Key Takeaways DaVita's IKC platform grew risk-based patients to 64,900 in second-quarter 2026.DaVita delivered 7.23 million U.S. dialysis treatments, with revenue per treatment of $415.90.DaVita faces payer-mix pressure, competition and regulatory and macroeconomic uncertainty. DaVita Inc. (DVA - Free Report) has been gaining from strong execution across its Integrated Kidney Care (IKC) platform, improving treatment volumes and investments in technology and clinical innovation. The optimism is led by solid first-quarter 2026 results and higher full-year guidance. However, intense competition, commercial payer-mix pressures and regulatory and macroeconomic uncertainty remain key concerns.
Year to date, this Zacks Rank #3 (Hold) stock rallied 58.5%, outperforming the industry’s 22% growth and the S&P 500’s 11.6% gain.
The renowned global comprehensive kidney care provider has a market capitalization of $11.74 billion. The company projects 26.5% growth over the next five years and expects to maintain its strong performance going forward. DaVita’s earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missed once, the average surprise being 0.14%.
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Growth Drivers for DVA StockExpanding Value-Based Kidney Care: DaVita’s Integrated Kidney Care (IKC) platform remains a key growth engine, with risk-based patients increasing to 64,900 in second-quarter 2026 from 62,600 in the first quarter, representing approximately $5.8 billion in annualized medical spend. DaVita recently expanded its relationship with Humana through a new value-based agreement covering more than 10,000 Medicare Advantage members with CKD stages 3B–5. The partnership moves care earlier in the disease journey, aiming to delay or prevent dialysis, reduce hospitalizations and improve outcomes. Expanding IKC enrollment, medical spend under management and Medicare Advantage partnerships can create a larger, recurring value-based revenue opportunity while strengthening DaVita’s position in earlier-stage kidney care.
Strengthening Core Dialysis & Home Care: DaVita’s U.S. dialysis business continues to provide a stable operating foundation, with 7.23 million treatments delivered in second-quarter 2026 and revenue per treatment of $415.9. Management expects 2026 treatment growth toward the top end of its prior guidance, supported partly by improving mortality trends. The company is also prioritizing home hemodialysis and peritoneal dialysis, while its early-2026 minority investment in Elara Caring is designed to expand home-based support for ESKD patients and potentially reduce hospitalizations and missed treatments. Stable dialysis demand combined with expanding home-based care supports treatment volumes, patient retention and opportunities to capture a larger share of the kidney-care continuum.
Clinical Innovation & Earlier Intervention: DaVita continues to use clinical innovation to improve outcomes and support long-term growth. Its MODEL and MEMOIRS initiatives are evaluating advanced dialyzer technologies and their impact on survival and patient-reported outcomes. Meanwhile, the Humana partnership expands DaVita’s coordinated, whole-person approach to CKD, supported by a network of approximately 3,000 value-based nephrologist partners. The model addresses kidney, cardiovascular and metabolic health while providing education, treatment planning and support around home dialysis and transplantation. Better clinical outcomes and earlier intervention can reduce costly complications, improve patient engagement and strengthen DaVita’s ability to expand value-based contracts.
Downsides of DVA StockCompetitive Pressure: DaVita faces intense competition across its U.S. dialysis operations from large providers such as Fresenius Medical Care, private equity-backed kidney care companies, independent nephrologists and new market entrants. Competition extends beyond traditional dialysis into integrated kidney care, value-based care and transplant services, where technology-driven and well-capitalized healthcare companies are introducing new treatment and care-delivery models. This pressure can make it harder for DaVita to secure attractive acquisitions, maintain patient volumes and build physician relationships. Rising competition could pressure market share, pricing, patient growth and acquisition opportunities, limiting DaVita’s long-term earnings growth.
Payer-Mix Headwinds: DaVita’s profitability remains sensitive to its relatively small but higher-paying commercial insurance population. Commercial mix remained in the high teens during the first half of 2026, while management expects an approximately $40 million headwind from ACA effectuation and mix in 2026, increasing to an estimated $70 million impact in 2027. Revenue per treatment is also expected to face pressure in the second half of 2026 due to a weaker commercial mix, lower phosphate binder revenues and difficult comparisons with late-2025 claim resolutions. A deteriorating payer mix and lower commercial reimbursement can weigh on revenue per treatment and margins even when dialysis volumes remain stable.
Regulatory & Macro Risks: DaVita operates under extensive and evolving federal, state and international healthcare regulations, including Medicare and Medicaid reimbursement requirements. Changes to Medicaid eligibility, payment models, healthcare transparency rules and government enforcement could increase compliance costs and financial exposure. Also, inflation, labor shortages, interest-rate volatility, tariffs, supply-chain disruptions and geopolitical uncertainty could raise operating expenses. Economic weakness may further shift patients from higher-paying commercial insurance toward lower-paying government coverage or uninsured status. Regulatory changes and macroeconomic pressures can increase costs, reduce reimbursement and create greater uncertainty around DaVita’s earnings and cash generation.
Estimate TrendDaVita is witnessing a stable estimate revision trend for 2026. Over the past 30 days, the Zacks Consensus Estimate for earnings per share has remained unchanged at $14.57.
The Zacks Consensus Estimate for the company’s third-quarter 2026 revenues is pegged at $3.53 billion, indicating a 3.2% uptick from the year-ago quarter’s reported number. The consensus mark for earnings is pegged at $3.78 per share, implying 50.6% year-over-year growth.
Stocks to ConsiderSome better-ranked stocks from the broader medical space are Veracyte (VCYT - Free Report) , Globus Medical (GMED - Free Report) and West Pharmaceutical (WST - Free Report) .
Veracyte, currently flaunting a Zacks Rank #1 (Strong Buy), reported a second-quarter 2026 adjusted earnings per share (EPS) of 54 cents, which surpassed the Zacks Consensus Estimate by 25.6%. Revenues of $150.3 million beat the Zacks Consensus Estimate by 4.1%. You can see the complete list of today’s Zacks #1 Rank stocks here.
VCYT has an estimated earnings growth rate of 8.4% for 2026. The company’s earnings beat estimates in each of the trailing four quarters, the average surprise being 41.8%.
Globus Medical, currently sporting a Zacks Rank #1, reported a second-quarter 2026 adjusted EPS of $1.34, which surpassed the Zacks Consensus Estimate by 19.6%. Revenues of $789.6 million beat the Zacks Consensus Estimate by 0.4%.
GMED has an estimated long-term earnings growth rate of 12.4%. The company’s earnings beat estimates in each of the trailing four quarters, the average surprise being 27.9%.
West Pharmaceutical, carrying a Zacks Rank #2 (Buy) at present, reported second-quarter 2026 adjusted EPS of $2.37, which beat the Zacks Consensus Estimate by 13.9%. Revenues of $872.3 million surpassed the Zacks Consensus Estimate by 4.2%.
WST has an estimated long-term earnings growth rate of 16%. WST’s earnings surpassed estimates in the trailing four quarters, the average surprise being 17.4%.
It has been about a month since the last earnings report for DaVita HealthCare (DVA - Free Report) . Shares have lost about 4.9% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is DaVita HealthCare due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the latest earnings report in order to get a better handle on the important drivers.
DaVita Q2 Earnings Beat Estimates, Margins DownDaVita Inc. (DVA - Free Report) delivered adjusted earnings per share from continuing operations of $4.02 in the second quarter of 2026, up 36.3% year over year. The figure surpassed the Zacks Consensus Estimate by 0.3%.
GAAP earnings per share from continuing operations for the quarter was also $4.02, reflecting an uptick of 55.8% year over year.
DaVita’s Revenues in DetailRevenues of $3.55 billion in the second quarter increased 5.2% year over year. The figure topped the Zacks Consensus Estimate by 0.6%.
RPT in the second quarter of 2026 was $415.9, up 2.8% year over year, but down 0.4% sequentially. Per management, the sequential decline reflected a lower commercial mix from declining Affordable Care Act enrollment and lower sequential revenue contribution from phosphate binders.
DVA’s Segment DetailsDaVita generates revenues via two sources — Dialysis patient service revenues and Other revenues.
The dialysis patient service revenues were $3.37 billion, up 4.9% year over year.
Other revenues were $187.7 million, up 8.7% from the year-ago quarter’s figure.
Per management, the total U.S. dialysis treatments for the second quarter were 7,226,600 or 92,649 per day, on average. This represents a per-day increase of 1.09% on a sequential basis. Normalized non-acquired treatment increased 0.3% year over year in the second quarter of 2026.
As of June 30, 2026, DaVita provided dialysis services to around 298,500 patients at 3,266 outpatient dialysis centers, of which 2,671 were U.S. centers while 595 were located across 14 other countries.
As of June 30, 2026, DVA had approximately 64,900 patients in risk-based integrated care arrangements in its Integrated Kidney Care business, representing $5.8 billion in annualized medical spend. The company also had an additional 5,700 patients in other integrated care arrangements.
DaVita’s Margin DetailsIn the quarter under review, DaVita’s gross profit increased 3.9% year over year to $1.16 billion. However, the gross margin contracted 38 basis points (bps) to 32.7%.
General & administrative expenses climbed 2.6% year over year to $423.5 million.
Adjusted operating profit totaled $738.6 million, reflecting a 4.7% increase from the prior-year quarter’s level. Adjusted operating margin in the second quarter contracted 8 bps to 20.8%.
DVA’s Financial PositionDaVita exited second-quarter 2026 with cash and cash equivalents and short-term investments of $688.9 million compared with $666.5 million at the end of the first quarter of 2026. Total debt (including the current portion) at the end of second-quarter 2026 was $10.78 billion compared with $10.63 billion at the end of the first quarter of 2026.
Cumulative net cash provided by operating activities at the end of second-quarter 2026 was $810.9 million compared with $504.2 million a year ago.
During the three months ended June 30, 2026, DVA repurchased 2.2 million shares for $348 million. Subsequent to June 30, through Aug. 4, 2026, the company has repurchased 0.2 million shares of its common stock for $37 million.
DaVita’s GuidanceDaVita has revised its outlook for 2026.
For 2026, DVA continues to expect RPT to reflect growth of 1%-2%, while treatment volume is expected to be near the top end of the company’s previous guidance range of 25 to 50 bps.
Adjusted earnings per share from continuing operations for the full year remains expected in the range of $14.10-$15.20. The Zacks Consensus Estimate is currently pegged at $15.07.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a downward trend in estimates revision.
The consensus estimate has shifted -12.69% due to these changes.
VGM ScoresCurrently, DaVita HealthCare has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a score of A on the value side, putting it in the top quintile for value investors.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending downward for the stock, and the magnitude of this revision indicates a downward shift. Notably, DaVita HealthCare has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry PlayerDaVita HealthCare is part of the Zacks Medical - Outpatient and Home Healthcare industry. Over the past month, Quest Diagnostics (DGX - Free Report) , a stock from the same industry, has gained 2.1%. The company reported its results for the quarter ended June 2026 more than a month ago.
Quest Diagnostics reported revenues of $3.04 billion in the last reported quarter, representing a year-over-year change of +10.2%. EPS of $3.12 for the same period compares with $2.62 a year ago.
Quest Diagnostics is expected to post earnings of $2.85 per share for the current quarter, representing a year-over-year change of +9.6%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.1%.
Quest Diagnostics has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of B.
Investors in DaVita Inc. (DVA - Free Report) need to pay close attention to the stock based on moves in the options market lately. That is because the Sep 18, 2026 $350 Put had some of the highest implied volatility of all equity options today.
What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?Clearly, options traders are pricing in a big move for DaVita shares, but what is the fundamental picture for the company? Currently, DaVita is a Zacks Rank #3 (Hold) in the Medical - Outpatient and Home Healthcare industry that ranks in the Top 20% of our Zacks Industry Rank. Over the last 30 days, no analysts have increased their earnings estimates for the current quarter, while one analyst has revised the estimate downward. The net effect has taken our Zacks Consensus Estimate for the current quarter from $4.33 per share to $3.78 in that period.
Given the way analysts feel about DaVita right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
Bank of New York Mellon Corp purchased a new stake in DaVita Inc. (NYSE:DVA – Free Report) during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm purchased 454,545 shares of the company’s stock, valued at approximately $101,127,000. Bank of New York Mellon Corp owned approximately 0.71% of DaVita at the end of the most recent quarter.
