Tenet Healthcare (NYSE:THC) Board of Directors Declares Stock Repurchase Program

Tenet Healthcare (NYSE:THC) announced that its Board of Directors has authorized a share buyback program on Wednesday, July 24th, RTT News reports. The company plans to repurchase $1.50 billion in shares. This repurchase authorization permits the company to repurchase up to 10.3% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s management believes its shares are undervalued.

Tenet Healthcare Price Performance

Shares of THC stock traded up $4.49 during trading hours on Thursday, hitting $149.83. The company had a trading volume of 2,597,418 shares, compared to its average volume of 1,233,267. The company has a debt-to-equity ratio of 2.58, a quick ratio of 1.37 and a current ratio of 1.44. The firm has a market capitalization of $14.64 billion, a price-to-earnings ratio of 5.81, a PEG ratio of 1.25 and a beta of 2.15. Tenet Healthcare has a 12 month low of $51.04 and a 12 month high of $151.00. The firm’s fifty day moving average is $134.51 and its 200 day moving average is $110.23.

Tenet Healthcare (NYSE:THC) last released its quarterly earnings data on Tuesday, April 30th. The company reported $3.22 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.45 by $1.77. The firm had revenue of $5.37 billion during the quarter, compared to analyst estimates of $5.15 billion. Tenet Healthcare had a return on equity of 26.76% and a net margin of 12.53%. The business’s revenue for the quarter was up 6.9% compared to the same quarter last year. During the same period in the prior year, the company posted $1.42 earnings per share. On average, sell-side analysts predict that Tenet Healthcare will post 8.87 EPS for the current fiscal year.

Analyst Ratings Changes

A number of research firms have weighed in on THC. Citigroup boosted their target price on shares of Tenet Healthcare from $139.00 to $171.00 and gave the stock a “buy” rating in a research report on Thursday. Robert W. Baird initiated coverage on Tenet Healthcare in a research note on Thursday, May 30th. They set an “outperform” rating and a $153.00 target price for the company. StockNews.com raised Tenet Healthcare from a “buy” rating to a “strong-buy” rating in a research report on Friday, June 7th. UBS Group raised their price objective on shares of Tenet Healthcare from $137.00 to $150.00 and gave the stock a “buy” rating in a research note on Wednesday, May 1st. Finally, JPMorgan Chase & Co. increased their price target on shares of Tenet Healthcare from $107.00 to $140.00 and gave the company an “overweight” rating in a report on Thursday, May 30th. One research analyst has rated the stock with a hold rating, fifteen have given a buy rating and three have assigned a strong buy rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Buy” and a consensus target price of $137.12.

Insider Buying and Selling at Tenet Healthcare

In other news, Director Richard W. Fisher sold 1,400 shares of Tenet Healthcare stock in a transaction that occurred on Monday, June 10th. The shares were sold at an average price of $132.24, for a total value of $185,136.00. Following the completion of the transaction, the director now owns 16,227 shares in the company, valued at $2,145,858.48. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In other Tenet Healthcare news, Director Richard W. Fisher sold 1,400 shares of the stock in a transaction dated Monday, June 10th. The shares were sold at an average price of $132.24, for a total transaction of $185,136.00. Following the sale, the director now owns 16,227 shares of the company’s stock, valued at approximately $2,145,858.48. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Christopher S. Lynch sold 10,861 shares of the stock in a transaction that occurred on Thursday, May 30th. The shares were sold at an average price of $133.83, for a total transaction of $1,453,527.63. Following the sale, the director now directly owns 14,759 shares in the company, valued at $1,975,196.97. The disclosure for this sale can be found here. Insiders have sold a total of 24,691 shares of company stock worth $3,117,909 over the last ninety days. Corporate insiders own 0.93% of the company’s stock.

About Tenet Healthcare

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. Its general hospitals offer acute care services, operating and recovery rooms, radiology and respiratory therapy services, clinical laboratories, and pharmacies.