Will Reduced Patient Days Impact Tenet Healthcare's Q3 Earnings?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 23 2025
0mins
Source: NASDAQ.COM
Tenet Healthcare Earnings Report: Tenet Healthcare Corporation is set to report its third-quarter 2025 results on October 28, with earnings estimated at $3.33 per share and revenues of $5.24 billion, reflecting a year-over-year earnings increase of 13.7%.
Revenue and Admission Estimates: The full-year revenue estimate for 2025 is $21.16 billion, indicating a 2.4% rise year-over-year, while adjusted patient admissions are expected to grow by 2.7%, although a decrease of 5.7% is projected for same-hospital admissions.
Earnings Beat Uncertainty: Despite Tenet's history of beating earnings estimates, the current model suggests uncertainty for this quarter, with an Earnings ESP of 0.00% and a Zacks Rank of #4 (Sell), indicating a lower likelihood of an earnings beat.
Alternative Investment Opportunities: Other companies in the medical sector, such as Select Medical Holdings and Erasca, show more favorable conditions for potential earnings beats, with positive Earnings ESPs and strong Zacks Ranks.
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Analyst Views on THC
Wall Street analysts forecast THC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for THC is 241.36 USD with a low forecast of 224.00 USD and a high forecast of 260.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
15 Analyst Rating
15 Buy
0 Hold
0 Sell
Strong Buy
Current: 189.580
Low
224.00
Averages
241.36
High
260.00
Current: 189.580
Low
224.00
Averages
241.36
High
260.00
About THC
Tenet Healthcare Corporation is a diversified healthcare services company. The Company's segments include Hospital Operations and Services (Hospital Operations) and Ambulatory Care. The Hospital Operations segment is comprised of its acute care and specialty hospitals, a network of employed physicians and ancillary outpatient facilities. The Company's subsidiaries operate approximately 49 hospitals serving primarily urban and suburban communities in eight states. The Hospital Operations segment also includes around 135 outpatient facilities, including urgent care centers, imaging centers, off-campus hospital emergency departments and micro hospitals. It also provides revenue cycle management and value based care services. The Ambulatory Care segment, through its USPI Holding Company, Inc. subsidiary, holds ownership interests in approximately 518 ambulatory surgery centers, and 25 surgical hospitals in 37 states. The Company operates a Global Business Center in the Philippines.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
BofA Cautious on Hospitals, Forecasts 2-4% EBITDA Headwind Over Next 5 Years
- Dismal Industry Outlook: BofA Securities forecasts a 2-4% annual EBITDA headwind for hospitals over the next five years due to cuts from the Reconciliation Bill and the expiration of enhanced exchange subsidies, negatively impacting revenue and margins.
- Increased Policy Risks: Analysts note that while some new state-directed payment programs may be approved, future policy changes could further suppress hospital profitability, particularly concerning Medicaid and exchange policies.
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- Shift in Investment Preferences: BofA favors post-acute care companies like Encompass Health due to their minimal exposure to upcoming cuts, anticipating higher visibility growth, which reflects a positive outlook on favorable industry dynamics.
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Tenet Healthcare (THC) Projects 17.73% EPS Growth in Upcoming Earnings
- Stock Performance: Tenet Healthcare's shares closed at $200.60, rising 1.43% from the previous session, outperforming the S&P 500's slight decline of 0.03%, indicating market confidence in its short-term performance.
- Earnings Expectations: The upcoming earnings report is projected to show earnings per share (EPS) of $4.05, reflecting a 17.73% increase from the same quarter last year, suggesting an improvement in profitability that may attract more investor interest.
- Revenue Forecast: The Zacks Consensus Estimate anticipates net sales of $5.45 billion for Tenet Healthcare, representing a 7.44% year-over-year growth, highlighting the company's robust growth trajectory within the healthcare sector.
- Valuation Analysis: Tenet Healthcare currently trades at a forward P/E ratio of 12.25, significantly above the industry average of 8.73, indicating high market expectations for future growth, while its PEG ratio of 0.86 suggests a relatively reasonable growth outlook.
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