DaVita HealthCare (DVA) Stock Falls Amid Market Uptick: What Investors Need to Know

DaVita HealthCare (DVA) closed at $127.89 in the latest trading session, marking a -2.4% move from the prior day. The stock trailed the S&P 500, which registered a daily gain of 0.58%. Shares of the kidney dialysis provider witnessed a loss of 4.15% over the previous month, trailing the performance of the Medical sector with its gain of 2.74%, and the S&P 500's gain of 3.68%.The investment community will be paying close attention to the earnings performance of DaVita HealthCare in its upcoming release. The company is forecasted to report an EPS of $3.29, showcasing a 27.03% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $3.4 billion, up 4.27% from the year-ago period. 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. Any recent changes to analyst estimates for DaVita HealthCare should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential. Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model. 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. DaVita HealthCare is currently a Zacks Rank #3 (Hold). Digging into valuation, DaVita HealthCare currently has a Forward P/E ratio of 11.99. This denotes a discount relative to the industry average Forward P/E of 20.55. Meanwhile, DVA's PEG ratio is currently 0.94. 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 1.95. The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This group has a Zacks Industry Rank of 39, putting it in the top 16% of all 250+ industries. The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. 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. Beyond Nvidia: AI's Second Wave Is HereThe AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.See "2nd Wave" AI stocks now >>Want 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 ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks