Tenet Healthcare (NYSE:THC) & Ardent Health Partners (NYSE:ARDT) Financial Analysis

Tenet Healthcare (NYSE:THC) and Ardent Health Partners (NYSE:ARDT) are both medical companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, risk, profitability, institutional ownership, valuation, earnings and analyst recommendations.

Profitability

This table compares Tenet Healthcare and Ardent Health Partners’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tenet Healthcare	14.91%	24.05%	3.85%
Ardent Health Partners	N/A	N/A	N/A

Valuation and Earnings

This table compares Tenet Healthcare and Ardent Health Partners”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tenet Healthcare	$20.55 billion	0.77	$611.00 million	$31.21	5.35
Ardent Health Partners	$5.63 billion	0.46	$53.90 million	N/A	N/A

Tenet Healthcare has higher revenue and earnings than Ardent Health Partners.

Institutional and Insider Ownership

95.4% of Tenet Healthcare shares are held by institutional investors. 0.9% of Tenet Healthcare shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings for Tenet Healthcare and Ardent Health Partners, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tenet Healthcare	0	1	14	3	3.11
Ardent Health Partners	0	1	9	2	3.08

Tenet Healthcare currently has a consensus target price of $163.65, indicating a potential downside of 1.93%. Ardent Health Partners has a consensus target price of $21.91, indicating a potential upside of 21.25%. Given Ardent Health Partners’ higher possible upside, analysts clearly believe Ardent Health Partners is more favorable than Tenet Healthcare.

Summary

Tenet Healthcare beats Ardent Health Partners on 11 of the 12 factors compared between the two stocks.

About Tenet Healthcare

Tenet Healthcare Corporation operates as a diversified healthcare services company in the United States. The company operates through two segments: Hospital Operations and Services, and Ambulatory Care. Its general hospitals offer acute care services, operating and recovery rooms, radiology and respiratory therapy services, clinical laboratories, and pharmacies. The company also provides intensive and critical care, and/or coronary care units; cardiovascular, digestive disease, neurosciences, musculoskeletal, and obstetrics services; outpatient services, including physical therapy; tertiary care services, such as cardiothoracic surgery, complex spinal surgery, neonatal intensive care, and neurosurgery services; quaternary care services in heart and kidney transplants; and limb salvaging vascular procedure, acute level 1 trauma, intravascular stroke care, minimally invasive cardiac valve replacement, imaging, surgical robotic, and telemedicine access services. In addition, it offers a range of procedures and services, such as orthopedics, total joint replacement, and spinal and other musculoskeletal procedures; gastroenterology; pain management; otolaryngology; ophthalmology; and urology. It operates hospitals, ambulatory surgery centers, imaging centers, surgical hospitals, off-campus emergency departments, and micro-hospitals. Tenet Healthcare Corporation was founded in 1967 and is headquartered in Dallas, Texas.

About Ardent Health Partners

Ardent Health Partners, Inc. owns and operates a network of hospitals and clinics that provides a range of healthcare services in the United States. It operates acute care hospitals, including rehabilitation hospitals and surgical hospitals. The company was founded in 2001 and is based in Brentwood, Tennessee. Ardent Health Partners, Inc. is a subsidiary of EGI-AM Investments, L.L.C.