Several other hedge funds and other institutional investors also recently made changes to their positions in the stock. Invesco Ltd. boosted its holdings in shares of DaVita by 2.0% during the 3rd quarter. Invesco Ltd. now owns 1,679,248 shares of the company’s stock valued at $223,122,000 after acquiring an additional 32,358 shares in the last quarter. Morgan Stanley boosted its stake in shares of DaVita by 5.1% during the fourth quarter. Morgan Stanley now owns 1,477,045 shares of the company’s stock valued at $167,807,000 after purchasing an additional 71,156 shares in the last quarter. Arrowstreet Capital Limited Partnership grew its holdings in shares of DaVita by 114.9% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 1,190,000 shares of the company’s stock worth $135,196,000 after purchasing an additional 636,191 shares during the last quarter. Dimensional Fund Advisors LP grew its holdings in shares of DaVita by 5.2% during the first quarter. Dimensional Fund Advisors LP now owns 1,145,436 shares of the company’s stock worth $176,037,000 after purchasing an additional 56,336 shares during the last quarter. Finally, LSV Asset Management increased its stake in shares of DaVita by 1.1% in the fourth quarter. LSV Asset Management now owns 936,768 shares of the company’s stock valued at $106,426,000 after buying an additional 9,739 shares during the period. 90.12% of the stock is owned by institutional investors.
Wall Street Analysts Forecast Growth Several equities research analysts recently commented on DVA shares. Barclays lifted their target price on shares of DaVita from $218.00 to $224.00 and gave the stock an “equal weight” rating in a research report on Wednesday, August 5th. Weiss Ratings upgraded shares of DaVita from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Wednesday, August 5th. Raymond James Financial set a $220.00 price target on shares of DaVita in a research note on Friday, August 7th. TD Cowen upgraded shares of DaVita from a “hold” rating to a “buy” rating and lifted their price target for the stock from $201.00 to $220.00 in a report on Friday, August 7th. Finally, UBS Group boosted their price objective on shares of DaVita from $235.00 to $270.00 and gave the stock a “buy” rating in a research note on Friday, July 10th. Four analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $221.75.
Read Our Latest Stock Report on DaVita DaVita Price Performance Shares of DVA stock opened at $176.53 on Tuesday. The stock has a market capitalization of $11.26 billion, a PE ratio of 14.45, a PEG ratio of 0.58 and a beta of 0.88. The business’s 50 day simple moving average is $214.30 and its 200 day simple moving average is $182.32. DaVita Inc. has a one year low of $101.00 and a one year high of $247.49.
DaVita (NYSE:DVA – Get Free Report) last released its quarterly earnings results on Tuesday, August 4th. The company reported $4.02 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.88 by $0.14. DaVita had a net margin of 6.05% and a negative return on equity of 217.63%. The firm had revenue of $3.55 billion during the quarter, compared to analyst estimates of $3.50 billion. During the same quarter last year, the business earned $2.95 EPS. The company’s revenue was up 5.2% compared to the same quarter last year. DaVita has set its FY 2026 guidance at 14.100-15.200 EPS. As a group, research analysts expect that DaVita Inc. will post 14.57 earnings per share for the current year.
Insiders Place Their Bets In related news, insider Kathleen Alyce Waters sold 15,405 shares of the business’s stock in a transaction on Monday, June 15th. The shares were sold at an average price of $208.40, for a total value of $3,210,402.00. Following the transaction, the insider owned 109,194 shares in the company, valued at $22,756,029.60. The trade was a 12.36% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 1.90% of the stock is owned by corporate insiders.
About DaVita (Free Report)
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.
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BlackRock Inc. purchased a new position in DaVita Inc. (NYSE:DVA – Free Report) during the second quarter, according to its most recent Form 13F filing with the SEC. The fund purchased 2,460,987 shares of the company’s stock, valued at approximately $547,520,000. BlackRock Inc. owned approximately 3.86% of DaVita as of its most recent SEC filing.
Several other large investors also recently bought and sold shares of DVA. Performance Wealth Partners LLC purchased a new stake in DaVita during the second quarter valued at approximately $667,000. Deutsche Bank AG bought a new position in shares of DaVita during the second quarter worth $46,356,000. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new position in DaVita during the second quarter valued at $8,835,000. Beverly Hills Private Wealth LLC bought a new stake in DaVita in the 2nd quarter worth approximately $263,000. Finally, Plato Investment Management Ltd purchased a new stake in shares of DaVita during the 2nd quarter worth approximately $87,000. 90.12% of the stock is currently owned by institutional investors.
Insider Activity In other DaVita news, insider Kathleen Alyce Waters sold 15,405 shares of the stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $208.40, for a total transaction of $3,210,402.00. Following the sale, the insider directly owned 109,194 shares in the company, valued at $22,756,029.60. This represents a 12.36% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Corporate insiders own 1.90% of the company’s stock.
DaVita Stock Up 1.6% NYSE:DVA opened at $176.53 on Tuesday. DaVita Inc. has a 52 week low of $101.00 and a 52 week high of $247.49. The stock’s 50-day moving average price is $214.30 and its 200-day moving average price is $182.32. The stock has a market capitalization of $11.26 billion, a PE ratio of 14.45, a price-to-earnings-growth ratio of 0.58 and a beta of 0.88. DaVita (NYSE:DVA – Get Free Report) last issued its quarterly earnings results on Tuesday, August 4th. The company reported $4.02 earnings per share for the quarter, beating analysts’ consensus estimates of $3.88 by $0.14. The firm had revenue of $3.55 billion for the quarter, compared to analyst estimates of $3.50 billion. DaVita had a net margin of 6.05% and a negative return on equity of 217.63%. DaVita’s quarterly revenue was up 5.2% compared to the same quarter last year. During the same period last year, the company posted $2.95 EPS. DaVita has set its FY 2026 guidance at 14.100-15.200 EPS. Sell-side analysts expect that DaVita Inc. will post 14.57 earnings per share for the current fiscal year.
Analysts Set New Price Targets A number of equities research analysts recently weighed in on the company. Weiss Ratings upgraded DaVita from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Wednesday, August 5th. Oppenheimer set a $220.00 target price on DaVita in a research report on Friday, August 7th. Barclays upped their price objective on shares of DaVita from $218.00 to $224.00 and gave the company an “equal weight” rating in a report on Wednesday, August 5th. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and set a $265.00 target price on shares of DaVita in a report on Wednesday, August 5th. Finally, TD Cowen raised DaVita from a “hold” rating to a “buy” rating and boosted their price objective for the company from $201.00 to $220.00 in a report on Friday, August 7th. Four equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, DaVita currently has a consensus rating of “Hold” and an average price target of $221.75.
View Our Latest Stock Report on DVA
DaVita Company Profile (Free Report)
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.
Featured Stories Five stocks we like better than DaVita Visa Just Put Hims & Hers in the Penalty Box—Here’s Why It Matters Treasury Yields Are Surging Again: 3 Stocks That Could Feel the Pain Snowflake Could Be Headed for New Highs Despite Insider Selling MongoDB Is Surging—And the Next Catalyst Is Almost Here Want to see what other hedge funds are holding DVA? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for DaVita Inc. (NYSE:DVA – Free Report).
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, /PRNewswire/ -- Alebund Pharmaceuticals (Jiangsu) Limited ("Alebund" or the "Company"; stock code: 09637.HK), a renal-focused biopharmaceutical company, today announced its unaudited consolidated interim results for the six months ended June 30, 2026 (the "Reporting Period"). During the Reporting Period and up to the date of the interim results announcement, the Company made significant progress on four fronts: clinical development, external collaborations, commercialization in China, and the capital markets.
Highlights of the Reporting Period
Clinical Development
AP301 — patient enrollment completed in the global Phase III pivotal multi-regional clinical trial; the New Drug Application in China accepted for review by the National Medical Products Administration of China (the "NMPA"). In May 2026, RESPOND-2, the global Phase III pivotal multi-regional clinical trial (the "MRCT") conducted in the United States and China, completed patient enrollment. On August 7, 2026, subsequent to the Reporting Period, the New Drug Application submitted by the Company for AP301 for the treatment of hyperphosphatemia in chronic kidney disease ("CKD") patients receiving maintenance dialysis was accepted for review by the NMPA as a Class 1 chemical drug in China. AP306 — the global Phase IIb multi-regional clinical trial has been initiated. The trial is co-sponsored by the Company and R1 Therapeutics, Inc. ("R1"), with the Company leading the conduct of the trial in the Chinese Mainland. The trial plans to enroll a total of approximately 168 participants with hyperphosphatemia receiving maintenance hemodialysis, and the first participant was randomized and dosed in July 2026, subsequent to the Reporting Period, as announced by the Company. The trial is expected to be completed in the second quarter of 2027, and the Company will announce topline results in due course. AP303 — the data from three completed Phase I/Ib clinical trials have been published in Kidney International Reports in August 2026, demonstrating that AP303 was safe and well tolerated; the expected dose-related hemodynamic effects were observed in healthy participants and patients with diabetic kidney disease (DKD). AP308 — preclinical results published in May 2026 in Kidney International. In humanized IgA (immunoglobulin A) nephropathy mouse models, AP308 reduced circulating human IgA1 by approximately 90% after a single dose, and eight weeks of treatment achieved near-complete clearance of glomerular IgA deposits with significant improvement in renal pathology and no treatment-related adverse effects; in a separate paired design, a single dose completely cleared established glomerular IgA and complement C3 deposits. External Collaborations
Licensing and equity agreements in respect of AP306 entered into with R1 Therapeutics. In March 2026, the Company announced that it had entered into licensing and equity agreements in respect of its product candidate AP306 with R1. The Company retains all rights to AP306 in Greater China and holds an equity interest in R1 as a principal shareholder, while R1 has obtained an exclusive license to develop, manufacture, and commercialize AP306 outside Greater China. R1's shareholders include DaVita (NYSE: DVA) and U.S. Renal Care, leading global kidney care providers. During the Reporting Period, the Company recognized licensing revenue of RMB79.3 million from the transaction. Commercialization in China
Sales revenue of Mircera® increased by approximately 105.0% year-on-year. During the Reporting Period, Mircera® generated sales revenue of RMB24.8 million (corresponding period of 2025: RMB12.1 million), representing a year-on-year increase of approximately 105.0%. Capital Markets
Listing of the H Shares on the Main Board of the Stock Exchange. The H Shares of the Company were listed on the Main Board of The Stock Exchange of Hong Kong Limited (the "Stock Exchange") on June 29, 2026 (stock code: 09637). Together with the full exercise of the Over-allotment Option under the Global Offering on July 24, 2026, subsequent to the Reporting Period, the aggregate net proceeds from the Global Offering amounted to approximately HK$1,355.8 million, of which approximately HK$184.7 million in additional net proceeds was attributable to the exercise of the Over-allotment Option. Financial Overview
Revenue growth with narrowing losses. Revenue for the first half of 2026 grew to RMB104.2 million from RMB12.1 million for the first half of 2025, representing an increase of RMB92.1 million, or 761.2%, primarily reflecting licensing revenue of RMB79.3 million recognized under the licensing and equity agreements entered into with R1 in respect of AP306, as well as sales revenue of RMB24.8 million from the commercialized product Mircera®; loss for the period was RMB162.6 million, narrowing by 22.5% year-on-year, and adjusted net loss for the period (non-International Financial Reporting Standards ("IFRS") measure) was RMB130.1 million, narrowing by 12.6% year-on-year. As of June 30, 2026, the aggregate balance of cash and cash equivalents, time deposits, and wealth management products was RMB1,392.8 million, representing an increase of RMB861.6 million. Financial Summary
RMB'000 (UNAUDITED)
SIX MONTHS
ENDED JUNE 30, 2026
SIX MONTHS
ENDED JUNE 30, 2025
REVENUE
104,159
12,112
GROSS PROFIT
91,089
5,262
RESEARCH AND DEVELOPMENT EXPENSES
141,404
110,061
LOSS FOR THE PERIOD
162,550
209,662
ADJUSTED NET LOSS FOR THE PERIOD (NON-IFRS MEASURE)*
130,098
148,851
* Adjusted net loss for the period (non-IFRS measure) represents loss for the period after adding back (i) interest on redemption liabilities on ordinary shares; (ii) share-based payment; and (iii) listing expenses.
Product sales. During the Reporting Period, Mircera®, the Company's commercialized product, generated sales revenue of RMB24.8 million, representing an increase of approximately 105.0% from RMB12.1 million in the corresponding period of 2025; the gross profit of Mircera® was RMB11.7 million, representing an increase of RMB6.4 million, or 120.8%, from RMB5.3 million in the corresponding period of 2025, and the gross profit margin improved from 43.4% for the first half of 2025 to 47.3% for the first half of 2026.
