Davita Inc Intrinsic Stock Value – DAVITA INC Reports Positive Earnings Results for FY2023 Q3
November 30, 2023
☀️Earnings Overview
At the end of the third quarter of fiscal year 2023, DAVITA INC ($NYSE:DVA) reported revenue of USD 3121.3 million, a year-over-year increase of 5.9%. Net income increased by 134.1% to USD 246.6 million from the same period last year. This report was released on September 30 2023.
Market Price
On Tuesday, DAVITA INC reported positive earnings results for FY2023 Q3. The stock opened at $78.2 and closed at $80.1, a rise of 1.4% from the prior closing price of 79.0. The net income was also up 11% compared to the same quarter last year. The company’s strong results were attributed to increased demand due to a shift towards more affordable dialysis treatments, which allowed them to capitalize on favorable patient mix and pricing.
Additionally, their focus on operational excellence and cost control initiatives are said to have contributed to their successful performance. Overall, DAVITA INC’s Q3 earnings report was positive news for investors, and the company’s stock will likely continue to grow as they continue to focus on providing quality care and services to their patients. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Davita Inc. More…
| Total Revenues | Net Income | Net Margin |
| 11.91k | 608.97 | 5.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Davita Inc. More…
| Operations | Investing | Financing |
| 1.92k | -816.77 | -998.15 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Davita Inc. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 16.93k | 14.1k | 13.13 |
Key Ratios Snapshot
Some of the financial key ratios for Davita Inc are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 1.0% | -6.4% | 12.1% |
| FCF Margin | ROE | ROA |
| 11.0% | 81.1% | 5.3% |
Analysis – Davita Inc Intrinsic Stock Value
At GoodWhale, we recently conducted an analysis of DAVITA INC‘s wellbeing. We used our proprietary Valuation Line to evaluate the fair value of DAVITA INC’s share to be around $109.8. Surprisingly, we found that the stock is currently trading at $80.1, which suggests that the stock is undervalued by 27.1%. We believe that this undervaluation presents a great opportunity for investors to purchase DAVITA INC’s stock at a discounted price. More…
Peers
In the dialysis industry, DaVita Inc. competes with Acadia Healthcare Co Inc, Fresenius Medical Care AG & Co. KGaA, Medical Facilities Corp, and other companies. The company has a network of 2,664 outpatient dialysis centers in the United States that serve approximately 198,000 patients with end-stage renal disease.
– Acadia Healthcare Co Inc ($NASDAQ:ACHC)
Acadia Healthcare Company, Inc. is a provider of behavioral healthcare services. It operates a network of behavioral healthcare facilities in the United States, Puerto Rico, and the United Kingdom. The company offers inpatient psychiatric and substance abuse services, residential treatment, outpatient behavioral health services, and specialty behavioral healthcare services.
– Fresenius Medical Care AG & Co. KGaA ($LTS:0H9X)
Fresenius Medical Care AG & Co. KGaA, a renal care company, provides products and services for patients with renal diseases worldwide. The company’s products and services include dialysis machines, dialyzers, and related disposable products, as well as renal pharmaceuticals. It also offers clinical laboratory testing services. The company was founded in 1912 and is headquartered in Bad Homburg vor der Höhe, Germany.
– Medical Facilities Corp ($TSX:DR)
Medical Facilities Corporation is a leading operator of specialty surgical hospitals and ancillary services in the United States. The company owns and operates seven specialty surgical hospitals, one surgical hospital, and three surgical facilities located in Arkansas, Illinois, Louisiana, Mississippi, Oklahoma, and Texas. Medical Facilities Corporation’s hospitals offer a broad range of services, including general surgery, cardiovascular surgery, orthopedic surgery, pain management, gastroenterology, urology, and otolaryngology. The company’s hospitals are accredited by the Joint Commission on Accreditation of Healthcare Organizations and are licensed by the respective state Departments of Health.
Summary
Investing in DaVita Inc. has been rewarding for shareholders, with the company reporting strong financial results for the third quarter of its fiscal year ending in September 2023. This performance was driven by the company’s strategic focus on cost-control and successful acquisitions, while also benefiting from improvements in the healthcare sector. Looking ahead, DaVita Inc. is well positioned to continue its growth trajectory and increase shareholder value.
