Tenet Stock Valuation

THC
 Stock
  

USD 43.75  0.37  0.84%   

Do you wonder what the value of Tenet Healthcare is? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Tenet Healthcare, is its stock price multiplied by the total number of shares outstanding, calculating Tenet Healthcare's enterprise value requires a different approach. It uses Tenet Healthcare's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
The current year Free Cash Flow is expected to grow to about 317.6 M, whereas Enterprise Value is forecasted to decline to about 11.7 B.
Tenet Healthcare has a current Real Value of $54.38 per share. The regular price of the company is $43.75. At this time, the company appears to be undervalued. Our model measures the value of Tenet Healthcare from inspecting the company fundamentals such as Return On Equity of 57.03 %, shares outstanding of 108.12 M, and Operating Margin of 0.13 % as well as reviewing its technical indicators and Probability Of Bankruptcy. In general, we recommend taking in undervalued stocks and trading overvalued stocks since, at some point, asset prices and their ongoing real values will draw towards each other.
  
Tenet Healthcare Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Tenet Healthcare's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.
Undervalued
Today 43.75
Please note that Tenet Healthcare's price fluctuation is very steady at this time. Calculation of the real value of Tenet Healthcare is based on 3 months time horizon. Increasing Tenet Healthcare's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Tenet Healthcare is useful when determining the fair value of the Tenet stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Tenet Healthcare. Since Tenet Healthcare is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Tenet Stock. However, Tenet Healthcare's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
54.38
Real Value
59.61
Upside
Estimating the potential upside or downside of Tenet Healthcare helps investors to forecast how Tenet stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Tenet Healthcare more accurately as focusing exclusively on Tenet Healthcare's fundamentals will not take into account other important factors:
Earnings
Estimates (8)
LowProjected EPSHigh
6.056.457.01
Details
Hype
Prediction
LowEstimated ValueHigh
39.3144.5449.77
Details
Naive
Forecast
LowNext ValueHigh
33.1438.3643.59
Details
14 Analysts
Consensus
LowTarget PriceHigh
80.0092.23120.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Tenet Healthcare's intrinsic value based on its ongoing forecasts of Tenet Healthcare's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Tenet Healthcare's closest peers. When choosing an evaluation method for Tenet Healthcare, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Tenet Healthcare Investments

1.21 Billion

Tenet Valuation Drivers Correlation

Many accounts on the financial statements of Tenet Healthcare are highly interrelated and sometimes correlated. Consequently, when conducting Tenet's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Tenet
Click cells to compare fundamentals

Tenet Valuation Trend

Knowing Tenet Healthcare's actual value is paramount for traders to make sound investment determinations. Tenet Healthcare's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Tenet Healthcare's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Tenet Healthcare's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Tenet Market Cap

Tenet Healthcare is currently regarded as top stock in market capitalization category among related companies. Market capitalization of Health Care industry is at this time estimated at about 3.45 Trillion. Tenet Healthcare adds roughly 4.78 Billion in market capitalization claiming only tiny portion of equities under Health Care industry.
Capitalization  Valuation  Workforce  Total debt  Revenue

Tenet Healthcare Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Tenet Healthcare's current stock value. Our valuation model uses many indicators to compare Tenet Healthcare value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Tenet Healthcare competition to find correlations between indicators driving Tenet Healthcare's intrinsic value. More Info.
Tenet Healthcare is currently regarded as top stock in price to earning category among related companies. It is currently regarded as top stock in price to book category among related companies fabricating about  0.33  of Price to Book per Price to Earning. The ratio of Price to Earning to Price to Book for Tenet Healthcare is roughly  3.01 . The current year Price to Book Value is expected to grow to 6.26. Comparative valuation analysis is a catch-all model that can be used if you cannot value Tenet Healthcare by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Tenet Healthcare's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Tenet Healthcare's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Tenet Healthcare's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Tenet Healthcare and how it compares across the competition.

About Tenet Healthcare Valuation

The stock valuation mechanism determines the current worth of Tenet Healthcare on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Tenet Healthcare. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Tenet Healthcare based exclusively on its fundamental and basic technical indicators. By analyzing Tenet Healthcare's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Tenet Healthcare's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Tenet Healthcare. We calculate exposure to Tenet Healthcare's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Tenet Healthcare's related companies.
Last ReportedProjected for 2022
Gross Profit17.7 B19.1 B
Profit Margin 4.69  5.06 

Tenet Healthcare Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Tenet Healthcare does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
DescriptionTenet Healthcare Corporation operates as a diversified healthcare services company. The company operates in three segments Hospital Operations and Oth
Quarterly Earnings Growth Y O Y-0.72

Tenet Healthcare Current Valuation Indicators

Valuation refers to the process of determining the present value of Tenet Healthcare and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Tenet we look at many different elements of the entity such as Tenet's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Tenet Healthcare's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Tenet Healthcare's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Tenet Healthcare, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Tenet Healthcare's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Tenet Healthcare's worth.
Additionally, take a look at World Market Map. Note that the Tenet Healthcare information on this page should be used as a complementary analysis to other Tenet Healthcare's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..

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When running Tenet Healthcare price analysis, check to measure Tenet Healthcare's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Tenet Healthcare is operating at the current time. Most of Tenet Healthcare's value examination focuses on studying past and present price action to predict the probability of Tenet Healthcare's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Tenet Healthcare's price. Additionally, you may evaluate how the addition of Tenet Healthcare to your portfolios can decrease your overall portfolio volatility.
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Is Tenet Healthcare's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Tenet Healthcare. If investors know Tenet will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Tenet Healthcare listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Tenet Healthcare is measured differently than its book value, which is the value of Tenet that is recorded on the company's balance sheet. Investors also form their own opinion of Tenet Healthcare's value that differs from its market value or its book value, called intrinsic value, which is Tenet Healthcare's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Tenet Healthcare's market value can be influenced by many factors that don't directly affect Tenet Healthcare's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Tenet Healthcare's value and its price as these two are different measures arrived at by different means. Investors typically determine Tenet Healthcare value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Tenet Healthcare's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.