In its upcoming report, Tenet Healthcare (THC) is predicted by Wall Street analysts to post quarterly earnings of $3.11 per share, reflecting a decline of 3.4% compared to the same period last year. Revenues are forecasted to be $5.14 billion, representing a year-over-year decrease of 4.3%.
Over the last 30 days, there has been an upward revision of 0.1% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Given this perspective, it's time to examine the average forecasts of specific Tenet metrics that are routinely monitored and predicted by Wall Street analysts.
Analysts expect 'Net Operating revenues' to come in at $5.15 billion. The estimate indicates a change of -4% from the prior-year quarter.
According to the collective judgment of analysts, 'Net Operating revenues- Ambulatory Care' should come in at $1.12 billion. The estimate points to a change of +12.1% from the year-ago quarter.
Analysts predict that the 'Net Operating revenues- Hospital Operations and Services' will reach $4.02 billion. The estimate points to a change of -8.1% from the year-ago quarter.
The consensus among analysts is that 'Net patient service revenue per adjusted admission' will reach $16,112.92. The estimate compares to the year-ago value of $15,832.
Analysts' assessment points toward 'Adjusted admissions' reaching 223.59 thousand. The estimate is in contrast to the year-ago figure of 243.19 thousand.
The combined assessment of analysts suggests that 'Equity in earnings of unconsolidated affiliates' will likely reach $61.07 million. Compared to the present estimate, the company reported $59 million in the same quarter last year.
It is projected by analysts that the 'Adjusted EBITDA- Hospital Operations and Services' will reach $551.31 million. The estimate is in contrast to the year-ago figure of $630 million.
The collective assessment of analysts points to an estimated 'Adjusted EBITDA- Ambulatory Care' of $437.28 million. Compared to the present estimate, the company reported $394 million in the same quarter last year.
View all Key Company Metrics for Tenet here>>>
Shares of Tenet have experienced a change of -8.3% in the past month compared to the -4.3% move of the Zacks S&P 500 composite. With a Zacks Rank #2 (Buy), THC is expected to outperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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Tenet Healthcare Corporation (THC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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