Tenet Healthcare Corporation (THC) 10-Year Financial Performance & Capital Metrics

THC • • Industrial / General

HealthcareHealthcare FacilitiesHospital & Acute Care FacilitiesGeneral Acute Care Hospitals

AboutTenet Healthcare Corporation operates as a diversified healthcare services company. The company operates in three segments: Hospital Operations and Other, Ambulatory Care, and Conifer. 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 coronary care units; cardiovascular, digestive disease, neurosciences, musculoskeletal, and obstetrics services; outpatient services, including physical therapy; cardiothoracic surgery, complex spinal surgery, neonatal intensive care, and neurosurgery services; quaternary care services in heart and kidney transplants; and limb-salvaging vascular procedure, acute level 1 trauma, intravascular stroke care, minimally invasive cardiac valve replacement, imaging, and telemedicine access services. In addition, it operates ambulatory surgery and urgent care centers, imaging centers, surgical hospitals, off-campus emergency departments, and micro-hospitals; and offers healthcare business process services in the areas of hospital and physician revenue cycle management, patient communications and engagement support, and value-based care solutions to hospitals, health systems, physician practices, employers, and other customers. As of February 09, 2022, the company operated 60 hospitals; and approximately 550 other healthcare facilities, including surgical hospitals, ambulatory surgery centers, urgent care and imaging centers, and other care sites and clinics. Tenet Healthcare Corporation was incorporated in 1975 and is headquartered in Dallas, Texas.Show more

Revenue $20.66B +0.6%
EBITDA $6.77B +100.4%
Net Income $3.2B +423.7%
EPS (Diluted) 32.70 +472.7%
Gross Margin 39.72% +4.6%
EBITDA Margin 32.78% +99.3%
Operating Margin 28.82% +135.9%
Net Margin 15.49% +420.8%
ROE 45.54% +277.0%
ROIC 22.83% +131.1%
Debt/Equity 1.68 -38.5%
Interest Coverage 7.21 +158.8%

Technical Analysis

Key Insights

Based on financial data analysis

✓Strengths

✓Excellent 3Y average ROE of 22.3%
✓Strong Piotroski F-Score: 7/9
✓Share count reduced 6.6% through buybacks

✗Weaknesses

No significant weaknesses identified

Price & Volume

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Growth Metrics

Revenue CAGR

10Y2.21%

5Y2.26%

3Y1.98%

TTM-0.56%

Profit (Net Income) CAGR

10Y74.82%

5Y-

3Y51.85%

TTM-56.69%

EPS CAGR

10Y75.2%

5Y-

3Y57.19%

TTM-53.25%

ROCE

10Y Avg10.34%

5Y Avg13.67%

3Y Avg15.31%

Latest24.73%

Peer Comparison

General Acute Care Hospitals

Name	Market Cap	Current Price	P/E Ratio	Revenue Growth 1Y	Net Margin	ROE	FCF Yield	Debt/Equity
HCAHCA Healthcare, Inc.	110.4B	483.80	21.99	8.67%	8.57%	7.13%	5.11%	81.51
UHSUniversal Health Services, Inc.	11.28B	204.19	12.14	10.82%	8.09%	18.85%	9.96%	0.73
THCTenet Healthcare Corporation	17.69B	201.32	6.16	0.57%	6.49%	15.56%	6.31%	1.68
ARDTArdent Health Partners, LLC	1.27B	8.90	5.63	10.29%	3.24%	12.57%	10.01%	1.50
AUNAAuna S.A.	138.14M	4.59	2.82	14.47%	4.33%	10.05%	100%	2.32
CYHCommunity Health Systems, Inc.	462.66M	3.34	-0.86	1.15%	2.6%		25.94%

