Tenet HealthcareMEX:THC 77 Gross Margin % is 83.38% as of Mar. 2026, which is 0% above its 10-year median of 83.02. GuruFocus rates MEX:THC with a GF Score™ of 77/100 and a GF Value™ of MXN3,119.34. The stock has 2 warning signs investors should review. Among 629 Healthcare Providers & Services companies, Tenet Healthcare ranks better than 89.03% on this metric.
The historical rank and industry rank for Tenet Healthcare's Gross Margin % or its related term are showing as below:
MEX:THC'
s Gross Margin % Range Over the Past 10 Years
Min: 82.26 Med: 83.02 Max: 84.08
Current: 82.47
During the past 13 years, the highestGross Margin % of Tenet Healthcare was 84.08%. The lowest was 82.26%. And the median was 83.02%.
MEX:THC's Gross Margin % is ranked better than 89.03% of 629
companies
in the Healthcare Providers & Services industry
Industry Median: 40.09
vs MEX:THC: 82.47
Tenet Healthcare had a gross margin of 83.38% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Tenet Healthcare was -0.20% per year.
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Tenet Healthcare had a gross margin of 83.38% for the quarter that ended in Mar. 2026 => Durable competitive advantage
Be Aware
If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.
Tenet Healthcare Gross Margin % Related Terms
Tenet Healthcare Gross Margin % Historical Data
* Premium members only.
The historical data trend for Tenet Healthcare's Gross Margin % 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.
MEX:THC vs DVA, EHC, ENSG: Gross Margin % Comparison
For the Medical Care Facilities subindustry, Tenet Healthcare's Gross Margin %, along with its competitors' market caps and Gross Margin % 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 Gross Margin % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Tenet Healthcare's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Tenet Healthcare's Gross Margin % falls into.
* 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.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Tenet Healthcare (MEX:THC) has a Gross Margin % of 83.38% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Tenet Healthcare and its competitors. This is near median its historical median of 83.02. Over the past decade, Tenet Healthcare's Gross Margin % has ranged from 82.26 to 84.08. According to the industry distribution chart, Tenet Healthcare ranks #69 out of 629 companies in the Healthcare Providers & Services industry, placing it in the top 11%.
Is Tenet Healthcare's Gross Margin % too high?
Tenet Healthcare's current Gross Margin % of 83.38% is near median its 10-year median of 83.02. Over the past 10 years, this metric has ranged from a low of 82.26 to a high of 84.08. The Healthcare Providers & Services industry median Gross Margin % is 40.09. Tenet Healthcare's value of 83.38% is 108% above this industry median. Based on the distribution chart, Tenet Healthcare ranks #69 out of 629 companies in the Healthcare Providers & Services industry, which is in the top quartile — a strong position relative to peers. Overall, Tenet Healthcare has a GF Score™ of 77/100, reflecting its overall financial health beyond just this single metric.
How does Tenet Healthcare's Gross Margin % compare to DVA and EHC?
According to the Healthcare Providers & Services industry distribution chart, Tenet Healthcare ranks #69 out of 629 companies for Gross Margin %. This places Tenet Healthcare in the top 11% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.09. Tenet Healthcare's value of 83.38% is 108% above this benchmark. Historically, Tenet Healthcare's own Gross Margin % has ranged from 82.26 to 84.08 over the past decade. While the company's 10-year median is 83.02 vs. the industry median of 40.09, Tenet Healthcare has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Healthcare Providers & Services company?
The median Gross Margin % among Healthcare Providers & Services companies is 40.09, based on 629 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Tenet Healthcare's current Gross Margin % of 83.38% is 108% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Tenet Healthcare and its competitors. For the Healthcare Providers & Services industry, the median Gross Margin % is 40.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tenet Healthcare's current Gross Margin % is 83.38%, which is near median its own 10-year median of 83.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tenet Healthcare stock overvalued right now?
Tenet Healthcare (MEX:THC) has a current Gross Margin % of 83.38%. The stock's GF Value™ is MXN3,119.34, compared to a current price of MXN3,547.50 — trading 13.7% above its estimated fair value. The current Gross Margin % is 83.38%, which is near median its 10-year median of 83.02 and 108% above the Healthcare Providers & Services industry median of 40.09. Tenet Healthcare's overall GF Score™ is 77/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Tenet Healthcare (MEX:THC), the current Gross Margin % is 83.38% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Tenet Healthcare (MEX:THC) Overvalued in 2026?
Based on GuruFocus' analysis, Tenet Healthcare stock appears to be overvalued.
The current stock price of MXN3,547.50 is trading 13.7% above its estimated GF Value™ of MXN3,119.34.
Key valuation signals for MEX:THC:
Gross Margin %: 83.38% (near median its 10-year median of 83.02)
GF Value™: MXN3,119.34 vs. price of MXN3,547.50 (13.7% above fair value)
Industry Position: 108% above the Healthcare Providers & Services median (#69 of 629)
No single metric tells the full story. See the MEX:THC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tenet Healthcare is a Dallas-based healthcare services organization. It operates acute and specialty hospitals (50 as of December 2025) and hundreds of ambulatory surgery centers and other outpatient facilities across the US, primarily in the South. Through its Conifer segment, Tenet also provides revenue cycle management solutions.
77GF Score
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