.5B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Tenet Healthcare Corporation (THC)?
The price-to-sales ratio of Tenet Healthcare Corporation is 1.11 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Tenet Healthcare Corporation (THC)?
Earnings per share at Tenet Healthcare Corporation are $34.29 (price ÷ EPS = P/E 8.5). Earnings per share over the last twelve months: total profit spread across every single share.
What is the net margin of Tenet Healthcare Corporation (THC)?
The net margin of Tenet Healthcare Corporation is 13.1% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Tenet Healthcare Corporation (THC)?
The return on equity (ROE) of Tenet Healthcare Corporation is 41.7% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Tenet Healthcare Corporation (THC)?
On an EBIT basis the return on assets of Tenet Healthcare Corporation is 12.0% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Tenet Healthcare Corporation (THC)?
The operating margin of Tenet Healthcare Corporation is 19.0% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Tenet Healthcare Corporation (THC)?
Revenue at Tenet Healthcare Corporation is growing +6.5% versus a year earlier (3y avg +3.6%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Tenet Healthcare Corporation (THC)?
Earnings per share at Tenet Healthcare Corporation are growing +222% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Tenet Healthcare Corporation (THC) carry?
The net debt of Tenet Healthcare Corporation is $10.3B (fiscal year 2025, ≈ 4.1 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Some data
Nov 3, 2026