Profit & Loss

	Dec 2015	Dec 2016	Dec 2017	Dec 2018	Dec 2019	Dec 2020	Dec 2021	Dec 2022	Dec 2023	Dec 2024
Sales/Revenue+	18.63B	19.62B	19.18B	18.31B	18.48B	17.64B	19.48B	19.17B	20.55B	20.66B
Revenue Growth %	0.12%	0.05%	-0.02%	-0.05%	0.01%	-0.05%	0.1%	-0.02%	0.07%	0.01%
Cost of Goods Sold+	11.95B	12.48B	12.38B	11.65B	11.77B	11.41B	12.22B	12.13B	12.74B	12.46B
COGS % of Revenue	0.64%	0.64%	0.65%	0.64%	0.64%	0.65%	0.63%	0.63%	0.62%	0.6%
Gross Profit+	6.68B	7.14B	6.79B	6.66B	6.71B	6.23B	7.27B	7.05B	7.8B	8.21B
Gross Margin %	0.36%	0.36%	0.35%	0.36%	0.36%	0.35%	0.37%	0.37%	0.38%	0.4%
Gross Profit Growth %	0.12%	0.07%	-0.05%	-0.02%	0.01%	-0.07%	0.17%	-0.03%	0.11%	0.05%
Operating Expenses+	5.6B	5.89B	5.68B	5.02B	5.18B	4.24B	4.4B	4.71B	5.29B	2.25B
OpEx % of Revenue	0.3%	0.3%	0.3%	0.27%	0.28%	0.24%	0.23%	0.25%	0.26%	0.11%
Selling, General & Admin	248M	315M	0	0	344M	403M	412M	412M	418M	8.8B
SG&A % of Revenue	0.01%	0.02%	-	-	0.02%	0.02%	0.02%	0.02%	0.02%	0.43%
Research & Development	0	0	0	0	0	0	0	0	0	0
R&D % of Revenue	-	-	-	-	-	-	-	-	-	-
Other Operating Expenses	5.36B	5.58B	5.68B	5.02B	4.83B	3.84B	3.98B	4.3B	4.88B	-6.55B
Operating Income+	1.08B	1.25B	1.11B	1.64B	1.54B	1.99B	2.87B	2.33B	2.51B	5.96B
Operating Margin %	0.06%	0.06%	0.06%	0.09%	0.08%	0.11%	0.15%	0.12%	0.12%	0.29%
Operating Income Growth %	0.16%	0.16%	-0.11%	0.47%	-0.06%	0.29%	0.44%	-0.19%	0.08%	1.37%
EBITDA+	1.87B	2.1B	1.98B	2.44B	2.39B	2.85B	3.73B	3.17B	3.38B	6.77B
EBITDA Margin %	0.1%	0.11%	0.1%	0.13%	0.13%	0.16%	0.19%	0.17%	0.16%	0.33%
EBITDA Growth %	0.06%	0.12%	-0.05%	0.23%	-0.02%	0.19%	0.31%	-0.15%	0.06%	1%
D&A (Non-Cash Add-back)	797M	850M	870M	802M	850M	857M	855M	841M	870M	818M
EBIT	1.06B	1.23B	927M	1.63B	1.3B	1.67B	2.81B	2.23B	2.52B	6.07B
Net Interest Income+	-912M	-979M	-1.03B	-1B	-985M	-1B	-923M	-890M	-901M	-826M
Interest Income	0	0	0	0	0	0	0	0	0	0
Interest Expense	912M	979M	1.03B	1B	985M	1B	923M	890M	901M	826M
Other Income/Expense	-933M	-999M	-1.21B	-1.01B	-1.22B	-1.32B	-983M	-988M	-893M	-708M
Pretax Income+	144M	248M	-101M	629M	320M	671M	1.89B	1.34B	1.62B	5.25B
Pretax Margin %	0.01%	0.01%	-0.01%	0.03%	0.02%	0.04%	0.1%	0.07%	0.08%	0.25%
Income Tax+	68M	67M	219M	173M	160M	-97M	411M	344M	306M	1.18B
Effective Tax Rate %	-0.97%	-0.77%	6.97%	0.17%	-0.67%	0.59%	0.48%	0.31%	0.38%	0.61%
Net Income+	-140M	-192M	-704M	104M	-215M	399M	914M	411M	611M	3.2B
Net Margin %	-0.01%	-0.01%	-0.04%	0.01%	-0.01%	0.02%	0.05%	0.02%	0.03%	0.15%
Net Income Growth %	-12.67%	-0.37%	-2.67%	1.15%	-3.07%	2.86%	1.29%	-0.55%	0.49%	4.24%
Net Income (Continuing)	76M	181M	-320M	456M	160M	768M	1.48B	1B	1.31B	4.06B
Discontinued Operations	2M	0	0	3M	11M	0	-1M	1M	0	0
Minority Interest	2.53B	3.06B	2.55B	2.23B	2.36B	2.86B	3.23B	3.47B	3.9B	4.38B
EPS (Diluted)+	-1.41	-1.93	-7.00	1.07	-2.24	3.75	8.42	3.79	5.71	32.70
EPS Growth %	-12.75%	-0.37%	-2.63%	1.15%	-3.09%	2.67%	1.25%	-0.55%	0.51%	4.73%
EPS (Basic)	-1.41	-1.93	-7.00	1.09	-2.24	3.80	8.55	3.84	6.01	33.02
Diluted Shares Outstanding	99.17M	99.32M	100.59M	103.88M	103.4M	106.26M	108.57M	110.52M	104.8M	97.88M
Basic Shares Outstanding	99.17M	99.32M	100.57M	102.11M	103.4M	105.01M	106.83M	106.93M	101.64M	96.9M
Dividend Payout Ratio	-	-	-	-	-	-	-	-	-	-

