Yahoo Finance DaVita HealthCare (DVA) Stock Slides as Market Rises: Facts to Know Before You Trade
The latest trading session saw DaVita HealthCare (DVA) ending at $142.16, denoting a -0.53% adjustment from its last day's close. This change lagged the S&P 500's 0.16% gain on the day. Meanwhile, the Dow experienced a rise of 0.04%, and the technology-dominated Nasdaq saw an increase of 0.49%.
The kidney dialysis provider's shares have seen a decrease of 0.52% over the last month, not keeping up with the Medical sector's gain of 2.32% and the S&P 500's gain of 3.22%.
The investment community will be paying close attention to the earnings performance of DaVita HealthCare in its upcoming release. The company is predicted to post an EPS of $2.47, indicating a 18.75% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $3.16 billion, showing a 5.43% escalation compared to the year-ago quarter.
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.
It is also important to note the recent changes to analyst estimates for DaVita HealthCare. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. As of now, DaVita HealthCare holds a Zacks Rank of #2 (Buy).
Looking at valuation, DaVita HealthCare is presently trading at a Forward P/E ratio of 14.85. This expresses a discount compared to the average Forward P/E of 23.18 of its industry.
We can additionally observe that DVA currently boasts a PEG ratio of 1.09. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Medical - Outpatient and Home Healthcare industry had an average PEG ratio of 1.96 as trading concluded yesterday.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 27, finds itself in the top 11% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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DaVita Inc. (DVA) : Free Stock Analysis Report
