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Tenet Healthcare (Tenet Healthcare) Peter Lynch Fair Value

: $73.49 (As of Today)
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Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Here, as of today, Tenet Healthcare's PEG is 1. Tenet Healthcare's 5-Year TTM EBITDA Growth Rate is 10.63. Tenet Healthcare's EPS without NRI for the trailing twelve months (TTM) ended in Dec. 2023 was $6.91. Therefore, the Peter Lynch Fair Value for today is $73.49.

As of today (2024-04-18), Tenet Healthcare's share price is $96.00. Tenet Healthcare's Peter Lynch fair value is $73.49. Therefore, Tenet Healthcare's Price to Peter Lynch Fair Value Ratio for today is 1.31.


The historical rank and industry rank for Tenet Healthcare's Peter Lynch Fair Value or its related term are showing as below:

THC' s Price-to-Peter-Lynch-Fair-Value Range Over the Past 10 Years
Min: 0.59   Med: 1.03   Max: 2.21
Current: 1.31


During the past 13 years, the highest Price to Peter Lynch Fair Value Ratio of Tenet Healthcare was 2.21. The lowest was 0.59. And the median was 1.03.


THC's Price-to-Peter-Lynch-Fair-Value is ranked worse than
50.56% of 178 companies
in the Healthcare Providers & Services industry
Industry Median: 1.335 vs THC: 1.31

Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.


Tenet Healthcare Peter Lynch Fair Value Historical Data

The historical data trend for Tenet Healthcare's Peter Lynch Fair Value can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Tenet Healthcare Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Peter Lynch Fair Value
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - 62.26 71.13 73.49

Tenet Healthcare Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Peter Lynch Fair Value Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 71.13 60.81 61.12 59.70 73.49

Competitive Comparison

For the Medical Care Facilities subindustry, Tenet Healthcare's Price-to-Peter-Lynch-Fair-Value, along with its competitors' market caps and Price-to-Peter-Lynch-Fair-Value data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Tenet Healthcare Price-to-Peter-Lynch-Fair-Value Distribution

For the Healthcare Providers & Services industry and Healthcare sector, Tenet Healthcare's Price-to-Peter-Lynch-Fair-Value distribution charts can be found below:

* The bar in red indicates where Tenet Healthcare's Price-to-Peter-Lynch-Fair-Value falls into.



Tenet Healthcare Peter Lynch Fair Value Calculation

Tenet Healthcare's Peter Lynch Fair Value for today is calculated as

Peter Lynch Fair Value=PEG Ratio*5-Year TTM EBITDA Growth Rate***EPS without NRI (TTM)
=1* 10.63 *6.913
=73.49

Tenet Healthcare's EPS without NRI for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $6.91.


* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** Please be aware that the 5-Year TTM EBITDA Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data adds up the quarterly data reported by the company within the most recent 12 months. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.

If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.

If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.


Tenet Healthcare  (NYSE:THC) Peter Lynch Fair Value Explanation

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.

Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.

Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of EBITDA per share over the past 5 years, which is 10.63 instead of 15 in this case.

Tenet Healthcare's Price to Peter Lynch Fair Value Ratio for today is calculated as

Price to Peter Lynch Fair Value=Share Price/Peter Lynch Fair Value
=96.00/73.49
=1.31

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Tenet Healthcare Peter Lynch Fair Value Related Terms

Thank you for viewing the detailed overview of Tenet Healthcare's Peter Lynch Fair Value provided by GuruFocus.com. Please click on the following links to see related term pages.


Tenet Healthcare (Tenet Healthcare) Business Description

Traded in Other Exchanges
Address
14201 Dallas Parkway, Dallas, TX, USA, 75254
Tenet Healthcare is a Dallas-based healthcare services organization. It operates a collection of hospitals (about 60 as of June 2023) and over 550 ambulatory surgery centers and other outpatient facilities across the U.S., primarily in the South. Through its Conifer segment, Tenet also provides revenue cycle management solutions.
Executives
Richard W Fisher director
Roy Blunt director 2702 LOVE FIELD DRIVE, HDQ 4GC, DALLAS TX 75235
Paola M Arbour officer: EVP, Chief Information Officer 14201 DALLAS PARKWAY, DALLAS TX 75254
Stephen H Rusckowski director C/O QUEST DIAGNOSTICS, 500 PLAZA DRIVE, SECAUCUS NJ 07094
Thomas W Arnst officer: EVP, Chief Admin. Officer & GC 14201 DALLAS PARKWAY, DALLAS TX 75254
Tammy Romo director C/O SOUTHWEST AIRINES CO., 2702 LOVE FIELD DR., DALLAS TX 75235
Daniel J Cancelmi officer: Principal Accounting Officer 13737 NOEL ROAD, SUITE 100, DALLAS TX 75240
J Robert Kerrey director NEW SCHOOL UNIVERSITY, 66 W. 12TH STREET, NEW YORK NY 10036
Richard J Mark director 1901 CHOUTEAU AVENUE MC-1310, ST. LOUIS MO 63103
Ronald A Rittenmeyer director 5400 LEGACY DRIVE, PLANO TX 75024
Lisa Y Foo officer: EVP, Commercial Ops 14201 DALLAS PARKWAY, DALLAS TX 75254
Audrey T. Andrews officer: SVP and General Counsel 1445 ROSS AVENUE, SUITE 1400, DALLAS TX 75202
Meghan Fitzgerald director C/O VION PHARMACEUTICALS, INC., 4 SCIENCE PARK, NEW HAVEN CT 06511
Howard Hacker officer: EVP, Chief Compliance Officer 14201 DALLAS PARKWAY, DALLAS TX 75254
Marie Quintana officer: EVP, Marketing/Communications 14201 DALLAS PARKWAY, DALLAS TX 75254