Balance Sheet

	Dec 2015	Dec 2016	Dec 2017	Dec 2018	Dec 2019	Dec 2020	Dec 2021	Dec 2022	Dec 2023	Dec 2024
Total Current Assets+	5.17B	5.26B	5.57B	4.64B	5.08B	7.15B	7.08B	5.98B	7.17B	7.68B
Cash & Short-Term Investments	356M	716M	611M	411M	262M	2.45B	2.36B	858M	1.23B	3.02B
Cash Only	356M	716M	611M	411M	262M	2.45B	2.36B	858M	1.23B	3.02B
Short-Term Investments	0	0	0	0	0	0	0	0	0	0
Accounts Receivable	3.09B	3.43B	3.02B	3.09B	3.26B	3.35B	3.31B	3.46B	3.4B	3.05B
Days Sales Outstanding	60.49	63.84	57.57	61.65	64.47	69.34	61.93	65.9	60.47	53.94
Inventory	309M	326M	289M	305M	310M	368M	384M	405M	411M	346M
Days Inventory Outstanding	9.44	9.53	8.52	9.55	9.62	11.77	11.47	12.19	11.77	10.14
Other Current Assets	1.42B	783M	1.65B	827M	1.25B	982M	769M	856M	1.73B	895M
Total Non-Current Assets+	18.51B	19.44B	17.81B	17.77B	18.27B	19.96B	20.5B	21.18B	21.14B	21.25B
Property, Plant & Equipment	7.92B	8.05B	7.03B	6.99B	7.79B	7.75B	7.43B	7.59B	7.32B	7.09B
Fixed Asset Turnover	2.35x	2.44x	2.73x	2.62x	2.37x	2.27x	2.62x	2.53x	2.81x	2.92x
Goodwill	6.97B	7.42B	7.02B	7.28B	7.25B	8.81B	9.26B	10.12B	10.31B	10.69B
Intangible Assets	1.68B	1.84B	1.77B	1.73B	1.6B	1.6B	1.5B	1.42B	1.37B	1.4B
Long-Term Investments	1.18B	984M	1.28B	1.23B	1.19B	1.23B	2.03B	1.83B	1.89B	1.81B
Other Non-Current Assets	0	266M	263M	229M	264M	239M	224M	192M	180M	194M
Total Assets+	23.68B	24.7B	23.39B	22.41B	23.35B	27.11B	27.58B	27.16B	28.31B	28.94B
Asset Turnover	0.79x	0.79x	0.82x	0.82x	0.79x	0.65x	0.71x	0.71x	0.73x	0.71x
Asset Growth %	0.31%	0.04%	-0.05%	-0.04%	0.04%	0.16%	0.02%	-0.02%	0.04%	0.02%
Total Current Liabilities+	4.31B	4.03B	4.33B	3.86B	4.21B	4.85B	5.11B	4.48B	4.76B	4.31B
Accounts Payable	1.38B	1.19B	1.1B	1.09B	1.2B	1.21B	1.3B	1.5B	1.41B	1.29B
Days Payables Outstanding	42.14	34.75	32.3	34.24	37.35	38.61	38.84	45.27	40.33	37.92
Short-Term Debt	127M	191M	146M	182M	171M	145M	135M	145M	120M	296M
Deferred Revenue (Current)	0	0	0	0	1000K	1000K	1000K	1000K	0	0
