[THC]

Tenet Healthcare reported an earnings surprise that exceeded market expectations in its second-quarter earnings announcement and raised its annual guidance. In the past 7 days, the stock has surged by 8.3% with trading volume increasing by 1.47 times. However, since the moving average alignment is not yet complete, I will adopt a strategy of approaching the stock after confirming the support level at $220.0. If the support level of $220.0 breaks, I will cut my losses, and if it reaches the resistance level of $250.0, I will take profits. With positive earnings news, a 7-day increase of 8.3% and a 1.47 times increase in trading volume have been confirmed, indicating strong buying appeal. However, as the current price is near the resistance level of $250.0 and the moving average alignment has not yet been completed, we will consider entering while managing risk based on the support level of $220.0. The RSI(14) is at 46.0, indicating a neutral level, and the moving averages have not yet completed a bullish alignment. The trading volume has increased to 1.47 times the 20-day average. The assessment of the upward trend based on positive earnings news and increased trading volume was accurate; however, we underestimated the strength of the trend, recording a return of 10.9%, significantly exceeding the target return of 3.5%. Despite the technical uncertainty of an incomplete bullish arrangement, we confirmed that strong momentum drove the stock price. Even if the moving average lines have not yet completed a bullish arrangement, we recognize that strong performance and accompanying trading volume can lead to a significant trend breakout. We will consider a strategy to flexibly manage profit-taking levels in the event of a sustained trend.

Tenet Healthcare's (THC) Q2 results exceeded expectations, with a non-GAAP EPS of $6.12, surpassing estimates by $1.86, and revenue of $5.62B, exceeding expectations by $180M, marking a surprise. The upward momentum due to positive earnings news is expected to continue. If the target price of $215.0 is reached, I will take profits. Conversely, if it falls below the support level of 195 and the stop-loss price of $190.0 is breached, I will consider the risk of further declines and cut my losses. Until the resistance level of 205 is broken, there is a possibility of increased volatility, so I will respond based on these conditions. We considered entering based on strong fundamental momentum from positive earnings news and an upward revision of guidance. Following the earnings announcement on July 24, the stock price movement and the maintenance of UBS's rating have continued to provide positive news flow, making this a point where we can expect an upward trend. We approached with a conservative forecast return of 3.2%, but the actual result recorded a high return of 27.0%, resulting in an OVERHIT designation. The surprise in Q2 non-GAAP EPS and revenue, along with UBS maintaining its rating and raising its guidance, confirmed that these fundamental positives acted as strong upward momentum for the stock price. However, there is a lingering disappointment that the full extent of the increase was not reflected due to concerns over potential volatility before breaking through the resistance level. For stocks that have shown strong earnings surprises and upward guidance, rather than setting overly conservative price targets due to volatility concerns near initial resistance levels, we will reflect a strategic adjustment in the next trade by believing in the sustainability of momentum and flexibly extending the profit-taking line. Past similar success cases include Bausch Health (BHC, return 28.7%, EPS and revenue surprise) recorded on 2026-07-31, the same date for this stock Tenet Healthcare (THC, return 27.0%, EPS $6.12 and revenue $5.62B surprise), and Texas (WHD, return 18.5%, EPS and revenue surprise).