Tenet Healthcare shares skyrocketed 21.89% during premarket trading on Friday, following the hospital operator's stunning second-quarter financial results that significantly exceeded Wall Street estimates and a substantial upgrade to its full-year profit guidance.

The company reported adjusted earnings per share of $6.12, crushing the analyst consensus estimate of roughly $4.22. Net operating revenue climbed 6.8% year-over-year to $5.63 billion, also topping projections. This strong performance was fueled by same-facility revenue growth, a favorable shift in service mix toward higher-acuity cases, and disciplined expense management. In a powerful show of confidence, Tenet raised its 2026 adjusted EPS guidance to a range of $20.30 to $21.69, dramatically above both its previous outlook of $16.38 to $18.68 and the prior analyst consensus of $17.94.

The results eased market fears that had been stoked earlier this month when peer HCA Healthcare cut its own profit forecast due to an increase in uninsured patients. Analysts at Mizuho characterized Tenet's report as "better-than-feared," and the news prompted several Wall Street firms, including Barclays and BofA, to raise their price targets on the stock. Additionally, Tenet's board approved a $2 billion increase to its share repurchase program, further signaling management's bullish outlook.