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If You Invested $1000 in Tenet Healthcare a Decade Ago, This is How Much It'd Be Worth Now
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How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.
What if you'd invested in Tenet Healthcare (THC - Free Report) ten years ago? It may not have been easy to hold on to THC for all that time, but if you did, how much would your investment be worth today?
Tenet Healthcare's Business In-Depth
With that in mind, let's take a look at Tenet Healthcare's main business drivers.
Founded in 1967 and headquartered in Dallas, TX, Tenet Healthcare Corp., is an investor-owned health care services company, which owns and operates general hospitals and related health care facilities for urban and rural communities in numerous states, and has offices in California and Florida. The company has investments in other health care companies and is one of the largest investor-owned health care delivery systems in the United States.
Tenet Healthcare and its subsidiaries provide healthcare services primarily through general hospitals and related healthcare facilities. Its hospitals offer acute care services, operating and recovery rooms, radiology services, respiratory therapy services, clinical laboratories, and pharmacies; intensive care, critical and coronary care units; physical therapy along with orthopedic, oncology, and outpatient services. The related health care facilities include rehabilitation hospitals, specialty hospitals and long-term care facilities.
As of Dec 31, 2023, the company operated an expansive care network that included 61 hospitals and more than 575 other healthcare facilities, including ambulatory surgery centers, urgent care centers, imaging centers, surgical hospitals, off-campus emergency departments and micro-hospitals through its units, partnerships and joint ventures. Effective fourth-quarter 2023, the company combined its Conifer segment with the Hospital segment and now has two reporting segments: Hospital Operations and Services and Ambulatory Care.
Hospital Segment (81% of total segment revenues in 2023): It includes 61 hospitals catering to primarily urban and suburban communities in nine states. The unit also provides a number of services primarily to healthcare providers to assist them in generating sustainable improvements in their operating margins, while also managing patient, physician and employee satisfaction.
Ambulatory Care (19%): The company's Ambulatory Care segment includes the operations of its USPI joint venture and its Aspen facilities.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Tenet Healthcare, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in July 2014 would be worth $2,828.39, or a gain of 182.84%, as of July 29, 2024, according to our calculations. This return excludes dividends but includes price appreciation.
In comparison, the S&P 500 gained 175.94% and the price of gold went up 76.22% over the same time frame.
Analysts are anticipating more upside for THC.
Tenet Healthcare's revenue growth is fueled by increasing patient admissions, while its strategy of acquisitions and alliances aims to expand the scale of its business through inorganic growth. It has been undertaking divestitures to eliminate unprofitable businesses and focus on allocating capital to higher return-generating investments. It beat Q2 earnings estimates on higher admissions. Performances in Ambulatory Care are driving the results. Net operating revenues for the Ambulatory Care unit are likely to be between $4.325-$4.475 billion in 2024. Adjusted EPS of THC is anticipated to be within $10.41-$11.12, implying a 54.2% rise from the 2023 figure. Its shares have outperformed the industry in the past year. However, rising expenses might put pressure on Tenet Healthcare’s margins in the future. Low ROIC also poses a concern.
The stock has jumped 13.98% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 7 higher, for fiscal 2024; the consensus estimate has moved up as well.
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If You Invested $1000 in Tenet Healthcare a Decade Ago, This is How Much It'd Be Worth Now
How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.
What if you'd invested in Tenet Healthcare (THC - Free Report) ten years ago? It may not have been easy to hold on to THC for all that time, but if you did, how much would your investment be worth today?
Tenet Healthcare's Business In-Depth
With that in mind, let's take a look at Tenet Healthcare's main business drivers.
Founded in 1967 and headquartered in Dallas, TX, Tenet Healthcare Corp., is an investor-owned health care services company, which owns and operates general hospitals and related health care facilities for urban and rural communities in numerous states, and has offices in California and Florida. The company has investments in other health care companies and is one of the largest investor-owned health care delivery systems in the United States.
Tenet Healthcare and its subsidiaries provide healthcare services primarily through general hospitals and related healthcare facilities. Its hospitals offer acute care services, operating and recovery rooms, radiology services, respiratory therapy services, clinical laboratories, and pharmacies; intensive care, critical and coronary care units; physical therapy along with orthopedic, oncology, and outpatient services. The related health care facilities include rehabilitation hospitals, specialty hospitals and long-term care facilities.
As of Dec 31, 2023, the company operated an expansive care network that included 61 hospitals and more than 575 other healthcare facilities, including ambulatory surgery centers, urgent care centers, imaging centers, surgical hospitals, off-campus emergency departments and micro-hospitals through its units, partnerships and joint ventures. Effective fourth-quarter 2023, the company combined its Conifer segment with the Hospital segment and now has two reporting segments: Hospital Operations and Services and Ambulatory Care.
Hospital Segment (81% of total segment revenues in 2023): It includes 61 hospitals catering to primarily urban and suburban communities in nine states. The unit also provides a number of services primarily to healthcare providers to assist them in generating sustainable improvements in their operating margins, while also managing patient, physician and employee satisfaction.
Ambulatory Care (19%): The company's Ambulatory Care segment includes the operations of its USPI joint venture and its Aspen facilities.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Tenet Healthcare, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in July 2014 would be worth $2,828.39, or a gain of 182.84%, as of July 29, 2024, according to our calculations. This return excludes dividends but includes price appreciation.
In comparison, the S&P 500 gained 175.94% and the price of gold went up 76.22% over the same time frame.
Analysts are anticipating more upside for THC.
Tenet Healthcare's revenue growth is fueled by increasing patient admissions, while its strategy of acquisitions and alliances aims to expand the scale of its business through inorganic growth. It has been undertaking divestitures to eliminate unprofitable businesses and focus on allocating capital to higher return-generating investments. It beat Q2 earnings estimates on higher admissions. Performances in Ambulatory Care are driving the results. Net operating revenues for the Ambulatory Care unit are likely to be between $4.325-$4.475 billion in 2024. Adjusted EPS of THC is anticipated to be within $10.41-$11.12, implying a 54.2% rise from the 2023 figure. Its shares have outperformed the industry in the past year. However, rising expenses might put pressure on Tenet Healthcare’s margins in the future. Low ROIC also poses a concern.
The stock has jumped 13.98% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 7 higher, for fiscal 2024; the consensus estimate has moved up as well.