Licensing value. In March 2026, the Company completed its performance obligations under the licensing and equity agreements entered into with R1 in respect of AP306 and recognized licensing revenue of RMB79.3 million; the consideration was received in the form of unlisted class B common shares of R1 as upfront, non-monetary, and non-refundable consideration. Together with the sales revenue of Mircera®, revenue for the first half of 2026 grew to RMB104.2 million from RMB12.1 million for the first half of 2025, representing an increase of RMB92.1 million, or 761.2%.
Narrowing of losses. Net loss for the first half of 2026 narrowed by RMB47.1 million, or 22.5%, to RMB162.6 million from RMB209.7 million for the first half of 2025. The narrowing was primarily driven by (i) the increase in licensing revenue during the Reporting Period and (ii) the termination, prior to the Listing, of the redemption liabilities in respect of certain shares of the Company (which is one-off in nature), following which no related interest was accrued during the Reporting Period. Adjusted net loss for the first half of 2026 was RMB130.1 million, a decrease of RMB18.8 million, or 12.6%, from RMB148.9 million for the first half of 2025, likewise primarily due to the increase in licensing revenue during the period.
R&D investment. Research and development (R&D) expenses increased by RMB31.3 million, or 28.4%, to RMB141.4 million for the first half of 2026 from RMB110.1 million for the first half of 2025. The increase primarily reflected progress across the R&D pipeline during the Reporting Period, including the completion of patient enrollment in the AP301 MRCT, the initiation of the global Phase IIb multi-regional clinical trial of AP306, and the continued advancement of preclinical and chemistry, manufacturing, and controls (CMC) studies of AP308.
Liquidity. As of June 30, 2026, the aggregate balance of cash and cash equivalents, time deposits, and wealth management products was RMB1,392.8 million, representing an increase of RMB861.6 million, or 162.2%, from December 31, 2025.
Business Progress
AP301: A Best-in-Class Oral Iron-Based Phosphate Binder for the Treatment of Hyperphosphatemia
AP301 is a best-in-class oral iron-based phosphate binder (registered as a Class 1 chemical drug in China), offering a very high phosphate-binding capacity, no need for chewing, minimal volume expansion in gastric fluid, and no systemic absorption. These characteristics help reduce the amount of medication patients need to take each day and lower the incidence of gastrointestinal adverse events such as nausea, vomiting, constipation, and intestinal obstruction, thereby delivering better safety and gastrointestinal tolerability and enhancing patients' long-term treatment adherence.
Global Phase III pivotal multi-regional clinical trial (RESPOND-2, NCT06933472) underway. The trial is a randomized, double-blind, global multi-regional Phase III clinical trial conducted in the United States and China. It planned to enroll 264 CKD patients aged 12 years and above with hyperphosphatemia receiving maintenance dialysis, and ultimately enrolled a total of 282 patients (138 in the United States and 144 in China). Based on the existing clinical data for AP301, the Company and the FDA have agreed that this global Phase III multi-regional clinical trial will serve as the single pivotal study to support the U.S. registration of AP301. The trial completed patient enrollment in May 2026.
Registration progress, catalysts and future milestones. On August 7, 2026, subsequent to the Reporting Period, the New Drug Application submitted by the Company for AP301 for the treatment of hyperphosphatemia in CKD patients receiving maintenance dialysis was accepted for review by the NMPA as a Class 1 chemical drug in China. The application is supported primarily by the results of RESPOND-1, the China pivotal Phase III clinical trial, together with other accumulated clinical data; the Company will actively cooperate with the NMPA's review and expects to obtain approval in 2027, subject to the progress of the regulatory review. The global Phase III multi-regional clinical trial is expected to be completed in the second quarter of 2027, following which the Company plans to submit a New Drug Application to the FDA.
AP306: First-in-Class Oral Pan-Phosphate Transporter Inhibitor with the Potential to Reshape the Treatment Landscape of Hyperphosphatemia
AP306 (formerly known as EOS789, originally discovered by Chugai) is an oral pan-phosphate transporter inhibitor that simultaneously inhibits three key sodium-dependent intestinal phosphate transporters: phosphate transporter type IIb (NaPi-IIb), phosphate transporter-1 (PiT-1), and phosphate transporter-2 (PiT-2). As of the Latest Practicable Date (August 20, 2026), AP306 is the world's first and only pan-phosphate transporter inhibitor to have entered clinical development — the only oral agent that simultaneously targets these three key intestinal phosphate transporters.
The global Phase IIb multi-regional clinical trial underway. The trial (NCT06712654) is a multicenter, randomized, double-blind, placebo-controlled, fixed-dose study conducted at multiple clinical sites in the United States and China and co-sponsored by the Company and R1, designed to evaluate the safety, tolerability, and serum phosphate-lowering effect of AP306. The trial plans to enroll approximately 168 participants with hyperphosphatemia receiving maintenance hemodialysis, randomized across six fixed-dose AP306 regimens and placebo over an eight-week treatment period. The primary endpoint is the change in serum phosphate level from baseline to the end of treatment, and the secondary endpoints include the proportion of participants reaching the target phosphate range and the time to phosphate control. The trial has been approved by the Office of Human Genetic Resources Administration of China. As announced by the Company on July 21, 2026, subsequent to the Reporting Period, the first participant in the trial was randomized and dosed.
Catalysts and future milestones. The global Phase IIb multi-regional clinical trial described above is expected to be completed in the second quarter of 2027, and the Company will announce topline results in due course. The Company also plans to initiate a global Phase III multi-regional clinical trial in the second half of 2027.
Regulatory designation. In June 2024, AP306 was granted Breakthrough Therapy Designation by the NMPA for the treatment of hyperphosphatemia in patients with chronic kidney disease.
AP303: A First-in-Class Oral Dual PPAR Agonist Intended to Delay or Halt the Progression of Chronic Kidney Disease
AP303 is a first-in-class oral small-molecule dual peroxisome proliferator-activated receptor (PPAR) α/γ agonist discovered and developed in-house, and the Company holds the global rights to develop, manufacture, and commercialize it. A differentiated disease-modifying agent, AP303 is intended to delay or halt the progression of chronic kidney disease, with target indications spanning multiple high-value therapeutic areas, including DKD, IgA nephropathy (IgAN), autosomal dominant polycystic kidney disease (ADPKD), and focal segmental glomerulosclerosis (FSGS).
Clinical development progress. AP303 has completed three Phase I clinical trials, which enrolled a total of 80 healthy participants and 18 DKD patients with impaired renal function and showed that AP303 was safe and well tolerated. The expected dose-related hemodynamic effects were observed in both healthy participants and patients with DKD. These Phase I results support the initiation of Phase II studies in patient populations. The Phase I/Ib clinical data were published in Kidney International Reports in August 2026.[1]
Regulatory progress: Phase II clinical trial approvals obtained. In China, the Company submitted an Investigational New Drug application for the Phase II clinical trial to the NMPA and obtained approval for the pan-CKD indication, which can cover subsequent Phase II clinical trials in patients with DKD, IgAN, ADPKD, and FSGS. In the United States, the Company has communicated with the FDA regarding DKD, IgAN, ADPKD, and FSGS and received positive feedback. Among these, the ADPKD indication has been granted Orphan Drug Designation (ODD), and Phase II clinical trial approvals have been obtained for the DKD and IgAN indications.
Subsequent development plan. The Company expects to begin site selection for the Phase II basket trial in DKD and IgAN in the second half of 2026, while preparing in parallel for the initiation of the Phase II multi-regional clinical trials in ADPKD and FSGS and maintaining ongoing communication with the relevant regulatory authorities.
AP308: A First-in-Class Engineered Recombinant IgA Protease Aiming for Functional Cure of IgA Nephropathy
AP308 is an engineered recombinant IgA protease derived from Thomasclavelia ramosa, a human commensal bacterium, and specifically cleaves human IgA1 at a site upstream of the hinge region. Unlike existing therapies that reduce upstream IgA production by modulating B-cell pathways (such as APRIL/BAFF), AP308 acts by directly cleaving and clearing pathogenic IgA and IgA immune complexes that have already formed, including IgA deposited in the glomeruli.
Preclinical data. In the humanized mouse model of IgA nephropathy, a single dose reduced circulating human IgA1 by approximately 90% relative to controls, and circulating IgA1 remained low throughout the eight-week treatment period of weekly subcutaneous dosing; at the end of treatment, histological examination confirmed that glomerular IgA deposits were almost completely cleared, proteinuria decreased significantly, and kidney pathology improved markedly, while repeated dosing produced no treatment-related adverse reactions and no increase in anti-drug antibody titers. In a separate paired pre- and post-treatment design, a single dose completely cleared pre-existing glomerular IgA and complement C3 deposits. As of the Latest Practicable Date, no IgA protease drug candidate globally has entered the clinical stage. These results were published in May 2026 in Kidney International, the official journal of the International Society of Nephrology (ISN).[2]
Development stage, catalysts and future milestones. As of the Latest Practicable Date, AP308 is at the preclinical stage. The Company plans to submit Investigational New Drug applications for AP308 to the NMPA and the FDA, respectively, in the second half of 2026, and will initiate the Phase I clinical trial of AP308 upon obtaining the relevant clearances.
External Collaboration
In March 2026, the Company announced that it had entered into licensing and equity agreements in respect of its product candidate AP306 with R1; the agreements were entered into in December 2025. The Company retains full rights and control over AP306 in Chinese Mainland, Hong Kong, Macau and Taiwan (collectively, "Greater China"), while R1 has obtained an exclusive license to develop, manufacture, and commercialize AP306 outside Greater China (the "R1 Territory"). R1 and the Company are co-sponsors of the global Phase IIb clinical trial; each party is responsible for clinical trial execution and regulatory submissions in its respective territory and provides the other party with relevant data and support required for regulatory purposes. During the Reporting Period, the Company recognized licensing revenue of RMB79.3 million from the transaction.
Commercialization in China: Mircera®
Mircera® (generic name: methoxy polyethylene glycol-epoetin beta) is a long-acting erythropoiesis-stimulating agent (ESA) of the continuous erythropoietin receptor activator (CERA) class and the world's first and only ESA approved for once-monthly administration. As of the Latest Practicable Date, no biosimilar of Mircera® has been approved or is under review anywhere in the world. In October 2023, the Company entered into a supply and marketing agreement with Roche Hong Kong, Ltd. ("Roche", a subsidiary of Roche Holding AG), obtaining the exclusive rights to sell, distribute, and otherwise commercialize Mircera® in the Chinese Mainland (excluding Hong Kong, Macau, and Taiwan); Roche is responsible for supply and for maintaining the drug registration certificate, while the Company is responsible for obtaining the permits required for promotion. Mircera® was included in the National Reimbursement Drug List (Category B) through the national medical insurance negotiations in 2023 and its listing was renewed in 2025 with no price reduction.
In the first half of 2026, revenue of Mircera® reached RMB24.8 million, an increase of approximately 105.0% from RMB12.1 million in the corresponding period of 2025, at a gross profit margin of approximately 47.3%. The Company has built a dedicated in-house nephrology sales team comprising 43 sales personnel as of the Latest Practicable Date to conduct academic promotion. The commercial availability of Mircera® has given the Company proven access channels to public hospitals, an established distribution network, and dedicated nephrology academic promotion capabilities ahead of the approval of AP301 — ready-made infrastructure for the commercialization of AP301 and subsequent products.
Integrated R&D, Manufacturing, and Commercialization Capabilities
Manufacturing capabilities. Construction of the Company's in-house manufacturing facility in Yangzhou is complete, and the facility has obtained a Drug Manufacturing License (Category B) issued by the Jiangsu Provincial Drug Administration. It has completed pilot-scale production and is preparing for scale-up, to support future commercial-scale production of product candidates such as AP301 and AP306.
Intellectual property. As of the Latest Practicable Date, the Company held 39 granted patents and 117 pending patent applications worldwide, spanning major jurisdictions including China, the United States, and Europe, and together covering the key inventions that underpin the Company's product pipeline. During the Reporting Period, the Company was granted 7 new patents and filed 22 new patent applications.
Outlook
The Company is committed to bringing better treatment options, covering the full course of disease, to patients with chronic kidney disease and related diseases worldwide.
In the treatment of complications in patients with end-stage renal disease, the New Drug Application for the Company's core product AP301 in China was accepted for review by the NMPA on August 7, 2026, subsequent to the Reporting Period. We will give the review process our full cooperation and, following completion of the global Phase III multi-regional clinical trial in the second quarter of 2027, will submit a New Drug Application to the FDA. In parallel, we will press ahead with capacity preparation at the Yangzhou manufacturing facility and continue building out our nephrology commercialization system, so that AP301 can benefit patients as soon as possible. For AP306, we will work with R1 to advance enrollment and execution of the global Phase IIb multi-regional clinical trial and will disclose topline results in due course.
