Tenet Healthcare Price Target Raised to $265 after Q4 Beats
Wells Fargo lifted Tenet Healthcare’s price target to $265 from $229 after Q4 revenue beat at $5.53 billion and adjusted EPS of $4.70, up 37% year-over-year. The company guided FY26 revenue of $21.5–22.3 billion and EPS of $16.19–18.47, fueling a 17% post-earnings stock rally.
1. Q4 Financial Results
The company reported Q4 revenue of $5.53 billion, 1% above consensus, and adjusted EPS of $4.70, up 37% year-over-year. EBITDA metrics were largely pre-announced and guidance came in line with expectations, yet the stock rallied 17% following the release.
2. Analyst Price Target Increases
Wells Fargo raised its price target on Tenet to $265 from $229 and maintained an Overweight rating, citing growing conviction in capital return potential. Morgan Stanley, RBC Capital and KeyBanc also lifted targets to $260, $277 and $250 respectively.
3. FY26 Guidance and Outlook
Management guided FY26 revenue of $21.5–22.3 billion, adjusted EBITDA of $4.485–4.785 billion and EPS of $16.19–18.47, exceeding consensus at the midpoint. The upward revisions and alignment with market narratives underpin positive investor sentiment.