Yahoo Finance DaVita HealthCare (DVA) Registers a Bigger Fall Than the Market: Important Facts to Note
DaVita HealthCare (DVA) ended the recent trading session at $140.24, demonstrating a -1.39% swing from the preceding day's closing price. This change lagged the S&P 500's 0.25% loss on the day. Elsewhere, the Dow saw an upswing of 0.77%, while the tech-heavy Nasdaq depreciated by 0.79%.
Prior to today's trading, shares of the kidney dialysis provider had gained 5.54% over the past month. This has outpaced the Medical sector's gain of 0.03% and the S&P 500's gain of 3.59% in that time.
The investment community will be paying close attention to the earnings performance of DaVita HealthCare in its upcoming release. In that report, analysts expect DaVita HealthCare to post earnings of $2.47 per share. This would mark year-over-year growth of 18.75%. Alongside, our most recent consensus estimate is anticipating revenue of $3.16 billion, indicating a 5.43% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $9.62 per share and revenue of $12.74 billion, indicating changes of +13.58% and +4.97%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for DaVita HealthCare. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. DaVita HealthCare presently features a Zacks Rank of #2 (Buy).
In terms of valuation, DaVita HealthCare is currently trading at a Forward P/E ratio of 14.77. Its industry sports an average Forward P/E of 22.95, so one might conclude that DaVita HealthCare is trading at a discount comparatively.
Investors should also note that DVA has a PEG ratio of 1.09 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Medical - Outpatient and Home Healthcare industry was having an average PEG ratio of 1.97.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 34, finds itself in the top 14% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
DaVita Inc. (DVA) : Free Stock Analysis Report