In delaying the progression of CKD, we have now obtained all Phase II clinical trial approvals for AP303. In the second half of 2026, we will begin site selection for the Phase II basket trial in DKD and IgAN, prepare in parallel for initiation of the Phase II multi-regional clinical trials in ADPKD and FSGS, and map out the later-stage registration pathway for IgAN. For AP308, we will advance the submission of its Investigational New Drug applications and, once the relevant clearances are obtained, initiate the Phase I clinical trial. We will disclose these developments in due course.
In addition, we will continue to strengthen our integrated capabilities across R&D, manufacturing, and commercialization, advance capacity preparation at the Yangzhou manufacturing facility as planned, and continue to expand our product pipeline in kidney disease through a two-pronged approach of internal R&D and external collaboration.
References
[1] Perkovic V, et al. Randomized clinical trials of deutaleglitazar in healthy participants and in patients with diabetic kidney disease. Kidney Int Rep. Published online August 20, 2026. doi:10.1016/j.ekir.2026.107037
[2] Shen X, et al. Therapeutic efficacy and antigenicity of a novel PEGylated IgA protease in preclinical models of IgA nephropathy. Kidney Int. 2026;110:463–476. doi:10.1016/j.kint.2026.04.020
About Alebund Pharmaceuticals
Alebund Pharmaceuticals (09637.HK) is a biopharmaceutical company focused on kidney disease and related chronic conditions, aiming to bring better therapies to patients worldwide. It has one of the broadest renal-focused pipelines and an integrated platform spanning R&D, manufacturing and commercialization. Its portfolio comprises seven investigational drug candidates and one commercialized product, Mircera®. Three of the candidates are at the clinical stage: AP301 (Phase III; China pivotal Phase III trial completed, New Drug Application accepted for review by the NMPA in China, global MRCT ongoing), AP306 (Phase II) and AP303 (Phase I). Together they address chronic kidney disease (CKD) and its complications, including hyperphosphatemia, renal anemia, IgA nephropathy, diabetic kidney disease, FSGS and ADPKD. Alebund has built a manufacturing site in Yangzhou, Jiangsu to support the future commercial manufacturing of AP301 and other pipeline products, has obtained a Drug Manufacturing License (Category B) issued by the Jiangsu Provincial Drug Administration, and has completed pilot-scale production and is preparing for scale-up. The Company has also established a dedicated nephrology sales team responsible for the commercialization of relevant products in China. For more information, visit www.alebund.com.
Forward-Looking Statements
This press release contains certain forward-looking statements relating to the Company's future plans, clinical development and registration progress, commercialization prospects and industry trends, among other matters. These statements are based on the Company's judgments and assumptions as of the date of this press release and are subject to various risks and uncertainties; actual results may differ materially from such forward-looking statements. For further details of the Company's 2026 interim results, please refer to the interim results announcement published on the websites of the Stock Exchange (www.hkexnews.hk) and the Company (www.alebund.com), and the interim report of the Company to be made available in due course.
Key Takeaways DaVita expands value-based kidney care to over 10,000 Humana members with CKD stages 3B???5.The program targets earlier intervention to slow kidney disease progression and reduce hospitalizations.DaVita IKC coordinates whole-person care through teams addressing clinical and nonclinical patient needs. DaVita (DVA - Free Report) recently announced a new value-based care agreement with Humana to provide comprehensive, coordinated care to more than 10,000 Humana Medicare Advantage members with chronic kidney disease (CKD) stages 3B–5. The program, which began on July 1, expands on the companies’ existing collaboration in end-stage kidney disease to earlier stages of CKD, where timely intervention may help delay disease progression and reduce hospitalizations.
Per management, kidney care is undergoing a therapeutic revolution, with upstream interventions helping to reshape patient outcomes. Through the partnership with Humana, DaVita is deploying advanced care that treats the whole patient, helps preserve kidney function and serves as a central hub for managing comorbid conditions that affect kidney health.
DVA Stock Trend Following the NewsFollowing the announcement, shares of DVA inched up 0.7% at yesterday’s close. Year to date, the stock has surged 56.5% compared with the industry’s 23.6% growth and the S&P 500’s 11.4% rise.
The expanded partnership with Humana is a positive development for DaVita as it strengthens the company’s presence in value-based kidney care and broadens its role beyond end-stage kidney disease management. Serving more than 10,000 additional patients could support greater engagement in earlier-stage CKD while creating opportunities to improve clinical outcomes and reduce costly hospitalizations. Over time, successful execution of the model could reinforce DaVita’s value-based care capabilities and support further partnerships with health plans.
DVA currently has a market capitalization of $11.26 billion.
Image Source: Zacks Investment Research
More on the NewsThe program focuses on CKD patients at stages 3B–5, a critical point when kidney function may decline rapidly but the condition can remain underdiagnosed or undertreated. Through DaVita Integrated Kidney Care (DaVita IKC), the company provides coordinated, whole-person care that addresses the close links between kidney, cardiovascular and metabolic health, with the goal of reducing care gaps and preventing avoidable hospitalizations.
The program builds on DaVita’s network of approximately 3,000 value-based nephrologist partners. Patients receive support from an interdisciplinary care team designed to address clinical and nonclinical barriers, including nutrition, transportation and mental health needs. The value-based model also provides education and advance care planning for patients who progress toward kidney failure, including guidance on home dialysis and kidney transplantation.
By bringing these services together, DaVita aims to stabilize kidney function, slow disease progression and create a smoother transition between stages of care. The expanded partnership reflects the growing focus on value-based, preventive care and DaVita’s strategy of intervening earlier to better manage complex kidney disease and improve outcomes.
Industry Prospects Favoring the MarketGoing by data provided by Global Market Insights, the U.S. dialysis services market is predicted to be valued at $37.7 billion in 2026 and is expected to witness a CAGR of 3.5% through 2035.
Factors such as the rising number of end-stage renal disease patients, increasing incidence of diabetes leading to kidney disorders, favorable reimbursement scenario available for dialysis treatment and expansion of dialysis centers across the United States are expected to support market growth.
Other NewsRecently, DaVita exited the second quarter of 2026, wherein both earnings and revenues surpassed the estimates. Revenue per treatment was up year over year, but down sequentially. Solid revenues from both Dialysis patient service and Other sources, higher U.S. dialysis treatments per day and an uptick in normalized non-acquired treatment were encouraging. Management highlighted plans to expand hemodialysis across its network once an adequate supply of newly approved dialyzers is secured. Compatible with existing machines, the technology can broaden patient access without significant capital investment and may improve clinical outcomes, with mortality-related economic benefits expected from 2028.
DVA’s Zacks Rank & Key PicksCurrently, DVA carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Globus Medical (GMED - Free Report) , Veracyte (VCYT - Free Report) and West Pharmaceutical (WST - Free Report) .
Globus Medical, currently sporting a Zacks Rank #1 (Strong Buy), reported a second-quarter 2026 adjusted earnings per share (EPS) of $1.34, which surpassed the Zacks Consensus Estimate by 19.6%. Revenues of $789.6 million beat the Zacks Consensus Estimate by 0.4%. You can see the complete list of today’s Zacks #1 Rank stocks here.
GMED has an estimated long-term earnings growth rate of 12.4%. The company’s earnings beat estimates in each of the trailing four quarters, the average surprise being 27.9%.
Veracyte, currently flaunting a Zacks Rank #1, reported a second-quarter 2026 adjusted EPS of 54 cents, which surpassed the Zacks Consensus Estimate by 25.6%. Revenues of $150.3 million beat the Zacks Consensus Estimate by 4.1%.
VCYT has an estimated earnings growth rate of 8.4% for 2026. The company’s earnings beat estimates in each of the trailing four quarters, the average surprise being 41.8%.
West Pharmaceutical, carrying a Zacks Rank #2 (Buy) at present, reported second-quarter 2026 adjusted EPS of $2.37, which beat the Zacks Consensus Estimate by 13.9%. Revenues of $872.3 million surpassed the Zacks Consensus Estimate by 4.2%.
WST has an estimated long-term earnings growth rate of 16%. WST’s earnings surpassed estimates in the trailing four quarters, the average surprise being 17.4%.
More than 10,000 members will get added support aimed at delaying or preventing dialysis and reducing hospitalizations
, /PRNewswire/ -- DaVita today announced a new value-based care agreement to deliver comprehensive, coordinated care to Humana Medicare Advantage members with chronic kidney disease (CKD) stages 3B–5.
Launched July 1, this partnership builds on the organizations' long-standing collaboration in end stage kidney disease and expands earlier into the disease journey, when intervention can have the greatest impact.
As the healthcare system aims for more impactful, value-based, preventive care, DaVita continues to lead in managing complex chronic conditions earlier. Through DaVita Integrated Kidney Care (DaVita IKC), patients receive coordinated, whole-person care that addresses the interconnected nature of cardiovascular, kidney and metabolic health — reducing fragmentation and avoidable hospital admissions.
"We are in a therapeutic revolution across kidney care where upstream interventions are helping to reshape patient outcomes," said Dr. Sonia Samagh, national medical director for DaVita IKC. "Through our partnership with Humana, we are deploying advanced care that treats the whole patient, preserves kidney function and serves as a central hub for managing comorbid conditions affecting kidney health."
This model builds upon the experience of DaVita's extensive network of 3,000 value-based nephrologist partners. Through continued collaboration and innovation alongside these specialists, DaVita aims to drive deeper patient engagement, impactful clinical outcomes and an unmatched care experience.
The partnership will serve more than 10,000 patients.
Intervening Earlier in Disease Progression
The program focuses on CKD patients beginning at a pivotal point when kidney decline often accelerates but remains underdiagnosed or undertreated. By engaging patients earlier and more consistently, the model is designed to stabilize kidney function and slow disease progression.
Closing Gaps in Care for Patients with Complex Conditions
Not every patient can avoid kidney failure, despite the best clinical interventions. When that happens, advanced and coordinated care helps patients prepare for the next stage of their health journey through early education, advance care planning and coordinated support. Patients receive guidance on treatment options, including home dialysis and kidney transplantation, and are supported by an interdisciplinary care team that helps address barriers to care such as nutrition, transportation and mental health needs, enabling a smoother transition and better patient experience.
"The kidneys are often an early indicator that something else is happening systemically within the body. To truly care for the kidneys, we must uncover and address those underlying health issues," said Dr. Samagh. "When we do this, we can work to preserve kidney function, support reduced hospitalizations and enhance patients' quality of life."
About DaVita Inc.
DaVita (NYSE: DVA) is a healthcare provider focused on transforming care delivery to improve quality of life for patients globally. As a comprehensive kidney care provider, DaVita has been a leader in clinical quality and innovation for more than 25 years. DaVita cares for patients at every stage and setting along their kidney health journey — from slowing the progression of kidney disease to helping support transplantation. This includes ensuring they are supported at home, in dialysis centers, in the hospital and in skilled nursing facilities. As of June 30, 2026, DaVita served approximately 298,500 patients at 3,266 outpatient dialysis centers, of which 2,671 centers were located in the United States and 595 centers were located in 14 other countries worldwide. DaVita has reduced hospitalizations, improved mortality, helped improve health access and worked collaboratively to propel the kidney care community to adopt a higher quality standard of care for all patients, everywhere. To learn more, visit DaVita.com/About.
Bank of America Corp DE lowered its position in shares of DaVita Inc. (NYSE:DVA – Free Report) by 33.4% in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 241,059 shares of the company’s stock after selling 120,642 shares during the period. Bank of America Corp DE owned 0.38% of DaVita worth $37,048,000 at the end of the most recent quarter.
Several other institutional investors and hedge funds have also made changes to their positions in DVA. Fifth Third Bancorp raised its position in DaVita by 831.4% during the 1st quarter. Fifth Third Bancorp now owns 38,411 shares of the company’s stock worth $5,903,000 after buying an additional 34,287 shares during the last quarter. SG Americas Securities LLC grew its holdings in shares of DaVita by 27.4% during the first quarter. SG Americas Securities LLC now owns 212,293 shares of the company’s stock worth $32,627,000 after buying an additional 45,609 shares in the last quarter. BI Asset Management Fondsmaeglerselskab A S increased its stake in DaVita by 63.5% in the fourth quarter. BI Asset Management Fondsmaeglerselskab A S now owns 86,000 shares of the company’s stock valued at $9,770,000 after purchasing an additional 33,394 shares during the last quarter. LSV Asset Management raised its stake in DaVita by 1.1% during the fourth quarter. LSV Asset Management now owns 936,768 shares of the company’s stock worth $106,426,000 after purchasing an additional 9,739 shares during the period. Finally, M&T Bank Corp grew its holdings in shares of DaVita by 694.7% during the 4th quarter. M&T Bank Corp now owns 22,307 shares of the company’s stock worth $2,534,000 after purchasing an additional 19,500 shares during the period. 90.12% of the stock is owned by hedge funds and other institutional investors.