Other Current Liabilities	2.3B	2.3B	2.75B	2.23B	2.52B	2.59B	2.51B	2.5B	3.01B	2.55B
Current Ratio	1.20x	1.30x	1.29x	1.20x	1.21x	1.47x	1.38x	1.34x	1.51x	1.78x
Quick Ratio	1.13x	1.22x	1.22x	1.12x	1.13x	1.40x	1.31x	1.25x	1.42x	1.70x
Cash Conversion Cycle	27.78	38.63	33.79	36.97	36.74	42.5	34.56	32.82	31.91	26.16
Total Non-Current Liabilities+	16.15B	17.19B	16.65B	16.45B	17.16B	19.37B	18.21B	18.07B	18.04B	16.08B
Long-Term Debt	14.38B	15.06B	14.79B	14.64B	14.58B	15.57B	15.51B	14.93B	14.88B	12.69B
Capital Lease Obligations	0	0	0	0	0	0	0	0	0	1.34B
Deferred Tax Liabilities	37M	279M	36M	36M	27M	29M	36M	217M	326M	227M
Other Non-Current Liabilities	1.73B	1.85B	1.82B	1.76B	2.59B	2.85B	2.65B	2.91B	2.84B	1.81B
Total Liabilities	20.46B	21.23B	20.98B	20.3B	21.36B	24.22B	23.32B	22.55B	22.8B	20.39B
Total Debt+	14.51B	15.26B	14.94B	14.83B	14.75B	15.72B	15.65B	15.08B	15B	14.33B
Net Debt	14.15B	14.54B	14.33B	14.41B	14.49B	13.27B	13.28B	14.22B	13.77B	11.31B
Debt / Equity	4.50x	4.39x	6.21x	7.04x	7.42x	5.44x	3.68x	3.27x	2.72x	1.68x
Debt / EBITDA	7.74x	7.27x	7.53x	6.08x	6.18x	5.52x	4.20x	4.75x	4.44x	2.11x
Net Debt / EBITDA	7.55x	6.93x	7.22x	5.91x	6.07x	4.66x	3.56x	4.48x	4.08x	1.67x
Interest Coverage	1.18x	1.27x	1.08x	1.63x	1.56x	1.98x	3.11x	2.62x	2.79x	7.21x
Total Equity+	3.22B	3.48B	2.4B	2.11B	1.99B	2.89B	4.26B	4.61B	5.51B	8.55B
Equity Growth %	1.72%	0.08%	-0.31%	-0.12%	-0.06%	0.45%	0.47%	0.08%	0.2%	0.55%
Book Value per Share	32.51	34.99	23.91	20.28	19.24	27.19	39.21	41.70	52.56	87.32
Total Shareholders' Equity	691M	417M	-147M	-119M	-371M	28M	1.03B	1.14B	1.61B	4.17B
Common Stock	7M	7M	7M	7M	7M	7M	8M	8M	8M	8M
Retained Earnings	-1.55B	-1.74B	-2.39B	-2.24B	-2.47B	-2.13B	-1.21B	-803M	-192M	3.01B
Treasury Stock	-2.42B	-2.42B	-2.42B	-2.41B	-2.41B	-2.41B	-2.41B	-2.66B	-2.86B	-3.54B
Accumulated OCI	-164M	-258M	-204M	-223M	-257M	-281M	-233M	-181M	-181M	-180M
Minority Interest	2.53B	3.06B	2.55B	2.23B	2.36B	2.86B	3.23B	3.47B	3.9B	4.38B

