Why DaVita HealthCare (DVA) is a Top Value Stock for the Long-Term
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Why Investors Should Pay Attention to This Value Stock
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
DaVita HealthCare (DVA)
Denver, CO-headquartered DaVita Inc. is a leading provider of dialysis services in the U.S. to patients suffering from chronic kidney failure, also known as end-stage renal disease (ESRD). The company operates kidney dialysis centers and provides related medical services primarily in dialysis centers and in contracted hospitals across the U.S. Its services include outpatient dialysis services, hospital inpatient dialysis services and ancillary services such as ESRD laboratory services and disease management services.
DVA is a Zacks Rank #1 (Strong Buy) stock, with a Value Style Score of A and VGM Score of A. Shares are currently trading at a forward P/E of 12.9X for the current fiscal year compared to the Medical - Outpatient and Home Healthcare industry's P/E of 20.6X. Additionally, DVA has a PEG Ratio of 0.8 and a Price/Cash Flow ratio of 6.9X. Value investors should also note DVA's Price/Sales ratio of 0.8X.
Many value investors pay close attention to a company's earnings as well. For DVA, three analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.68 to $8.07 per share for 2023. Per share DVA boasts an average earnings surprise of 36.6%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding DVA to their portfolios.
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DaVita Inc. (DVA) : Free Stock Analysis Report