Analysts Set New Price Targets A number of analysts have recently issued reports on DVA shares. Oppenheimer set a $220.00 price objective on shares of DaVita in a research note on Friday, August 7th. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and issued a $265.00 price target on shares of DaVita in a research note on Wednesday, August 5th. UBS Group raised their price objective on shares of DaVita from $235.00 to $270.00 and gave the company a “buy” rating in a research report on Friday, July 10th. Truist Financial reduced their price objective on DaVita from $250.00 to $215.00 and set a “hold” rating for the company in a research report on Friday, August 7th. Finally, Barclays boosted their target price on shares of DaVita from $218.00 to $224.00 and gave the company an “equal weight” rating in a research note on Wednesday, August 5th. Four investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and an average price target of $221.75.
View Our Latest Stock Analysis on DaVita
Insider Transactions at DaVita In other DaVita news, insider Kathleen Alyce Waters sold 15,405 shares of the stock in a transaction on Monday, June 15th. The stock was sold at an average price of $208.40, for a total transaction of $3,210,402.00. Following the sale, the insider owned 109,194 shares in the company, valued at $22,756,029.60. This represents a 12.36% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 1.90% of the stock is owned by insiders.
DaVita Stock Performance Shares of DVA stock opened at $180.14 on Friday. The company has a market cap of $11.49 billion, a P/E ratio of 14.74, a PEG ratio of 0.60 and a beta of 0.88. The stock has a 50 day simple moving average of $217.34 and a two-hundred day simple moving average of $179.11. DaVita Inc. has a fifty-two week low of $101.00 and a fifty-two week high of $247.49.
DaVita (NYSE:DVA – Get Free Report) last posted its earnings results on Tuesday, August 4th. The company reported $4.02 earnings per share for the quarter, beating analysts’ consensus estimates of $3.88 by $0.14. The company had revenue of $3.55 billion for the quarter, compared to analyst estimates of $3.50 billion. DaVita had a negative return on equity of 217.63% and a net margin of 6.05%.The company’s revenue for the quarter was up 5.2% on a year-over-year basis. During the same quarter last year, the company earned $2.95 earnings per share. DaVita has set its FY 2026 guidance at 14.100-15.200 EPS. On average, research analysts predict that DaVita Inc. will post 14.57 earnings per share for the current year.
DaVita Company Profile (Free Report)
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.
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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company to watch right now is DaVita (DVA - Free Report) . DVA is currently sporting a Zacks Rank #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 10.65, while its industry has an average P/E of 19.04. Over the past year, DVA's Forward P/E has been as high as 15.44 and as low as 10.48, with a median of 13.17.
Investors will also notice that DVA has a PEG ratio of 0.83. 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. DVA's PEG compares to its industry's average PEG of 1.47. Within the past year, DVA's PEG has been as high as 1.09 and as low as 0.69, with a median of 0.87.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. DVA has a P/S ratio of 0.86. This compares to its industry's average P/S of 1.46.
These are just a handful of the figures considered in DaVita's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that DVA is an impressive value stock right now.
Key Takeaways DaVita posted higher quarterly earnings and revenues, with both results topping the consensus estimate.DVA's gross and adjusted operating margins narrowed despite growth in gross and operating profit.DaVita maintained its full-year earnings outlook and sees treatment volume near the prior range's top end. DaVita Inc. (DVA - Free Report) delivered adjusted earnings per share (EPS) from continuing operations of $4.02 in the second quarter of 2026, up 36.3% year over year. The figure surpassed the Zacks Consensus Estimate by 0.3%.
GAAP EPS from continuing operations for the quarter was also $4.02, reflecting an uptick of 55.8% year over year.
DaVita’s Revenues in DetailRevenues of $3.55 billion in the second quarter increased 5.2% year over year. The figure topped the Zacks Consensus Estimate by 0.6%.
Revenue per treatment (RPT) in the second quarter of 2026 was $415.9 million, up 2.8% year over year, but down 0.4% sequentially. Per management, the sequential decline reflected a lower commercial mix from declining Affordable Care Act enrollment and lower sequential revenue contribution from phosphate binders.
Shares of this company lost nearly 7.1% in today’s pre-market trading.
DVA’s Segment DetailsDaVita generates revenues via two sources — Dialysis patient service revenues and Other revenues.
The dialysis patient service revenues were $3.37 billion, up 4.9% year over year.
Other revenues were $187.7 million, up 8.7% from the year-ago quarter’s figure.
Per management, the total U.S. dialysis treatments for the second quarter were 7,226,600 or 92,649 per day, on average. This represents a per-day increase of 1.09% on a sequential basis. Normalized non-acquired treatment increased 0.3% year over year in the second quarter of 2026.
As of June 30, 2026, DaVita provided dialysis services to around 298,500 patients at 3,266 outpatient dialysis centers, of which 2,671 were U.S. centers while 595 were located across 14 other countries.
As of June 30, 2026, DVA had approximately 64,900 patients in risk-based integrated care arrangements in its Integrated Kidney Care business, representing $5.8 billion in annualized medical spend. The company also had an additional 5,700 patients in other integrated care arrangements.
DaVita’s Margin DetailsIn the quarter under review, DaVita’s gross profit increased 3.9% year over year to $1.16 billion. However, the gross margin contracted 38 basis points (bps) to 32.7%.
General & administrative expenses climbed 2.6% year over year to $423.5 million.
Adjusted operating profit totaled $738.6 million, reflecting a 4.7% increase from the prior-year quarter’s level. Adjusted operating margin in the second quarter contracted 8 bps to 20.8%.
DVA’s Financial PositionDaVita exited second-quarter 2026 with cash and cash equivalents and short-term investments of $688.9 million compared with $666.5 million at the first quarter of 2026-end. Total debt (including the current portion) at the end of second-quarter 2026 was $10.78 billion compared with $10.63 billion at the end of the first quarter of 2026.
Cumulative net cash provided by operating activities at the end of second-quarter 2026 was $810.9 million compared with $504.2 million a year ago.
During the three months ended June 30, 2026, DVA repurchased 2.2 million shares for $348 million. Subsequent to June 30, through Aug. 4, 2026, the company has repurchased 0.2 million shares of its common stock for $37 million.
DaVita’s GuidanceDaVita has revised its outlook for 2026.
For 2026, DVA continues to expect RPT to reflect growth of 1%-2%, while treatment volume is expected to be near the top end of the company’s previous guidance range of 25 to 50 bps.
Adjusted EPS from continuing operations for the full year is continued to be expected in the range of $14.10-$15.20. The Zacks Consensus Estimate is currently pegged at $15.07.
Our Take on DVADaVita ended the second quarter of 2026 with better-than-expected results. The uptick in the company’s top and bottom lines and RPT was encouraging. Solid revenues from both sources and a per-day increase in total U.S. dialysis treatments on a sequential basis were promising. An uptick in normalized non-acquired treatment was also recorded.
On the earnings call, management highlighted plans to deploy expanded hemodialysis across its network after securing an adequate supply of newly approved dialyzers. The technology is compatible with DaVita’s existing machines, enabling broader patient access without significant capital investment. Management expects it to support improved clinical outcomes over time, with mortality-related economic benefits likely beginning in 2028. This initiative aligns with DVA’s broader focus on innovative dialysis technologies and raises our optimism about the stock.
However, the sequential decline in RPT for the second quarter was disappointing. The contraction of both margins does not bode well for the stock.
DaVita’s Zacks Rank and Key PicksDVA currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are BrightSpring Health Services, Inc. (BTSG - Free Report) , Quest Diagnostics Incorporated (DGX - Free Report) and Avantor, Inc. (AVTR - Free Report) .
BrightSpring, sporting a Zacks Rank of 1 (Strong Buy), reported second-quarter 2026 adjusted EPS of 45 cents, beating the Zacks Consensus Estimate by 21.6%. Revenues of $3.87 billion outpaced the consensus mark by 6.1%. You can see the complete list of today’s Zacks #1 Rank stocks here.
BrightSpring has a long-term estimated growth rate of 46%. BTSG’s earnings surpassed estimates in three of the trailing four quarters and missed once, the average surprise being 16.1%.
Quest Diagnostics reported second-quarter 2026 adjusted EPS of $3.12, beating the Zacks Consensus Estimate by 11%. Revenues of $3.04 billion surpassed the Zacks Consensus Estimate by 2.2%. It currently carries a Zacks Rank #2 (Buy).
Quest Diagnostics has a long-term estimated growth rate of 9.7%. DGX’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 5.8%.
Avantor reported second-quarter 2026 adjusted EPS of 21 cents, beating the Zacks Consensus Estimate by 10.5%. Revenues of $1.69 billion surpassed the Zacks Consensus Estimate by 4.2%. It currently carries a Zacks Rank #2.
Avantor has a long-term estimated growth rate of 1.6%. AVTR’s earnings surpassed estimates in three of the trailing four quarters and missed once, the average surprise being 4.3%.
Key Takeaways DaVita reaffirmed 2026 guidance as lower mortality strengthened U.S. dialysis treatment growth.DaVita expects 2026 treatment growth near the top of its prior 25 to 50-basis-point range.DaVita plans broad deployment of newly approved NIPRO dialyzers, but no material financial effect before 2028. DaVita Inc. (DVA - Free Report) used its second-quarter 2026 earnings call to emphasize improving mortality, stronger treatment volumes and expanded middle molecule clearance. Management kept its outlook intact while acknowledging commercial-mix and reimbursement pressure.
Reported earnings of $4.02 per share topped the Zacks Consensus Estimate of $4.01. Revenues of $3.55 billion exceeded the $3.53 billion estimate.
DVA Reaffirms Its Full-Year OutlookCEO Javier Rodriguez said that management is reconfirming 2026 guidance as confidence improves in treatment volumes and exchange-plan effectuation rates. DaVita still expects adjusted operating income of $2.15-$2.25 billion.
CFO Joel Ackerman said that adjusted earnings guidance remains $14.10-$15.20 per share, with a midpoint of $14.65. Free cash flow guidance remains $1-$1.25 billion.
CFO Ackerman added that third-quarter adjusted operating income should be $50 million to $100 million below the fourth quarter, mainly because of integrated kidney care timing.
DaVita Sees Volume Momentum StrengtheningCFO Ackerman said U.S. dialysis treatments increased 56 basis points year over year, slightly above expectations because mortality was lower than anticipated. Higher missed treatments and fewer additions from closed Fresenius clinics partly offset the benefit.
CFO Ackerman now expects 2026 total treatment growth near the top of the prior 25-50-basis-point range. Normalized growth would equal roughly 50-75 basis points.
CEO Rodriguez tied the improvement to clinical outcomes that extend patients’ lives. Admissions were broadly in line with expectations, making mortality the main source of upside versus volume assumptions.
DVA Faces Pressure on Revenue per TreatmentCFO Ackerman said that revenue per treatment declined about $2 sequentially. The main factors were favorable first-quarter timing, lower phosphate-binder revenue and weaker commercial mix after ACA subsidies expired.
Although year-to-date revenue per treatment rose 3.6% from the first half of 2025, CFO Ackerman maintained the full-year growth forecast of 1-2%. The midpoint implies a slightly negative second-half comparison.
CFO Ackerman said that patient care cost per treatment fell about $3 sequentially as higher volume improved labor and fixed-cost absorption. U.S. dialysis general and administrative expense rose $11 million from the first quarter.
DaVita Expands Middle Molecule AccessCEO Rodriguez highlighted the MOTheR trial, which found expanded hemodialysis using a medium cutoff dialyzer non-inferior to hemodiafiltration on a combined endpoint of mortality and major cardiovascular events.
CEO Rodriguez said that expanded hemodialysis can run on existing machines, allowing faster deployment without significant capital investment. DaVita secured supply of newly approved NIPRO dialyzers and plans broad deployment in coming quarters.
In response to a UBS analyst, CFO Ackerman clarified that the financial impact should remain insignificant until a mortality benefit emerges. He said DaVita does not expect that effect before 2028.
DVA Addresses Cost Leverage QuestionsA Barclays analyst asked why U.S. dialysis operating income showed limited year-over-year leverage despite treatment growth and lapping cybersecurity costs.
CFO Ackerman cited elevated cost-per-treatment growth and roughly 10% general and administrative expense growth as the main offsets. He said enterprise operating income still increased about 5%.
A Deutsche Bank analyst asked about center utilization. CFO Ackerman said that utilization remains in the high-50% range, versus about 65% at its pre-pandemic peak, while incremental profitability varies by payer mix and fixed-cost timing.