Cash Flow

	Dec 2015	Dec 2016	Dec 2017	Dec 2018	Dec 2019	Dec 2020	Dec 2021	Dec 2022	Dec 2023	Dec 2024
Cash from Operations+	1.03B	558M	1.2B	1.05B	1.23B	3.41B	1.57B	1.08B	2.37B	2.05B
Operating CF Margin %	0.06%	0.03%	0.06%	0.06%	0.07%	0.19%	0.08%	0.06%	0.12%	0.1%
Operating CF Growth %	0.49%	-0.46%	1.15%	-0.13%	0.18%	1.76%	-0.54%	-0.31%	1.19%	-0.14%
Net Income	78M	176M	-320M	459M	171M	768M	1.48B	1B	1.31B	4.06B
Depreciation & Amortization	797M	850M	870M	802M	850M	857M	855M	841M	870M	818M
Stock-Based Compensation	69M	68M	59M	46M	42M	44M	56M	56M	66M	67M
Deferred Taxes	42M	41M	200M	147M	144M	-128M	250M	209M	52M	-103M
Other Non-Cash Items	1.68B	1.13B	1.9B	-41M	344M	274M	-332M	119M	4M	-2.94B
Working Capital Changes	-1.64B	-1.71B	-1.5B	-364M	-318M	1.59B	-737M	-1.14B	71M	136M
Change in Receivables	-1.63B	-1.6B	-1.45B	-134M	-247M	195M	-197M	-140M	-29M	245M
Change in Inventory	-130M	-83M	-35M	17M	-94M	-145M	-52M	-64M	-139M	-86M
Change in Payables	68M	-51M	-10M	-142M	12M	1.3B	-584M	-898M	215M	-30M
Cash from Investing+	-1.32B	-430M	21M	-115M	-619M	-1.61B	-714M	-808M	-969M	3.43B
Capital Expenditures	-842M	-875M	-707M	-617M	-670M	-540M	-658M	-762M	-751M	-931M
CapEx % of Revenue	0.05%	0.04%	0.04%	0.03%	0.04%	0.03%	0.03%	0.04%	0.04%	0.05%
Acquisitions	-	-	-	-	-	-	-	-	-	-
Investments	-	-	-	-	-	-	-	-	-	-
Other Investing	539M	539M	823M	564M	56M	94M	1.24B	204M	60M	4.96B
Cash from Financing+	454M	232M	-1.33B	-1.13B	-763M	385M	-936M	-1.78B	-1.03B	-3.69B
Debt Issued (Net)	-	-	-	-	-	-	-	-	-	-
Equity Issued (Net)	-	-	-	-	-	-	-	-	-	-
Dividends Paid	0	0	0	0	0	0	0	0	0	0
Share Repurchases	-	-	-	-	-	-	-	-	-	-
Other Financing	-395M	-374M	-982M	-845M	-293M	-163M	-587M	-703M	-663M	-793M
Net Change in Cash	-	-	-	-	-	-	-	-	-	-
Free Cash Flow+	184M	-317M	493M	432M	563M	2.87B	910M	321M	1.62B	1.12B
FCF Margin %	0.01%	-0.02%	0.03%	0.02%	0.03%	0.16%	0.05%	0.02%	0.08%	0.05%
FCF Growth %	1.75%	-2.72%	2.56%	-0.12%	0.3%	4.09%	-0.68%	-0.65%	4.06%	-0.31%
FCF per Share	1.86	-3.19	4.90	4.16	5.44	26.98	8.38	2.90	15.49	11.40
FCF Conversion (FCF/Net Income)	-7.33x	-2.91x	-1.70x	10.09x	-5.73x	8.54x	1.72x	2.64x	3.89x	0.64x
Interest Paid	859M	932M	939M	976M	946M	962M	937M	848M	882M	851M
Taxes Paid	7M	33M	56M	25M	12M	12M	92M	161M	243M	1.27B

