Tenet Healthcare Q3 revenue beats on same-store sales growth

Tenet Healthcare

29/10/2026 10:55

Overview
US hospital operator's Q3 net operating revenue rose 6.5%, beating analyst expectations
Adjusted EPS for Q3 jumped 79.5%, beating analyst expectations
Company raised FY 2026 adjusted EBITDA outlook

Outlook
Tenet raises FY 2026 adj EBITDA outlook to $5.05 bln-$5.20 bln from prior view
Company lifts FY 2026 adj free cash flow outlook to $2.825 bln-$3.125 bln

Result Drivers
SAME-STORE REVENUE GROWTH - Co said sustained strength in same-store revenue growth drove Q3 results, per CEO Saum Sutaria
EXPENSE MANAGEMENT - Co attributed margin improvement to disciplined expense management and operating initiatives
RCM AGREEMENTS TRANSITION - Timing-related adjustments and transition activities under RCM Agreements contributed $147 mln favorable net impact to Q3 Adjusted EBITDA

Company press release: ID:nBwbcnS2za

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Net Operating Revenue
Beat
$5.63 bln
$5.52 bln (18 Analysts)
Q3 Adjusted EPS
Beat
$6.64
$4.62 (20 Analysts)
Q3 EPS
 
$12.41
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 20 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the healthcare facilities & services peer group is "buy"
Wall Street's median 12-month price target for Tenet Healthcare Corp is $285.00, about 6.1% above its October 28 closing price of $268.50
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 11 three months ago

Reuters Recommended Reads
Oct 27 - Universal Health warns of possible impact to annual results from Medicaid changes; Q3 revenue slightly beats
Oct 28 - Community Health Systems Q3 revenue misses estimates
Oct 27 - HCA signals flat 2027 earnings as Medicaid payments drop; shares slide

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)