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DaVita HealthCare (DVA) Exceeds Market Returns: Some Facts to Consider

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DaVita HealthCare (DVA - Free Report) ended the recent trading session at $128.05, demonstrating a +1.72% change from the preceding day's closing price. The stock's change was more than the S&P 500's daily gain of 1.07%. Elsewhere, the Dow saw an upswing of 1.12%, while the tech-heavy Nasdaq appreciated by 1.37%.

Shares of the kidney dialysis provider witnessed a loss of 3.29% over the previous month, trailing the performance of the Medical sector with its gain of 3%, and the S&P 500's gain of 1.08%.

Market participants will be closely following the financial results of DaVita HealthCare in its upcoming release. The company plans to announce its earnings on October 29, 2025. The company is expected to report EPS of $3.29, up 27.03% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $3.4 billion, indicating a 4.27% increase compared to the same quarter of the previous year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $10.93 per share and a revenue of $13.46 billion, signifying shifts of +12.91% and +5.01%, respectively, from the last year.

Investors should also take note of any recent adjustments to analyst estimates for DaVita HealthCare. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Right now, DaVita HealthCare possesses a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that DaVita HealthCare has a Forward P/E ratio of 11.52 right now. This expresses a discount compared to the average Forward P/E of 21.3 of its industry.

Also, we should mention that DVA has a PEG ratio of 0.9. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As of the close of trade yesterday, the Medical - Outpatient and Home Healthcare industry held an average PEG ratio of 1.91.

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.

To follow DVA in the coming trading sessions, be sure to utilize Zacks.com.


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