Lumentum Holdings Inc (LITE)vsTenet Healthcare Corporation (THC)
LITE
Lumentum Holdings Inc
$777.17
-3.09%
TECHNOLOGY · Cap: $57.26B
THC
Tenet Healthcare Corporation
$200.04
+0.21%
HEALTHCARE · Cap: $17.58B
Smart Verdict
WallStSmart Research — data-driven comparison
Tenet Healthcare Corporation generates 912% more annual revenue ($21.31B vs $2.11B). LITE leads profitability with a 11.9% profit margin vs 6.6%. LITE appears more attractively valued with a PEG of 0.97. LITE earns a higher WallStSmart Score of 69/100 (B-).
LITE
Strong Buy69
out of 100
Grade: B-
THC
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-255.6%
Fair Value
$161.46
Current Price
$777.17
$615.71 premium
Margin of Safety
+68.8%
Fair Value
$724.93
Current Price
$200.04
$524.89 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 65.5% year-over-year
Earnings expanding 71.1% YoY
Large-cap with strong market position
Every $100 of equity generates 29 in profit
Growing faster than its price suggests
Every $100 of equity generates 27 in profit
Attractively priced relative to earnings
Earnings expanding 27.6% YoY
Areas to Watch
Premium valuation, high expectations priced in
Trading at 65.5x book value
Distress zone — elevated risk
Distress zone — elevated risk
6.6% margin — thin
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : LITE
The strongest argument for LITE centers on Revenue Growth, EPS Growth, Market Cap. Revenue growth of 65.5% demonstrates continued momentum. PEG of 0.97 suggests the stock is reasonably priced for its growth.
Bull Case : THC
The strongest argument for THC centers on Return on Equity, P/E Ratio, EPS Growth.
Bear Case : LITE
The primary concerns for LITE are P/E Ratio, Price/Book, Altman Z-Score. A P/E of 232.5x leaves little room for execution misses.
Bear Case : THC
The primary concerns for THC are Altman Z-Score, Profit Margin, PEG Ratio.
Key Dynamics to Monitor
LITE profiles as a growth stock while THC is a value play — different risk/reward profiles.
THC carries more volatility with a beta of 1.41 — expect wider price swings.
LITE is growing revenue faster at 65.5% — sustainability is the question.
THC generates stronger free cash flow (367M), providing more financial flexibility.
Bottom Line
LITE scores higher overall (69/100 vs 66/100) and 65.5% revenue growth. THC offers better value entry with a 68.8% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Lumentum Holdings Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Lumentum Holdings Inc. manufactures and sells optical and photonic products in the Americas, Asia-Pacific, Europe, the Middle East, and Africa. The company is headquartered in San Jose, California.
Tenet Healthcare Corporation
HEALTHCARE · MEDICAL CARE FACILITIES · USA
Tenet Healthcare Corporation is a diversified health services company. The company is headquartered in Dallas, Texas.
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