ALC vs. THC: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ALC and THC, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
ALC’s market capitalization of 43.42 billion USD is substantially larger than THC’s 15.93 billion USD, indicating a significant difference in their market valuations.
THC carries a higher beta at 1.67, indicating it’s more sensitive to market moves, while ALC (beta: 0.70) exhibits greater stability.
| Symbol | ALC | THC |
|---|---|---|
| Company Name | Alcon Inc. | Tenet Healthcare Corporation |
| Country | CH | US |
| Sector | Healthcare | Healthcare |
| Industry | Medical - Instruments & Supplies | Medical - Care Facilities |
| CEO | David J. Endicott | Saumya Sutaria |
| Price | 87.78 USD | 171.5 USD |
| Market Cap | 43.42 billion USD | 15.93 billion USD |
| Beta | 0.70 | 1.67 |
| Exchange | NYSE | NYSE |
| IPO Date | April 9, 2019 | March 17, 1980 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ALC and THC by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ALC
6.95%
Medical - Instruments & Supplies Industry
- Max
- 26.65%
- Q3
- 13.00%
- Median
- 1.08%
- Q1
- -8.11%
- Min
- -38.20%
ALC’s Return on Equity of 6.95% is on par with the norm for the Medical - Instruments & Supplies industry, indicating its profitability relative to shareholder equity is typical for the sector.
THC
37.16%
Medical - Care Facilities Industry
- Max
- 37.16%
- Q3
- 13.80%
- Median
- 6.51%
- Q1
- -11.55%
- Min
- -43.55%
In the upper quartile for the Medical - Care Facilities industry, THC’s Return on Equity of 37.16% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
ALC
4.39%
Medical - Instruments & Supplies Industry
- Max
- 20.14%
- Q3
- 7.36%
- Median
- 1.97%
- Q1
- -6.22%
- Min
- -20.00%
ALC’s Return on Invested Capital of 4.39% is in line with the norm for the Medical - Instruments & Supplies industry, reflecting a standard level of efficiency in generating profits from its capital base.
THC
11.38%
Medical - Care Facilities Industry
- Max
- 20.36%
- Q3
- 9.05%
- Median
- 5.41%
- Q1
- -1.08%
- Min
- -9.00%
In the upper quartile for the Medical - Care Facilities industry, THC’s Return on Invested Capital of 11.38% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
ALC
11.27%
Medical - Instruments & Supplies Industry
- Max
- 28.95%
- Q3
- 11.24%
- Median
- -2.83%
- Q1
- -12.85%
- Min
- -26.41%
A Net Profit Margin of 11.27% places ALC in the upper quartile for the Medical - Instruments & Supplies industry, signifying strong profitability and more effective cost management than most of its peers.
THC
7.09%
Medical - Care Facilities Industry
- Max
- 12.40%
- Q3
- 6.23%
- Median
- 3.17%
- Q1
- -3.80%
- Min
- -13.43%
A Net Profit Margin of 7.09% places THC in the upper quartile for the Medical - Care Facilities industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
ALC
15.22%
Medical - Instruments & Supplies Industry
- Max
- 32.10%
- Q3
- 16.03%
- Median
- 2.28%
- Q1
- -7.96%
- Min
- -26.84%
ALC’s Operating Profit Margin of 15.22% is around the midpoint for the Medical - Instruments & Supplies industry, indicating that its efficiency in managing core business operations is typical for the sector.
THC
17.17%
Medical - Care Facilities Industry
- Max
- 17.86%
- Q3
- 10.40%
- Median
- 6.40%
- Q1
- 0.40%
- Min
- -10.86%
An Operating Profit Margin of 17.17% places THC in the upper quartile for the Medical - Care Facilities industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | ALC | THC |
|---|---|---|
| Return on Equity (TTM) | 6.95% | 37.16% |
| Return on Assets (TTM) | 3.61% | 4.98% |
| Return on Invested Capital (TTM) | 4.39% | 11.38% |
| Net Profit Margin (TTM) | 11.27% | 7.09% |
| Operating Profit Margin (TTM) | 15.22% | 17.17% |
| Gross Profit Margin (TTM) | 55.55% | 47.32% |
Financial Strength
Current Ratio
ALC
2.70
Medical - Instruments & Supplies Industry
- Max
- 6.79
- Q3
- 4.57
- Median
- 2.64
- Q1
- 1.81
- Min
- 1.10
ALC’s Current Ratio of 2.70 aligns with the median group of the Medical - Instruments & Supplies industry, indicating that its short-term liquidity is in line with its sector peers.
THC
1.78
Medical - Care Facilities Industry
- Max
- 2.67
- Q3
- 1.76
- Median
- 1.35
- Q1
- 1.12
- Min
- 0.57
THC’s Current Ratio of 1.78 is in the upper quartile for the Medical - Care Facilities industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
Debt-to-Equity Ratio
ALC
0.24
Medical - Instruments & Supplies Industry
- Max
- 1.46
- Q3
- 0.74
- Median
- 0.41
- Q1
- 0.16
- Min
- 0.03
ALC’s Debt-to-Equity Ratio of 0.24 is typical for the Medical - Instruments & Supplies industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
THC
3.15
Medical - Care Facilities Industry
- Max
- 2.55
- Q3
- 1.40
- Median
- 0.76
- Q1
- 0.26
- Min
- 0.01
With a Debt-to-Equity Ratio of 3.15, THC operates with exceptionally high leverage compared to the Medical - Care Facilities industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio
ALC
7.72
Medical - Instruments & Supplies Industry
- Max
- 25.04
- Q3
- 8.80
- Median
- 3.66
- Q1
- -3.85
- Min
- -11.93
ALC’s Interest Coverage Ratio of 7.72 is positioned comfortably within the norm for the Medical - Instruments & Supplies industry, indicating a standard and healthy capacity to cover its interest payments.