DaVita Maintains Capital Allocation DisciplineCFO Ackerman said that DaVita repurchased 2.2 million shares during the quarter and another 183,000 shares after quarter-end. CEO Rodriguez told a TD Cowen analyst that the higher stock price had not changed the buyback approach.
CFO Ackerman said that quarter-end leverage was 3.37 times consolidated EBITDA, within DaVita’s target range of 3 to 3.5 times.
CEO Rodriguez said that domestic acquisition opportunities remain limited to small clinics, with U.S. growth expected to rely more on new-center development.
DVA Keeps Clinical Strategy at the CenterCEO Rodriguez closed with a consistent message: clinical execution, mortality improvement and middle molecule clearance are central to DaVita’s plan for sustained volume growth.
Management’s tone was constructive but measured, balancing stronger clinical trends against commercial-mix pressure, reimbursement uncertainty and elevated cost growth.
What DaVita’s Zacks Signals IndicateDVA carries a Zacks Rank #3 (Hold) at present. It has a Value Score of A, a Growth Score of A, a Momentum Score of B and a VGM Score of A, indicating favorable characteristics across the three investment styles. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Style Score complements the Zacks Rank, with A and B representing stronger grades. A Hold rank can pair with favorable Style Scores, but the Zacks Rank may change as analysts revise earnings estimates after the results.
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Silné firemní výsledky hospodaření posouvají akcie na nová historická maxima. Trhy zároveň rostlou poté, co prezident Donald Trump uvedl, že dohoda týkající se Hormuzského průlivu by mohla být uzavřena již dnes. Pokračuje výsledková sezóna, přičemž dosud zveřejněné výsledky ukazují, že téměř 90 % společností překonalo očekávání analytiků.
Z výsledkových reportů jsme připravily výsledky AMD (-4,9 %), SpaceX (-9,7 %), Eli Lilly (+6,3 %), Shopify (+20 %), NiCE (-6,9 %) a Uber (-5,7 %). Podrobnosti naleznete v jednotlivých zprávách. Výsledky společnosti Walt Disney (+2,7 %) v samostatné zprávě připravujeme.
Akcie společnosti Booking Holdings (+5,9 %) posilují poté, co internetová cestovní agentura oznámila za druhý kvartálobjem hrubých rezervací, který překonal průměrný odhad analytiků. Společnost uvedla, že příznivé globální trendy v cestování přetrvaly i do třetího čtvrtletí navzdory pokračujícímu konfliktu na Blízkém východě.
Naopak výrazně oslabují akcie společnosti Insulet (-20 %) poté, co výrobce diabetologických zdravotnických pomůcek snížil svůj celoroční výhled růstu tržeb při konstantních měnových kurzech. Společnost totiž nově očekává, že tržby při konstantních měnových kurzech vzrostou o 20 až 22 %, zatímco dříve předpokládala růst o 21 až 23 %.
Citelné ztrácejí také akcie společnosti CDW (-13 %). Tato IT společnost oznámila hrubou marži za druhý kvartál, která zaostala za očekáváním analytiků. Firma zároveň uvedla, že finanční ředitel Albert Miralles plánuje v roce 2027 odejít do důchodu, přičemž ve své současné funkci zůstane až do jmenování svého nástupce. Hrubá marže meziročně poklesla o 0,7 p. b. na 20,1 %, trh projektoval růst na 21 %.
Nedaří se ani akciím provozovatele center pro dialýzu ledvin DaVita (-15 %). Společnost za 2Q zveřejnila slabší než očekávané tržby z dialyzační péče v USA. Firma zároveň potvrdila svůj celoroční výhled, avšak jeho střední hodnota zůstala pod očekáváním Wall Street. DaVita v celém roce nadále očekává očištěný zisk na akcii z pokračujících činností v rozmezí 14,10 až 15,20 USD, přičemž konsenzus analytiků činil 14,88 USD a očištěný provozní zisk v rozmezí 2,15 až 2,25 mld. USD, zatímco analytici očekávali 2,23 mld. USD.
Index S&P 500 +0,64 % na 7785,8 b. Nejsilnější sektory S&P Změna Nejslabší sektory S&P Změna Základní materiály +1,9 % Energie -0,7 % Zdravotní péče +1,4 % Utility -0,6 % Informační technologie +0,8 % Reality -0,5 % Nejsilnější akcie S&P Změna Nejslabší akcie S&P Změna Wynn Resorts (WYNN) +11 % Insulet Corp (PODD) -20 % Charles River Laboratories International (CRL) +11 % DaVita (DVA) -15 % International Flavors & Fragrances (IFF) +7,0 % CDW Corp/DE (CDW) -13 % Newmont Corp (NEM) +6,4 % SBA Communications Corp (SBAC) -6,7 % Eli Lilly (LLY) +6,3 % CVS Health Corp (CVS) -5,4 % Zdroj: Bloomberg
DaVita NYSE: DVA reported second-quarter results that management said were broadly in line with expectations, supported by accelerating treatment-volume growth and lower mortality among patients. The kidney-care company reaffirmed its full-year 2026 guidance, while outlining plans to expand access to newer dialysis technology designed to improve clearance of so-called middle molecules.
Adjusted Operating Income: $579 million in Q2 2026.Adjusted Earnings Per Share: $4.02 in Q2 2026.Free Cash Flow: $256 million in Q2 2026.U.S. Dialysis Treatment
DaVita HealthCare (DVA - Free Report) came out with quarterly earnings of $4.02 per share, beating the Zacks Consensus Estimate of $4.01 per share. This compares to earnings of $2.95 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +0.25%. A quarter ago, it was expected that this kidney dialysis provider would post earnings of $2.41 per share when it actually produced earnings of $2.87, delivering a surprise of +19.09%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
DaVita HealthCare, which belongs to the Zacks Medical - Outpatient and Home Healthcare industry, posted revenues of $3.55 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.61%. This compares to year-ago revenues of $3.38 billion. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
DaVita HealthCare shares have added about 105.7% since the beginning of the year versus the S&P 500's gain of 11%.
What's Next for DaVita HealthCare?While DaVita HealthCare has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for DaVita HealthCare was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $4.33 on $3.56 billion in revenues for the coming quarter and $15.07 on $14.3 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Outpatient and Home Healthcare is currently in the top 42% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
LifeStance Health Group (LFST - Free Report) , another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 6.
This outpatient mental health services provider is expected to post quarterly earnings of $0.03 per share in its upcoming report, which represents a year-over-year change of +400%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
LifeStance Health Group's revenues are expected to be $414.3 million, up 20% from the year-ago quarter.
DaVita said on Tuesday revenue per treatment was lower in the second quarter, blaming declining enrollments for dialysis treatments as patients dropped out of Obamacare plans following the end of pandemic-era subsidies.
On August 4, 2026, DaVita Inc (DVA) released its 8-K filing, revealing financial and operational results for the quarter ended June 30, 2026. As one of the larg
, /PRNewswire/ -- DaVita Inc. (NYSE: DVA) announced financial and operating results for the quarter ended June 30, 2026.
"Thanks to the outstanding efforts of our teammates, we had another positive quarter for both patient outcomes and financial results," said Javier Rodriguez, CEO of DaVita Inc. "As we look to the rest of the year, we maintain our strategic focus on exciting new innovations in kidney dialysis to enhance the lives of our patients."
Financial and operating highlights for the quarter ended June 30, 2026:
Consolidated revenues were $3.554 billion. Operating income was $579 million. Diluted earnings per share was $4.02. Operating cash flow was $490 million and free cash flow was $256 million. Incurred an incremental Term Loan B-2 tranche in the aggregate principal amount of $500 million and used a portion of the proceeds to repay a portion of the balance then outstanding on our revolving line of credit. Repurchased 2.2 million shares of the Company's common stock at an average price paid of $154.95 per share.
Three months ended
Six months ended June 30,
June 30, 2026
March 31, 2026
2026
2025
Net income attributable to DaVita Inc.:
(dollars in millions, except per share data)
Net income
$ 265
$ 198
$ 463
$ 362
Diluted per share
$ 4.02
$ 2.87
$ 6.86
$ 4.57
Adjusted net income(1)
$ 265
$ 198
$ 463
$ 391
Adjusted diluted per share(1)
$ 4.02
$ 2.87
$ 6.86
$ 4.93
___________________
(1)
For definitions of non-GAAP financial measures, see the note titled "Note on Non-GAAP Financial Measures" and related reconciliations beginning on page 14.
Three months ended
Six months ended June 30,
June 30, 2026
March 31, 2026
2026
2025
Amount
Margin
Amount
Margin
Amount
Margin
Amount
Margin
Operating income
(dollars in millions)
Operating income
$ 579
16.3 %
$ 482
14.1 %
$ 1,061
15.2 %
$ 977
14.8 %
Adjusted operating income(1)
$ 579
16.3 %
$ 482
14.1 %
$ 1,061
15.2 %
$ 990
15.0 %
___________________
(1)
For definitions of non-GAAP financial measures, see the note titled "Note on Non-GAAP Financial Measures" and related reconciliations beginning on page 14.
U.S. dialysis metrics:
Volume: Total U.S. dialysis treatments for the second quarter of 2026 were 7,226,600, or an average of 92,649 treatments per day, representing a per day increase of 1.09% compared to the first quarter of 2026. Normalized non-acquired treatment growth in the second quarter of 2026 compared to the second quarter of 2025 was 0.3%.
Three months ended
Quarter
change
Six months ended
Year to date
change
June 30,
2026
March 31,
2026
June 30,
2026
June 30,
2025
(dollars in millions, except per treatment data)
Revenue per treatment
$ 415.87
$ 417.59
$ (1.72)
$ 416.71
$ 402.38
$ 14.33
Patient care costs per treatment
$ 277.40
$ 280.11
$ (2.71)
$ 278.74
$ 270.05
$ 8.69
General and administrative
$ 331
$ 320
$ 11
$ 651
$ 595
$ 56
Primary drivers of the changes in the table above were as follows:
Revenue: The quarter change was primarily driven by changes in payor mix and other normal fluctuations partially offset by seasonal impact of co-insurance and deductibles and an increase in average rates. The year to date change was driven by typical annual increases, including Medicare base rate and other normal fluctuations, partially offset by changes in payor mix.
Patient care costs: The quarter change was primarily due to decreases in payroll taxes and pharmaceutical costs, partially offset by increased health benefits expenses. Additionally, our fixed direct operating expenses favorably impacted patient care costs per treatment due to increased treatments in the second quarter. The year to date change was primarily driven by increased compensation expenses, insurance costs and health benefits expenses.
General and administrative: The quarter change was primarily due to increased professional fees. The year to date change was primarily driven by increases in IT-related costs and compensation expenses partially offset by costs related to the cybersecurity incident experienced by the Company in 2025.
Certain items impacting the quarter:
Debt transaction. In June 2026, we entered into the Ninth Amendment to our senior secured credit agreement. The Ninth Amendment extends an incremental Term Loan B-2 tranche in the aggregate principal amount of $500 million. A portion of the net proceeds from this transaction was used to repay a portion of the balance outstanding on our revolving line of credit and related accrued interest and fees. The remaining borrowings added cash to the balance sheet for general corporate purposes.
Share repurchases. During the three months ended June 30, 2026, we repurchased 2.2 million shares for $348 million, at an average price paid of $154.95 per share.
Subsequent to June 30, 2026 through August 4, 2026, the Company has repurchased 0.2 million shares of our common stock for $37 million at an average price paid of $199.55 per share.
Financial and operating metrics:
Three months ended
June 30,
Twelve months ended
June 30,
2026
2025
2026
2025
Cash flow:
(dollars in millions)
Operating cash flow
$ 490
$ 324
$ 2,193
$ 1,862
Free cash flow(1)
$ 256
$ 157
$ 1,308
$ 947
___________________
(1)
For definitions of non-GAAP financial measures, see the note titled "Note on Non-GAAP Financial Measures" and related reconciliations beginning on page 14.
Three months ended
June 30, 2026
Six months ended
June 30, 2026
Effective income tax rate on:
Income
21.1 %
20.4 %
Income attributable to DaVita Inc.(1)
25.6 %
25.4 %
___________________
(1)
For definitions of non-GAAP financial measures, see the note titled "Note on Non-GAAP Financial Measures" and related reconciliations beginning on page 14.
Center activity: As of June 30, 2026, we provided dialysis services to a total of approximately 298,500 patients at 3,266 outpatient dialysis centers, of which 2,671 centers were located in the United States and 595 centers were located in 14 countries outside of the United States.
