Tenet Healthcare (NYSE:THC) Shares Gap Up - Still a Buy?

Tenet Healthcare Co. (NYSE:THC - Get Free Report) shares gapped up prior to trading on Tuesday . The stock had previously closed at $139.49, but opened at $147.70. Tenet Healthcare shares last traded at $151.39, with a volume of 352,613 shares trading hands.

Analyst Upgrades and Downgrades

A number of research analysts recently commented on the company. Wells Fargo & Company increased their target price on Tenet Healthcare from $175.00 to $195.00 and gave the company an "overweight" rating in a research note on Tuesday, October 22nd. Citigroup raised their price objective on Tenet Healthcare from $139.00 to $171.00 and gave the company a "buy" rating in a research note on Thursday, July 25th. Raymond James raised their price objective on Tenet Healthcare from $130.00 to $175.00 and gave the company a "strong-buy" rating in a research note on Thursday, July 25th. UBS Group boosted their target price on Tenet Healthcare from $180.00 to $197.00 and gave the stock a "buy" rating in a report on Wednesday, August 14th. Finally, KeyCorp started coverage on Tenet Healthcare in a research report on Friday, October 11th. They issued an "overweight" rating and a $200.00 price target for the company. One analyst has rated the stock with a hold rating, fourteen have assigned a buy rating and four have issued a strong buy rating to the company. According to MarketBeat, the company presently has an average rating of "Buy" and a consensus price target of $157.24.

Tenet Healthcare Price Performance

The firm has a fifty day simple moving average of $159.51 and a 200 day simple moving average of $141.04. The company has a market capitalization of $15.60 billion, a PE ratio of 5.53, a P/E/G ratio of 0.71 and a beta of 2.14. The company has a debt-to-equity ratio of 2.53, a quick ratio of 1.38 and a current ratio of 1.45.

Tenet Healthcare declared that its board has approved a stock repurchase program on Wednesday, July 24th that permits the company to buyback $1.50 billion in outstanding shares. This buyback authorization permits the company to purchase up to 10.3% of its stock through open market purchases. Stock buyback programs are generally a sign that the company's leadership believes its stock is undervalued.

Insiders Place Their Bets

In other Tenet Healthcare news, insider R. Scott Ramsey sold 11,599 shares of the stock in a transaction on Thursday, September 5th. The stock was sold at an average price of $162.06, for a total transaction of $1,879,733.94. Following the sale, the insider now owns 6,324 shares of the company's stock, valued at approximately $1,024,867.44. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other Tenet Healthcare news, insider R. Scott Ramsey sold 11,599 shares of the stock in a transaction on Thursday, September 5th. The stock was sold at an average price of $162.06, for a total transaction of $1,879,733.94. Following the sale, the insider now owns 6,324 shares of the company's stock, valued at approximately $1,024,867.44. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Meghan Fitzgerald sold 20,000 shares of the stock in a transaction on Tuesday, August 6th. The shares were sold at an average price of $146.34, for a total value of $2,926,800.00. Following the sale, the director now directly owns 15,269 shares in the company, valued at $2,234,465.46. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 128,203 shares of company stock worth $19,754,997 in the last ninety days. 0.93% of the stock is owned by company insiders.

Institutional Trading of Tenet Healthcare

A number of institutional investors have recently made changes to their positions in THC. Mirae Asset Global Investments Co. Ltd. raised its stake in shares of Tenet Healthcare by 0.7% during the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 12,604 shares of the company's stock valued at $1,325,000 after buying an additional 90 shares during the last quarter. Optas LLC raised its stake in shares of Tenet Healthcare by 3.4% during the 3rd quarter. Optas LLC now owns 2,821 shares of the company's stock valued at $469,000 after buying an additional 93 shares during the last quarter. Signaturefd LLC raised its stake in shares of Tenet Healthcare by 17.6% during the 3rd quarter. Signaturefd LLC now owns 628 shares of the company's stock valued at $104,000 after buying an additional 94 shares during the last quarter. EverSource Wealth Advisors LLC raised its stake in shares of Tenet Healthcare by 20.7% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 560 shares of the company's stock valued at $74,000 after buying an additional 96 shares during the last quarter. Finally, First Citizens Bank & Trust Co. raised its stake in shares of Tenet Healthcare by 5.1% during the 3rd quarter. First Citizens Bank & Trust Co. now owns 2,226 shares of the company's stock valued at $370,000 after buying an additional 109 shares during the last quarter. Institutional investors and hedge funds own 95.44% 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.