THC
5.80
Medical - Care Facilities Industry
- Max
- 16.29
- Q3
- 6.85
- Median
- 2.93
- Q1
- 0.35
- Min
- -7.11
THC’s Interest Coverage Ratio of 5.80 is positioned comfortably within the norm for the Medical - Care Facilities industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | ALC | THC |
|---|---|---|
| Current Ratio (TTM) | 2.70 | 1.78 |
| Quick Ratio (TTM) | 1.66 | 1.70 |
| Debt-to-Equity Ratio (TTM) | 0.24 | 3.15 |
| Debt-to-Asset Ratio (TTM) | 0.17 | 0.45 |
| Net Debt-to-EBITDA Ratio (TTM) | 1.54 | 2.29 |
| Interest Coverage Ratio (TTM) | 7.72 | 5.80 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ALC and THC. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ALC
0.38%
Medical - Instruments & Supplies Industry
- Max
- 4.02%
- Q3
- 0.38%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 0.38%, ALC offers a more attractive income stream than most of its peers in the Medical - Instruments & Supplies industry, signaling a strong commitment to shareholder returns.
THC
0.00%
Medical - Care Facilities Industry
- Max
- 2.79%
- Q3
- 0.08%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
THC currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio
ALC
11.23%
Medical - Instruments & Supplies Industry
- Max
- 76.77%
- Q3
- 11.37%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ALC’s Dividend Payout Ratio of 11.23% is within the typical range for the Medical - Instruments & Supplies industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
THC
0.00%
Medical - Care Facilities Industry
- Max
- 56.48%
- Q3
- 4.48%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
THC has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | ALC | THC |
|---|---|---|
| Dividend Yield (TTM) | 0.38% | 0.00% |
| Dividend Payout Ratio (TTM) | 11.23% | 0.00% |
Valuation
Price-to-Earnings Ratio
ALC
38.80
Medical - Instruments & Supplies Industry
- Max
- 45.65
- Q3
- 44.10
- Median
- 35.47
- Q1
- 29.60
- Min
- 21.65
ALC’s P/E Ratio of 38.80 is within the middle range for the Medical - Instruments & Supplies industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
THC
11.11
Medical - Care Facilities Industry
- Max
- 40.40
- Q3
- 28.24
- Median
- 24.89
- Q1
- 13.53
- Min
- 8.53
In the lower quartile for the Medical - Care Facilities industry, THC’s P/E Ratio of 11.11 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Forward P/E to Growth Ratio
ALC
2.54
Medical - Instruments & Supplies Industry
- Max
- 5.80
- Q3
- 3.68
- Median
- 2.56
- Q1
- 1.87
- Min
- 0.22
ALC’s Forward PEG Ratio of 2.54 is within the middle range of its peers in the Medical - Instruments & Supplies industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
THC
0.54
Medical - Care Facilities Industry
- Max
- 4.23
- Q3
- 3.06
- Median
- 1.16
- Q1
- 0.77
- Min
- 0.04
In the lower quartile for the Medical - Care Facilities industry, THC’s Forward PEG Ratio of 0.54 is a positive indicator. It suggests that the stock may be attractively valued relative to its expected earnings growth.
Price-to-Sales Ratio
ALC
4.37
Medical - Instruments & Supplies Industry
- Max
- 12.87
- Q3
- 6.95
- Median
- 3.45
- Q1
- 2.24
- Min
- 0.71
ALC’s P/S Ratio of 4.37 aligns with the market consensus for the Medical - Instruments & Supplies industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
THC
0.78
Medical - Care Facilities Industry
- Max
- 2.38
- Q3
- 1.50
- Median
- 0.79
- Q1
- 0.49
- Min
- 0.04
THC’s P/S Ratio of 0.78 aligns with the market consensus for the Medical - Care Facilities industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
ALC
1.98
Medical - Instruments & Supplies Industry
- Max
- 9.60
- Q3
- 5.48
- Median
- 3.37
- Q1
- 1.95
- Min
- 0.65
ALC’s P/B Ratio of 1.98 is within the conventional range for the Medical - Instruments & Supplies industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
THC
3.87
Medical - Care Facilities Industry
- Max
- 7.73
- Q3
- 4.07
- Median
- 2.16
- Q1
- 1.44
- Min
- 0.66
THC’s P/B Ratio of 3.87 is within the conventional range for the Medical - Care Facilities industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | ALC | THC |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 38.80 | 11.11 |
| Forward PEG Ratio (TTM) | 2.54 | 0.54 |
| Price-to-Sales Ratio (P/S, TTM) | 4.37 | 0.78 |
| Price-to-Book Ratio (P/B, TTM) | 1.98 | 3.87 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 25.24 | 11.20 |
| EV-to-EBITDA (TTM) | 19.18 | 5.88 |
| EV-to-Sales (TTM) | 4.75 | 1.27 |