Tenet’s hospital sales have been executed at attractive multiples with the proceeds used to pay down debt. As Tenet’s faster growing ASC business increases as a percentage of the company’s overall cash flows, we believe the company’s valuation multiple has room to expand.” ...
In addition, the defensive nature of the sector means that many Healthcare firms generally have a lower exposure to direct consumer spending, while decreasing enterprise value multiples should ensure that M&A deal flow, as well as company growth, remain relatively resilient in these testing times. ...