UPDATE: Deutsche Bank Reiterates Buy Rating, Raises PT on Tenet Healthcare Corp. on Continued Good Outlook

In a report published Friday, Deutsche Bank reiterated its Buy rating on Tenet Healthcare Corp. THC, and raised its price target from $43.00 to $46.00. Deutsche Bank noted, “We're raising our price target to $46 from $43 to come in-line with our sector average of 6.5x forward (2014) EV/EBITDA plus the NPV of HITECH. We continue to believe an upside risk to THC's valuation is its Conifer segment, which is growing at a faster pace than the overall enterprise and could begin to differentiate THC's multiple once Conifer's stand-alone (non-THC) EBITDA is convincing enough to the market. Finally, we note that our valuation framework does not include THC's NOL, which provides an additional $3-4 of cushion to the valuation. Key risks include: Medicare/Medicaid cuts, implementation risks of PPACA, HCIT conversions, M&A integration, state exposures in Texas, Florida and California.” Tenet Healthcare Corp. closed on Thursday at $41.76.