DaVita HealthCare (DVA) ended the recent trading session at $234.01, demonstrating a +1.04% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a loss of 0.51% for the day. At the same time, the Dow lost 0.2%, and the tech-heavy Nasdaq lost 1.47%.
Heading into today, shares of the kidney dialysis provider had gained 9.99% over the past month, outpacing the Medical sector's gain of 3.63% and the S&P 500's gain of 0.53%.
Analysts and investors alike will be keeping a close eye on the performance of DaVita HealthCare in its upcoming earnings disclosure. The company is forecasted to report an EPS of $4.01, showcasing a 35.93% upward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $3.53 billion, indicating a 4.53% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $15.07 per share and revenue of $14.3 billion, indicating changes of +39.8% and +4.78%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for DaVita HealthCare. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. DaVita HealthCare presently features a Zacks Rank of #3 (Hold).
In terms of valuation, DaVita HealthCare is presently being traded at a Forward P/E ratio of 15.37. This denotes a discount relative to the industry average Forward P/E of 19.5.
We can also see that DVA currently has a PEG ratio of 0.76. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Medical - Outpatient and Home Healthcare industry had an average PEG ratio of 1.68.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 161, which puts it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
Free: See Our Top Stock And 4 Runners UpWant 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
This article originally published on Zacks Investment Research (zacks.com).