DaVita (NYSE:DVA) Shares Cross Below Fifty Day Moving Average on Analyst Downgrade

DaVita Inc. (NYSE:DVA) shares passed below its 50-day moving average during trading on Tuesday after Barclays lowered their price target on the stock from $224.00 to $216.00. The stock has a 50-day moving average of $181.68 and traded as low as $180.05. Barclays currently has an equal weight rating on the stock. DaVita shares last traded at $181.6550, with a volume of 755,676 shares.

A number of other research firms have also commented on DVA. Truist Financial reduced their price objective on shares of DaVita from $250.00 to $215.00 and set a “hold” rating for the company in a research note on Friday, August 7th. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and issued a $265.00 target price on shares of DaVita in a research report on Wednesday, August 5th. Oppenheimer set a $220.00 price target on shares of DaVita in a report on Friday, August 7th. Raymond James Financial set a $220.00 price target on shares of DaVita in a research report on Friday, August 7th. Finally, Weiss Ratings raised shares of DaVita from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Friday, October 9th. Four analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $235.86.

Key Headlines Impacting DaVita

Here are the key news stories impacting DaVita this week:

• Positive Sentiment: TD Cowen raised its price target to $228 from $220 and reiterated a Buy rating, indicating confidence in DaVita’s potential. TD Cowen rating
• Neutral Sentiment: DaVita’s CFO and investor-relations head are scheduled to participate in fireside chats at two healthcare-investor conferences on Nov. 9 and 10; the announcement did not disclose new financial guidance. Conference announcement
• Negative Sentiment: Pomerantz LLP announced an investigation on behalf of DaVita investors, and the Law Offices of Frank R. Cruz said it is investigating potential securities-fraud claims tied to company disclosures on Oct. 20. These are investigations, not findings of wrongdoing, but add legal uncertainty. Pomerantz investigation notice Cruz investigation notice
• Negative Sentiment: A report says Berkshire Hathaway sold about $69 million of DaVita shares, alongside concerns about HHS kidney-care reforms and the securities-fraud probe. The sale may be viewed as a negative signal, although the report headline alone does not establish Berkshire’s reason for selling. Berkshire sale report
• Negative Sentiment: Barclays cut its price target to $216 from $224 and maintained an Equal Weight rating, tempering the more bullish view from TD Cowen. Barclays rating

Institutional Trading of DaVita

A number of hedge funds have recently made changes to their positions in DVA. CoreCap Advisors LLC boosted its stake in DaVita by 161.7% in the third quarter. CoreCap Advisors LLC now owns 157 shares of the company’s stock worth $27,000 after purchasing an additional 97 shares in the last quarter. Provenance Wealth Advisors LLC acquired a new stake in shares of DaVita in the third quarter valued at $30,000. Root Financial Partners LLC increased its stake in shares of DaVita by 128.0% in the first quarter. Root Financial Partners LLC now owns 187 shares of the company’s stock valued at $29,000 after buying an additional 105 shares in the last quarter. Compass Financial Management LLC bought a new position in shares of DaVita in the second quarter valued at about $72,000. Finally, NewEdge Advisors LLC raised its holdings in shares of DaVita by 66.4% in the second quarter. NewEdge Advisors LLC now owns 361 shares of the company’s stock valued at $80,000 after buying an additional 144 shares during the last quarter. 90.12% of the stock is owned by hedge funds and other institutional investors.

DaVita Stock Performance

The company’s 50-day moving average is $181.68 and its 200-day moving average is $177.29. The firm has a market cap of $11.43 billion, a price-to-earnings ratio of 13.38, a P/E/G ratio of 0.47 and a beta of 0.87.

DaVita (NYSE:DVA) last issued its quarterly earnings data on Thursday, October 29th. The company reported $3.82 EPS for the quarter, topping analysts’ consensus estimates of $3.57 by $0.25. The firm had revenue of $3.58 billion for the quarter, compared to analyst estimates of $3.52 billion. DaVita had a net margin of 6.49% and a negative return on equity of 225.93%. The company’s revenue was up 4.6% on a year-over-year basis. During the same quarter in the prior year, the firm earned $2.51 EPS. On average, analysts predict that DaVita Inc. will post 14.66 EPS for the current year.

About DaVita

DaVita Inc (NYSE: DVA) is a health care services company focused on kidney care. Through its DaVita Kidney Care business, the company provides outpatient dialysis treatments for people with chronic kidney failure, including in-center hemodialysis, home dialysis and related clinical support services.

DaVita also offers integrated kidney care programs intended to support patients across the stages of chronic kidney disease. Its services may include care coordination, disease management, education, transplant support and other services designed to improve clinical outcomes and help manage the needs of patients with complex kidney conditions.

The company operates a network of dialysis centers and related facilities in the United States and serves patients in select international markets.