Integrated kidney care (IKC): As of June 30, 2026, we had approximately 64,900 patients in risk-based integrated care arrangements representing approximately $5.8 billion in annualized medical spend. We also had an additional 5,700 patients in other integrated care arrangements; we do not include the medical spend for these patients in this annualized medical spend estimate. For an additional description of these metrics, see footnote 5 in the "Supplemental Financial Data" table below.
Outlook:
The following forward-looking measures and the underlying assumptions involve significant known and unknown risks and uncertainties, including those described below, and actual results may vary materially from these forward-looking measures. We do not provide guidance for operating income or diluted net income per share attributable to DaVita Inc. or operating cash flow on a basis consistent with United States generally accepted accounting principles (GAAP) nor a reconciliation of forward-looking non-GAAP financial measures to the most directly comparable GAAP financial measures on a forward-looking basis because we are unable to predict certain items contained in the GAAP measures without unreasonable efforts. These current non-GAAP financial measures do not include certain items, including foreign currency fluctuations, which may be significant. The guidance for our effective income tax rate on adjusted income attributable to DaVita Inc. also excludes the amount of third-party owners' income and related taxes attributable to non-tax paying entities.
Current 2026 guidance
Low
High
(dollars in millions, except per share data)
Adjusted operating income
$2,150
$2,250
Adjusted diluted net income per share attributable to DaVita Inc.
$14.10
$15.20
Free cash flow
$1,000
$1,250
The following table outlines normalized treatment days by quarter for 2025 and 2026. Normalized treatment days are adjusted for the mix of days of the week for each quarter and serve as a means to more readily compare calendar effects on each quarter's treatment volume.
Normalized Treatment Days
2026
2025
Q1
76.5
76.9
Q2
78.0
78.0
Q3
79.2
78.8
Q4
78.8
79.5
Total
312.4
313.2
Certain columns, rows or percentages may not sum or recalculate due to the presentation of rounded numbers.
We will be holding a conference call to discuss our results for the second quarter ended June 30, 2026, on August 4, 2026, at 5:00 p.m. Eastern Time. To join the conference call, please dial (877) 918-6630 from the U.S. or (517) 308-9042 from outside the U.S., and provide the operator the password "Earnings." This call is being webcast and can be accessed at the DaVita Investor Relations website investors.davita.com. A replay of the conference call will also be available at investors.davita.com.
Forward looking statements
DaVita Inc. and its representatives may from time to time make written and oral forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (PSLRA), including statements in this release, filings with the Securities and Exchange Commission (SEC), reports to stockholders and in meetings with investors and analysts. All statements in this release, during the related presentation or other meetings, other than statements of historical fact, are forward-looking statements and as such are intended to be covered by the safe harbor for "forward-looking statements" provided by the PSLRA. These forward-looking statements could include, among other things, statements about our balance sheet and liquidity, our expenses, revenues, billings and collections, patient census, the impact of the cybersecurity incident experienced by the Company in 2025 (cyber incident), the impact of federal government policy changes or shutdowns on our business, including with respect to federal funding and reimbursement rates of Medicare, Medicare Advantage (MA), Medicaid and other government programs, availability or cost of supplies, including without limitation the impact of evolving trade policies and tariffs and any reduction in clinical and other supplies due to any disruptions experienced by third party vendors, including with respect to our ability to provide home dialysis services, treatment volumes, mix expectation, such as the percentage or number of patients under commercial insurance, including potential impacts to such mix as a result of U.S. administration policies, current macroeconomic, marketplace and labor market conditions, and overall impact on our patients and teammates, as well as other statements regarding our outlook, future operations, financial condition and prospects, capital allocation plans, expenses, cost saving initiatives, other strategic initiatives, use of contract labor, government and commercial payment rates, expectations related to value-based care (VBC), integrated kidney care (IKC), MA plan enrollment and our international operations, expectations regarding increased competition and marketplace changes, including those related to new or potential entrants in the dialysis and pre-dialysis marketplace and the potential impact of innovative technologies, drugs, or other treatments on the dialysis industry, and expectations regarding our share repurchase program. All statements in this release, other than statements of historical fact, are forward-looking statements. Without limiting the foregoing, statements including the words "expect," "intend," "will," "could," "plan," "anticipate," "believe," "forecast," "guidance," "outlook," "goals," and similar expressions are intended to identify forward-looking statements. These forward-looking statements are based on DaVita's current expectations and are based solely on information available as of the date of this release. DaVita undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of changed circumstances, new information, future events or otherwise, except as may be required by law. Actual future events and results could differ materially from any forward-looking statements due to numerous factors that involve substantial known and unknown risks and uncertainties. These risks and uncertainties include, among other things:
external conditions, including those related to general economic, political and global health conditions, including without limitation, the impact of global events and political or governmental volatility, including in the Middle East; the impact of the domestic political environment and related developments on the current healthcare marketplace, our patients and on our business; the impact of infectious diseases or other adverse conditions on our financial condition, the chronic kidney disease population and our patient population; supply chain challenges and disruptions, including without limitation, with respect to certain key services, critical clinical supplies and equipment we obtain from third parties, and including any impacts on our supply chain and cost of supplies as a result of global events, natural disasters or evolving trade policies, including tariffs; the impact on our patients and industry of continued increased competition from dialysis providers and others, including new or potential entrants in the dialysis and pre-dialysis marketplace; the impact of new or innovative technologies, drugs, or other treatments, including our ability to successfully implement new technologies, treatments or therapies in our business such as those related to middle molecule toxin clearance; elevated teammate turnover or labor costs; and our ability to respond to challenging U.S. and global economic and marketplace conditions, including, among other things, our ability to successfully identify cost saving opportunities; the concentration of profits generated by higher-paying commercial payor plans for which there is continued downward pressure on average realized payment rates; our ability to negotiate and maintain contracts with these payors on competitive terms or at all; a reduction in the number or percentage of our patients under commercial plans, including, without limitation, as a result of healthcare, immigration or other policies implemented by the U.S. administration, continuing legislative efforts to restrict or prohibit the use and/or availability of charitable premium assistance, as a result of payors implementing restrictive plan designs or resulting from negotiations with large commercial payors that we have in the past, and currently are, conducting on a concurrent basis; risks arising from laws, regulations or requirements applicable to us or changes thereto, including, without limitation, OBBBA and those related to trade policy, healthcare, privacy, antitrust matters, and acquisition, merger, joint venture or similar transactions and/or labor matters, and potential impacts of changes in interpretation or enforcement thereof or related litigation impacting, among other things, coverage or reimbursement rates for our services or the number of patients enrolled in or that select higher-paying commercial plans, and the risk that we make incorrect assumptions about how our patients will respond to any such developments; our ability to successfully implement our strategies with respect to IKC and VBC initiatives that may be impacted by, among other things, changes to the Comprehensive Kidney Care Contracting model and home based dialysis in the desired time frame and in a complex, dynamic and highly regulated environment; a reduction in government payment rates under the Medicare End Stage Renal Disease program, state Medicaid or other government-based programs and the impact of the MA benchmark structure and adjustment methodologies; our reliance on significant suppliers, service providers and other third party vendors to provide key support to our business operations and enable our provision of services to patients, including, among others, suppliers of certain pharmaceuticals, administrative or other services or critical clinical products; and risks resulting from a closure, reduction, disruption or transition in the services or products provided to us by such suppliers, service providers and third party vendors, which may, among other things, increase our costs or expenses; our ability to successfully maintain, operate or upgrade our information systems or those of third-party service providers upon which we rely and our ability to successfully adopt or adapt to new technologies, treatments or therapies, including technologies that utilize artificial intelligence; legal and compliance risks, such as compliance with complex, and at times, evolving government regulations and requirements, and with additional laws that may apply to our operations as we expand geographically or enter into new lines of business; noncompliance by us or our business associates with any privacy or security laws or any security breach by us or a third party, such as the cyber incident, including, among other things, any such non-compliance or breach involving the misappropriation, loss or other unauthorized use or disclosure of confidential information; our ability to attract, retain and motivate teammates, including key leadership personnel, our ability to manage potential disruptions to our business and operations, including potential work stoppages, and our ability to manage operating cost increases or productivity decreases that may be related to political unrest, legislative or other changes, union organizing activities, or volatility and uncertainty in the current challenging and highly competitive labor market that has experienced an ongoing nationwide shortage of skilled clinical personnel, among other things; changes in practice patterns, pricing, or reimbursement and payment policies or processes related to pharmaceuticals, medical equipment or supplies, including with respect to oral phosphate binders, among other things; our ability to develop and maintain relationships with physicians and hospitals, changing affiliation models for physicians, and the emergence of new models of care or other initiatives that, among other things, may erode our patient base and impact reimbursement rates; our ability to complete and successfully integrate and operate acquisitions, mergers, dispositions, joint ventures or other strategic transactions on terms favorable to us or at all; and our ability to continue to successfully expand our operations and services in markets outside the United States, or to businesses or products outside of dialysis services; the variability of our cash flows, including, without limitation, any extended billing or collections cycles that may be due to, among other things, defects or operational issues in our billing systems such as those experienced during the cyber incident, or defects or operational issues in the billing systems or services of third parties on which we rely; the risk that we may not be able to generate or access sufficient cash in the future to service our indebtedness or to fund our other liquidity needs; the effects on us or others of natural or other disasters, public health crises or severe adverse weather events such as hurricanes, earthquakes, fires or flooding; factors that may impact our ability to repurchase stock under our share repurchase program and the timing of any such stock repurchases, as well as any use by us of a considerable amount of available funds to repurchase stock; our goals and disclosures related to sustainability matters, including, among other things, evolving regulatory requirements affecting environmental, social and governance standards, measurements and reporting requirements; and the other risk factors, trends and uncertainties set forth in our Annual Report on Form 10-K for the year ended December 31, 2025 and Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, and the risks and uncertainties discussed in any subsequent reports that we file or furnish with the SEC from time to time. The financial information presented in this release is unaudited and is subject to change as a result of subsequent events or adjustments, if any, arising prior to the filing of the Company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2026.
DAVITA INC.
CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
(dollars and shares in thousands, except per share data)
Three months ended June 30,
Six months ended June 30,
2026
2025
2026
2025
Dialysis patient service revenues
$ 3,366,377
$ 3,206,871
$ 6,639,174
$ 6,309,864
Other revenues
187,707
172,655
330,458
293,191
Total revenues
3,554,084
3,379,526
6,969,632
6,603,055
Operating expenses:
Patient care costs
2,392,001
2,261,540
4,734,258
4,501,200
General and administrative
423,458
412,805
845,372
786,895
Depreciation and amortization
167,808
174,704
345,637
351,155
Equity investment income, net
(8,184)
(7,364)
(16,528)
(12,973)
Total operating expenses
2,975,083
2,841,685
5,908,739
5,626,277
Operating income
579,001
537,841
1,060,893
976,778
Debt expense
(150,256)
(146,062)
(295,387)
(281,117)
Debt extinguishment and modification costs
(2,035)
—
(2,035)
—
Other income (loss), net
8,300
(22,851)
12,773
(40,400)
Income before income taxes
435,010
368,928
776,244
655,261
Income tax expense
91,787
93,708
157,986
147,825
Net income
343,223
275,220
618,258
507,436
Less: Net income attributable to noncontrolling interests
(77,826)
(75,883)
(155,331)
(145,182)
Net income attributable to DaVita Inc
$ 265,397
$ 199,337
$ 462,927
$ 362,254
Earnings per share attributable to DaVita Inc.:
Basic net income
$ 4.10
$ 2.62
$ 7.01
$ 4.67
Diluted net income
$ 4.02
$ 2.58
$ 6.86
$ 4.57
Weighted average shares for earnings per share:
Basic shares
64,781
75,943
66,078
77,646
Diluted shares
66,092
77,362
67,476
79,309
DAVITA INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(unaudited)
(dollars in thousands)
Three months ended June 30,
Six months ended June 30,
2026
2025
2026
2025
Net income
$ 343,223
$ 275,220
$ 618,258
$ 507,436
Other comprehensive income (loss), net of tax:
Unrealized gains (losses) on interest rate cap agreements:
Unrealized gains (losses)
2,799
(6,405)
7,953
(14,940)
Reclassifications of net realized losses into net income
2,877
1,534
5,754
3,041
Unrealized gains on foreign currency translation
22,732
94,001
50,525
184,857
Other comprehensive income
28,408
89,130
64,232
172,958
Total comprehensive income
371,631
364,350
682,490
680,394
Less: Comprehensive income attributable to noncontrolling interests
(77,826)
(75,883)
(155,331)
(145,182)
Comprehensive income attributable to DaVita Inc.
