Bank of America Issues Pessimistic Forecast for DaVita (NYSE:DVA) Stock Price

Key Points

• Bank of America has lowered its target price for DaVita (NYSE:DVA) from $145.00 to $140.00, maintaining an "underperform" rating on the stock.
• DaVita experienced a 1.8% decline in trading, reaching a price of $134.27, with a current market cap of $9.60 billion.
• The company reported an earnings per share of $2.95, exceeding analysts' estimates, and has set a forecast for FY 2025 EPS in the range of 10.200-11.300.

DaVita (NYSE:DVA - Free Report) had its target price lowered by Bank of America from $145.00 to $140.00 in a research note issued to investors on Wednesday morning,Benzinga reports. The firm currently has an underperform rating on the stock.

A number of other research analysts have also issued reports on DVA. Truist Financial set a $148.00 target price on shares of DaVita in a research report on Friday, August 8th. Wall Street Zen raised shares of DaVita from a "hold" rating to a "buy" rating in a report on Friday, August 22nd. Finally, Barclays cut their price target on shares of DaVita from $169.00 to $160.00 and set an "equal weight" rating for the company in a report on Thursday, August 7th. Three equities research analysts have rated the stock with a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of "Reduce" and an average price target of $158.00.

DaVita Stock Performance

Shares of NYSE:DVA traded down $1.79 on Wednesday, reaching $131.38. 230,561 shares of the company's stock were exchanged, compared to its average volume of 845,698. The company has a fifty day moving average of $138.45 and a 200-day moving average of $141.47. DaVita has a twelve month low of $126.07 and a twelve month high of $179.60. The company has a market capitalization of $9.39 billion, a price-to-earnings ratio of 12.93, a PEG ratio of 0.95 and a beta of 1.13. The company has a current ratio of 1.39, a quick ratio of 1.34 and a debt-to-equity ratio of 23.18.

DaVita (NYSE:DVA - Get Free Report) last announced its earnings results on Tuesday, August 5th. The company reported $2.95 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.70 by $0.25. DaVita had a net margin of 6.35% and a return on equity of 369.39%. The firm had revenue of $3.38 billion for the quarter, compared to analyst estimates of $3.36 billion. During the same quarter in the prior year, the business posted $2.00 EPS. The business's revenue was up 6.1% compared to the same quarter last year. DaVita has set its FY 2025 guidance at 10.200-11.300 EPS. On average, research analysts predict that DaVita will post 10.76 EPS for the current fiscal year.

Insider Activity

In other news, insider James O. Hearty sold 2,351 shares of the firm's stock in a transaction on Wednesday, July 23rd. The shares were sold at an average price of $150.00, for a total transaction of $352,650.00. Following the completion of the transaction, the insider owned 26,038 shares of the company's stock, valued at approximately $3,905,700. This trade represents a 8.28% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 1.50% of the company's stock.

Hedge Funds Weigh In On DaVita

Several large investors have recently modified their holdings of the business. Wealth Enhancement Advisory Services LLC raised its stake in DaVita by 2.0% during the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 3,551 shares of the company's stock worth $531,000 after buying an additional 69 shares during the last quarter. Hantz Financial Services Inc. raised its stake in DaVita by 48.1% during the second quarter. Hantz Financial Services Inc. now owns 231 shares of the company's stock worth $33,000 after buying an additional 75 shares during the last quarter. UMB Bank n.a. raised its stake in DaVita by 65.5% during the first quarter. UMB Bank n.a. now owns 192 shares of the company's stock worth $29,000 after buying an additional 76 shares during the last quarter. Exchange Traded Concepts LLC raised its stake in DaVita by 8.9% during the first quarter. Exchange Traded Concepts LLC now owns 970 shares of the company's stock worth $148,000 after buying an additional 79 shares during the last quarter. Finally, Mather Group LLC. raised its stake in DaVita by 7.0% during the first quarter. Mather Group LLC. now owns 1,201 shares of the company's stock worth $184,000 after buying an additional 79 shares during the last quarter. Institutional investors own 90.12% of the company's stock.

DaVita Company Profile

DaVita Inc provides kidney dialysis services for patients suffering from chronic kidney failure in the United States. The company operates kidney dialysis centers and provides related lab services in outpatient dialysis centers. It also offers outpatient, hospital inpatient, and home-based hemodialysis services; operates clinical laboratories that provide routine laboratory tests for dialysis and other physician-prescribed laboratory tests for ESRD patients; and management and administrative services to outpatient dialysis centers.