DaVita (NYSE:DVA) Shares Gap Up on Strong Earnings

DaVita Inc. (NYSE:DVA)’s share price gapped up prior to trading on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $111.19, but opened at $128.00. DaVita shares last traded at $136.6480, with a volume of 898,090 shares.

The company reported $3.40 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.24 by $0.16. The business had revenue of $3.62 billion during the quarter, compared to the consensus estimate of $3.51 billion. DaVita had a negative return on equity of 586.45% and a net margin of 5.47%.The firm’s quarterly revenue was up 9.9% on a year-over-year basis. During the same period in the previous year, the company posted $2.24 EPS. DaVita has set its FY 2026 guidance at 13.600-15.00 EPS.

Key Headlines Impacting DaVita

Here are the key news stories impacting DaVita this week:

• Positive Sentiment: Q4 beat — DaVita reported Q4 revenue of ~$3.62B and EPS above estimates, with margins expanding and full‑year adjusted EPS guidance raised materially above consensus, supporting a more bullish near‑term outlook. DaVita Stock Up Following Q4 Earnings & Revenue Beat, Margins Expand
• Positive Sentiment: Raised guidance — Management set FY‑2026 EPS guidance of $13.60–$15.00, above the Street, citing steady dialysis demand; that forward guidance was a key catalyst for the stock’s rally. DaVita forecasts 2026 profit above estimates on steady dialysis service demand
• Positive Sentiment: After‑hours flow and market reaction — Major outlets reported strong after‑hours buying and a sizable volume spike as investors repositioned around the beats and higher guidance. Stocks making the biggest moves after hours: Palantir, NXP Semiconductors, DaVita and more
• Neutral Sentiment: Management commentary & call — The company’s press release and earnings call described execution vs targets and patient demand trends; read the transcript/press release for management’s assumptions driving the guidance. DaVita Inc. 4th Quarter 2025 Results
• Neutral Sentiment: Analyst context — Recent price targets cluster near the low‑to‑mid $100s–$140s range (median ~$140), so the new guidance will force analysts to re‑rate estimates and targets in coming days. DaVita Inc. Releases Q4 2025 Earnings
• Negative Sentiment: Volatility & risk factors — Market commentary warns that reimbursement, regulatory changes and execution risks could keep the stock volatile despite the beat; investors should expect swings. DaVita: Some Success Is Possible, But Volatility Is Still Heavy
• Negative Sentiment: Some financials to watch — While EPS and revenue improved, third‑party summaries show cash & cash equivalents declined and liabilities rose year‑over‑year; monitor margin sustainability and cash/leveraging metrics. DaVita Inc. Releases Q4 2025 Earnings (financial highlights)

Analyst Upgrades and Downgrades

Several research analysts have recently commented on the stock. UBS Group reaffirmed a “buy” rating on shares of DaVita in a report on Monday, December 15th. TD Cowen reissued a “hold” rating on shares of DaVita in a research report on Tuesday. Zacks Research upgraded DaVita from a “strong sell” rating to a “hold” rating in a research note on Friday, November 28th. Weiss Ratings reiterated a “hold (c)” rating on shares of DaVita in a research report on Monday, December 29th. Finally, Barclays increased their target price on DaVita from $143.00 to $158.00 and gave the stock an “equal weight” rating in a report on Tuesday. One research analyst has rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $148.60.

Hedge Funds Weigh In On DaVita

A number of institutional investors have recently modified their holdings of the business. Hantz Financial Services Inc. grew its position in DaVita by 48.1% in the second quarter. Hantz Financial Services Inc. now owns 231 shares of the company’s stock valued at $33,000 after acquiring an additional 75 shares during the last quarter. Mid American Wealth Advisory Group Inc. acquired a new stake in shares of DaVita in the 2nd quarter valued at approximately $36,000. Elevation Wealth Partners LLC grew its holdings in shares of DaVita by 147.3% during the 4th quarter. Elevation Wealth Partners LLC now owns 277 shares of the company’s stock valued at $31,000 after purchasing an additional 165 shares during the last quarter. Canada Pension Plan Investment Board acquired a new position in DaVita during the 2nd quarter worth approximately $43,000. Finally, Ameritas Advisory Services LLC bought a new position in DaVita in the 2nd quarter valued at approximately $47,000. Institutional investors and hedge funds own 90.12% of the company’s stock.

DaVita Price Performance

The business’s 50-day simple moving average is $113.69 and its two-hundred day simple moving average is $124.82. The stock has a market cap of $9.50 billion, a price-to-earnings ratio of 13.58, a price-to-earnings-growth ratio of 0.68 and a beta of 0.99.

About DaVita

DaVita Inc (NYSE: DVA) is a leading provider of kidney care services, specializing in the management and operation of outpatient dialysis centers for patients with chronic kidney failure and end-stage renal disease. Headquartered in Denver, Colorado, the company offers a comprehensive suite of treatment modalities, including in-center hemodialysis, peritoneal dialysis, and home dialysis therapies. In addition to its core dialysis services, DaVita provides patient education, nutritional counseling, vascular access management and related laboratory services to support kidney health and overall patient well-being.

Since its formation in the mid-1990s through a clinical management services spin-off, DaVita has expanded both organically and through strategic partnerships and acquisitions.