Key Ratios

Metric	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024
Return on Equity (ROE)	-6.35%	-5.73%	-23.95%	4.61%	-10.5%	16.36%	25.58%	9.27%	12.08%	45.54%
Return on Invested Capital (ROIC)	5.39%	5.29%	4.81%	7.38%	6.99%	9.14%	12.78%	9.62%	9.88%	22.83%
Gross Margin	35.85%	36.39%	35.42%	36.37%	36.33%	35.32%	37.3%	36.76%	37.98%	39.72%
Net Margin	-0.75%	-0.98%	-3.67%	0.57%	-1.16%	2.26%	4.69%	2.14%	2.97%	15.49%
Debt / Equity	4.50x	4.39x	6.21x	7.04x	7.42x	5.44x	3.68x	3.27x	2.72x	1.68x
Interest Coverage	1.18x	1.27x	1.08x	1.63x	1.56x	1.98x	3.11x	2.62x	2.79x	7.21x
FCF Conversion	-7.33x	-2.91x	-1.70x	10.09x	-5.73x	8.54x	1.72x	2.64x	3.89x	0.64x
Revenue Growth	12.23%	5.3%	-2.25%	-4.52%	0.91%	-4.54%	10.46%	-1.6%	7.17%	0.57%

Revenue by Segment

	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024
Hospital Operations	-	-	-	-	-	-	15.98B	15.06B	6.03B	5.64B
Hospital Operations Growth	-	-	-	-	-	-	-	-5.76%	-59.99%	-6.34%
Ambulatory Care	959M	1.8B	1.94B	-	-	2.07B	2.72B	3.25B	3.87B	4.53B
Ambulatory Care Growth	-	87.38%	7.96%	-	-	-	31.18%	19.50%	19.00%	17.31%
Conifer	1.41B	1.57B	1.6B	1.53B	1.37B	-	-	5.73B	-	-
Conifer Growth	-	11.18%	1.65%	-4.01%	-10.50%	-	-	-	-	-
Hospital Operations	-	-	-	-	-	823M	-	-	-	-
Hospital Operations Growth	-	-	-	-	-	-	-	-	-	-
Core Services And Other	16.93B	16.9B	16.26B	-	-	-	-	-	-	-
Core Services And Other Growth	-	-0.14%	-3.81%	-	-	-	-	-	-	-

Frequently Asked Questions

Valuation & Price

Tenet Healthcare Corporation (THC) has a price-to-earnings (P/E) ratio of 6.2x. This may indicate the stock is undervalued or faces growth challenges.

Growth & Financials

Tenet Healthcare Corporation (THC) reported $20.86B in revenue for fiscal year 2024. This represents a 141% increase from $8.65B in 2011.

Tenet Healthcare Corporation (THC) grew revenue by 0.6% over the past year. Growth has been modest.

Yes, Tenet Healthcare Corporation (THC) is profitable, generating $1.35B in net income for fiscal year 2024 (15.5% net margin).

Dividend & Returns

Tenet Healthcare Corporation (THC) has a return on equity (ROE) of 45.5%. This is excellent, indicating efficient use of shareholder capital.

Tenet Healthcare Corporation (THC) generated $1.50B in free cash flow for fiscal year 2024. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.

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