Dallas-based Tenet Healthcare’s stock price closed at a record high of $262.63 on July 28, five days after posting second-quarter earnings that beat Wall Street estimates by more than 40% and prompted the system to raise its full-year outlook, according to Seeking Alpha.
The stock is up roughly 32% from where it opened 2026 near $199, and about 68% above its 52-week low of $156.72, set Aug. 4, 2025.
The run clears Tenet’s previous record of $218, reached Nov. 25, 2025, by about 20%.
Net income reached $826 million in the second quarter, up from $288 million a year earlier. Operating income was $1.5 billion, a 26.7% operating margin, compared with $823 million and a 15.6% margin in the same period last year.
Total operating revenue rose 6.8% year over year to $5.6 billion. That figure includes $413 million tied to the early conclusion of Conifer’s revenue cycle services contract with Chicago-based CommonSpirit, a one-time item that lifted both revenue and margin for the quarter.
The ambulatory segment, anchored by United Surgical Partners International, posted $1.4 billion in net revenue, up 9.3%. The hospital segment reported $4.2 billion, up 6%, with adjusted EBITDA margin improving to 18% from 15.6% despite unfavorable payer mix from lower ACA exchange admissions.
Exchange revenues fell 17% year over year, the sharpest evidence yet of how declining marketplace enrollment is landing on for-profit operators. Executives said productivity gains, contract renegotiations and technology-driven automation absorbed the hit.
Full-year 2026 guidance moved higher across the board: net operating revenue of $21.9 billion to $22.5 billion, net income of $2.9 billion to $3. billion and adjusted EBITDA of $4.8 billion to $5 billion, a $295 million increase at the midpoint.
The board also authorized a $2 billion expansion of the share repurchase program, leaving $2.13 billion available. The company bought back 5.7 million shares for $1.04 billion during the quarter. Leverage stood at 2.33 times adjusted EBITDA as of June 30, with $2.1 billion in cash on hand.
“Strong same-store revenue growth and effective expense management drove our fundamental outperformance in the second quarter of 2026 compared to our original assumptions,” Tenet Chair and CEO Saum Sutaria, MD, said. “We are actively navigating current industry dynamics through excellent operational execution, investments in innovation, and a continued focus on higher acuity services to sustain growth, margins and significant free cash flow.”
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