The famous investor David Einhorn revealed that he has taken a long position in Tenet Healthcare $THC stock. The reveal was made to CNBC on March 1, 2023. A Resurrection CrossWhen the 50 day moving average crosses above the 200 day moving average, it is called a Resurrection Cross. Conversely, when the 50 day moving average crosses below the 200 day mov... seems imminent in $THC stock in the coming week or so.
The stock has been trading in an uptrend channelUptrend and downtrend channel patterns are technical analysis tools used to identify potential future price movements. They are formed by two parallel lines on a chart and can be u... since November of 2022, after bottoming with the entire market in October 2022.
In the fourth quarter, Einhorn opened a new long position in Tenet Healthcare. While the hospital operator struggled last year and missed earnings as it grappled with issues like labor shortage, he told CNBC that it trades a a single-digits multiple and offers a “relatively stable and recession resistant” business.
“You have a company that is now beginning to really return capital to shareholders,” Einhorn said, alluding to its recent buyback. “And so, when you see that kind of opportunity, we took a medium sized position.” Source: https://www.cnbc.com/2023/03/01/greenlight-capitals-einhorn-share-his-favorite-long-positions-in-2023.html
Tenet Healthcare price target raised at Mizuho
Following the Q4 results, Mizuho analyst Ann Hynes maintained a Buy rating on the shares of Tenet Healthcare and increased the price target to $78 from $60 on February 17, 2023. The better than anticipated payer mix in acute care, a quicker recovery in the surgery center business, and contract labor trends all point to potential upside to estimates, according to the analyst. According to the analyst’s research note to investors, improving trends in the surgery center market are essential to enabling multiple expansion for Tenet.
Tenet Reports Fourth Quarter and FY 2022 Results
On February 9, 2023, Tenet Healthcare reported Q4 adjusted EPS of $1.96 versus $2.70 a year ago. The company reported Q4 revenueThe income statement provides a summary of a company's revenue and expenses over a specified period of time, typically a year or a quarter. It shows the company's total revenue, th... of $4.99B versus $4.86B a year ago.
“We closed the year with a strong fourth quarter and demonstrated operating discipline in a dynamic environment while providing patient-centered high quality care,” said CEO Saum Sutaria. “Our momentum going into 2023 positions us for continued growth as we remain focused on expanding our industry-leading ambulatory business and investing in technology, innovation, and talent.”