1. Home
2. Earnings Analysis
3. Healthcare

Summary

• DaVita (DVA) delivered a strong earnings beat, driving a 13.5%+ share price surge and reinforcing my positive outlook.
• DVA’s strategy leverages home dialysis, integrated kidney care, and international expansion, supporting double-digit growth and margin stability despite sector headwinds.
• I maintain a fair value of $185/share and a price target of $130/share, reiterating a ‘BUY’ rating even after the recent upswing.
• Key risks remain Medicare reimbursement, commercial insurance complexities, and sector volatility, but DVA’s fundamentals and growth profile remain compelling.

Brett_Hondow/iStock Editorial via Getty Images

You may recall my previous article on Davita (DVA), when I initiated coverage and called this company a volatile "BUY", but one with a higher upside than peers. Those peers include one of my favorite

This article was written by

34.61K Followers

**Analyst’s Disclosure: **I/we have a beneficial long position in the shares of DVA, FMS either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

While this article may sound like financial advice, please observe that the author is not a CFA or in any way licensed to give financial advice. It may be structured as such, but it is not financial advice. Investors are required and expected to do their own due diligence and research prior to any investment. Short-term trading, options trading/investment and futures trading are potentially extremely risky investment styles. They generally are not appropriate for someone with limited capital, limited investment experience, or a lack of understanding for the necessary risk tolerance involved. I own the European/Scandinavian tickers (not the ADRs) of all European/Scandinavian companies listed in my articles. I own the Canadian tickers of all Canadian stocks I write about. Please note that investing in European/Non-US stocks comes with withholding tax risks specific to the company’s domicile as well as your personal situation. Investors should always consult a tax professional as to the overall impact of dividend withholding taxes and ways to mitigate these.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.