$ 293,805
$ 288,467
$ 527,159
$ 535,212
DAVITA INC.
CONSOLIDATED BALANCE SHEETS
(unaudited)
(dollars and shares in thousands, except per share data)
June 30, 2026
December 31, 2025
ASSETS
Cash and cash equivalents
$ 668,963
$ 676,438
Restricted cash and equivalents
82,895
81,309
Short-term investments
19,914
24,303
Accounts receivable
2,467,056
2,414,690
Inventories
151,535
160,627
Contract assets and other receivables
565,566
494,414
Prepaid and other current assets
149,113
156,285
Income tax receivable
84,597
49,937
Total current assets
4,189,639
4,058,003
Property and equipment, net of accumulated depreciation of $6,867,296 and $6,602,134, respectively
2,749,308
2,812,966
Operating lease right-of-use assets
2,430,055
2,397,179
Intangible assets, net of accumulated amortization of $38,030 and $37,751, respectively
228,817
222,125
Equity method and other investments
183,801
157,249
Long-term investments
38,365
40,966
Other long-term assets
298,538
246,520
Goodwill
7,590,966
7,545,095
$ 17,709,489
$ 17,480,103
LIABILITIES AND EQUITY
Accounts payable
$ 715,872
$ 696,148
Other liabilities
826,995
893,024
Accrued compensation and benefits
694,766
793,478
Current portion of operating lease liabilities
439,488
425,484
Current portion of long-term debt
117,177
109,201
Income tax payable
24,621
24,359
Due to related party
36,513
199,940
Total current liabilities
2,855,432
3,141,634
Long-term operating lease liabilities
2,185,973
2,175,658
Long-term debt
10,663,836
10,163,988
Other long-term liabilities
99,091
83,516
Deferred income taxes
825,719
756,869
Total liabilities
16,630,051
16,321,665
Commitments and contingencies
Noncontrolling interests subject to put provisions
1,561,416
1,532,166
Equity:
Preferred stock ($0.001 par value, 5,000 shares authorized; none issued)
—
—
Common stock ($0.001 par value, 450,000 shares authorized; 69,198 shares issued
and 63,955 shares outstanding at June 30, 2026, and 68,549 shares issued and
outstanding at December 31, 2025)
69
69
Additional paid-in capital
—
—
Accumulated earnings (deficit)
81,233
(328,428)
Treasury stock (5,243 and zero shares, respectively)
(787,847)
(199,940)
Accumulated other comprehensive loss
(58,551)
(122,783)
Total DaVita Inc. shareholders' equity deficit
(765,096)
(651,082)
Noncontrolling interests not subject to put provisions
283,118
277,354
Total equity deficit
(481,978)
(373,728)
$ 17,709,489
$ 17,480,103
DAVITA INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)(dollars in thousands)
Six months ended June 30,
2026
2025
Cash flows from operating activities:
Net income
$ 618,258
$ 507,436
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization
345,637
351,155
Stock-based compensation expense
54,189
62,567
Deferred income taxes
53,431
(9,838)
Equity investment loss, net
2,437
47,730
Other non-cash losses, net
16,721
6,948
Changes in operating assets and liabilities, net of effect of acquisitions and divestitures:
Accounts receivable
(24,197)
(288,447)
Inventories
11,315
(9,592)
Other current assets
(58,339)
(70,945)
Other long-term assets
(22,803)
2,981
Accounts payable
7,639
35,612
Accrued compensation and benefits
(108,322)
(125,365)
Other current liabilities
(55,837)
(3,586)
Income taxes
(32,530)
9,462
Other long-term liabilities
3,301
(11,873)
Net cash provided by operating activities
810,900
504,245
Cash flows from investing activities:
Additions of property and equipment
(271,836)
(264,349)
Acquisitions
(38,540)
(10,596)
Proceeds from asset and business sales
4,392
22,400
Purchase of debt investments held-to-maturity
(298)
(27,475)
Purchase of other debt and equity investments
(12,867)
(3,002)
Proceeds from debt investments held-to-maturity
942
48,014
Proceeds from sale of other debt and equity investments
4,382
6,379
Purchase of equity method investments
(19,625)
(2,144)
Distributions from equity method investments
109
1,470
Net cash used in investing activities
(333,341)
(229,303)
Cash flows from financing activities:
Borrowings
2,768,259
4,189,716
Payments on long-term debt
(2,264,356)
(3,373,300)
Deferred and debt related financing costs
(4,645)
(25,133)
Purchase of treasury stock from related party
(382,805)
(200,261)
Other purchases of treasury stock
(377,852)
(793,834)
Distributions to noncontrolling interests
(149,892)
(151,087)
Net proceeds from issuance of common stock under employee stock plans
5,909
8,913
Payment of tax withholdings on net share settlements of equity awards
(63,814)
(30,477)
Contributions from noncontrolling interests
4,239
2,578
Proceeds from sales of additional noncontrolling interests
—
169
Purchases of noncontrolling interests
(18,571)
(5,378)
Net cash used in financing activities
(483,528)
(378,094)
Effect of exchange rate changes on cash, cash equivalents and restricted cash
80
20,286
Net decrease in cash, cash equivalents and restricted cash
(5,889)
(82,866)
Cash, cash equivalents and restricted cash at beginning of the year
757,747
879,825
Cash, cash equivalents and restricted cash at end of the period
$ 751,858
$ 796,959
DAVITA INC.
SUPPLEMENTAL FINANCIAL DATA
(unaudited)
(dollars in millions and shares in thousands, except per treatment and patient data)
Three months ended
Six months ended
June 30, 2026
June 30,
2026
March 31,
2026
1. Consolidated business metrics:
Operating margin
16.3 %
14.1 %
15.2 %
General and administrative expenses as a percent of
consolidated revenues(2)
11.9 %
12.4 %
12.1 %
Effective income tax rate on income
21.1 %
19.4 %
20.4 %
Effective income tax rate on income attributable to DaVita Inc.(1)
25.6 %
25.1 %
25.4 %
2. Summary of financial results:
Revenues:
U.S. dialysis patient services and other
$ 3,012
$ 2,942
$ 5,954
Other—Ancillary services
Integrated kidney care
162
116
278
Other U.S. ancillary
9
10
19
International dialysis patient service and other
386
372
758
557
498
1,054
Eliminations
(14)
(24)
(38)
Total consolidated revenues
$ 3,554
$ 3,416
$ 6,970
Operating income (loss):
U.S. dialysis
$ 538
$ 506
$ 1,044
Other—Ancillary services
Integrated kidney care
40
(19)
21
Other U.S. ancillary
(8)
(6)
(13)
International
25
30
55
57
6
63
Corporate administrative support expenses
(16)
(30)
(46)
Total consolidated operating income
$ 579
$ 482
$ 1,061
DAVITA INC.
SUPPLEMENTAL FINANCIAL DATA - continued
(unaudited)
(dollars in millions and shares in thousands, except per treatment and patient data)
Three months ended
Six months ended
June 30, 2026
June 30,
2026
March 31,
2026
3. Summary of reportable segment financial results and metrics:
Depreciation and amortization expense per treatment
$ 20.26
$ 22.07
$ 21.16
Accounts receivable:
Receivables
$ 1,719
$ 1,695
DSO
52
52
4. IKC metrics:
Patients per integrated care arrangement type:
Risk-based(5)
64,900
62,600
Other(5)
5,700
6,300
Annualized aggregate risk based spend(5)
$ 5,800
$ 5,400
DAVITA INC.
SUPPLEMENTAL FINANCIAL DATA - continued
(unaudited)
(dollars in millions and shares in thousands, except per treatment and patient data)
Three months ended
Six months ended
June 30, 2026
June 30,
2026
March 31,
2026
5. Cash flow:
Operating cash flow
$ 490
$ 321
$ 811
Operating cash flow, last twelve months
$ 2,193
$ 2,027
Free cash flow(1)
$ 256
$ 140
$ 396
Free cash flow, last twelve months(1)
$ 1,308
$ 1,209
Capital expenditures:
Maintenance
$ 123
$ 74
$ 197
Development
$ 47
$ 28
$ 75
Acquisition expenditures
$ 5
$ 34
$ 39
Proceeds from sale of self-developed properties
$ —
$ 2
$ 2
6. Debt and capital structure:
Total debt(6)
$ 10,848
$ 10,694
Net debt, net of cash and cash equivalents(6)
$ 10,179
$ 10,050
Leverage ratio(7)
3.37x
3.34x
Weighted average effective interest rate:
At end of the quarter
5.43 %
5.44 %
On the senior secured credit facilities at end of the quarter
5.76 %
5.79 %
Amount spent on share repurchases
$ 348
$ 403
$ 751
Number of shares repurchased
2,238
3,005
5,243
Certain columns, rows or percentages may not sum or recalculate due to the presentation of rounded numbers.
________________
(1)
These are non-GAAP financial measures. For a reconciliation of these non-GAAP financial measures to their most comparable measure calculated and presented in accordance with GAAP, and for a definition of adjusted amounts, see attached reconciliation schedules. Adjusted operating income margin is adjusted operating income divided by consolidated revenues.
(2)
General and administrative expenses include certain corporate support, long-term incentive compensation and advocacy costs.
(3)
Normalized treatment days reflect treatment days adjusted to normalize for the mix of days of the week in a given quarter.
(4)
Normalized non-acquired treatment growth reflects year-over-year growth in treatment volume, adjusted to exclude acquisitions and other similar transactions, and further adjusted to normalize for the number and mix of treatment days in a given quarter versus the prior year quarter.
(5)
Integrated care metrics: The aggregate amount of medical spend associated with risk-based integrated care arrangements that we disclose includes both medical costs included in our reported expenses for certain risk-based arrangements (such as our SNPs), as well as the aggregate estimated benchmark amount above or below which we will incur profit or loss from value-based care (VBC) arrangements under which third-party medical costs are not included in our reported results. A number of our VBC contracts are subject to complex or novel patient attribution mechanics and benchmark adjustments, some of which are based on information not reported to us until periods after we report our quarterly results. As a result, our estimates of our patients under, and the dollar amount of, our value-based contracts remain subject to estimation uncertainty.
(6)
The debt amounts presented as of June 30, 2026 and March 31, 2026 exclude approximately $66.5 and $68.1, respectively, of debt discount, premium and other deferred financing costs related to our senior secured credit facilities and senior notes in effect or outstanding at that time.
(7)
This is a non-GAAP measure. See "Calculation of Leverage Ratio" in non-GAAP reconciliations.
DAVITA INC.
RECONCILIATIONS FOR NON-GAAP MEASURES
(unaudited)
(dollars in millions)
Calculation of the Leverage Ratio
Under our amended senior secured credit facilities (the Amended Credit Agreement) dated June 8, 2026 and our prior senior secured credit facilities, the leverage ratio is defined as (a) all funded debt, minus unrestricted cash and cash equivalents (including short-term investments) divided by (b) "Consolidated EBITDA." The leverage ratio determines the interest rate margin payable by the Company for its Term Loan A-2 and revolving line of credit under the Amended Credit Agreement by establishing the margin over the base interest rate (SOFR plus credit spread adjustment) that is applicable. The calculation below is based on the last 12 months of "Consolidated EBITDA" and "Consolidated net debt" at the end of each reported period, each as defined in the credit agreement that was in effect at the end of each such period (the Applicable Credit Agreement). The calculation of "Consolidated EBITDA" below sets forth, among other things, certain pro forma adjustments described in the Applicable Credit Agreement, including, pro forma adjustments for acquisitions or divestitures that occurred during the period and certain projected net cost savings, expense reductions and cost synergies. These pro forma adjustments are determined according to specified criteria set forth in the Applicable Credit Agreement, and as a result, the total adjustments calculated may not be comparable to the Company's estimates for other purposes, including as operating performance measures. The Company's management believes the presentation of "Consolidated EBITDA" is useful to investors to enhance their understanding of the Company's leverage ratio under the Applicable Credit Agreement and should not be evaluated for any other purpose. The leverage ratio calculated by the Company is a non-GAAP measure and should not be considered a substitute for the ratio of total debt to operating income, determined in accordance with GAAP. The Company's calculation of its leverage ratio might not be calculated in the same manner as, and thus might not be comparable to, similarly titled measures of other companies.
Twelve months ended
June 30,
2026
March 31,
2026
Net income from continuing operations attributable to DaVita Inc.
$ 822
$ 756
Income taxes
303
305
Interest expense
540
535
Depreciation and amortization
710
717
Net income attributable to noncontrolling interests
342
340
Stock-settled stock-based compensation
127
136
Debt extinguishment and modification costs
16
14
Expected cost savings and expense reductions
7
10
Other
149
194
Consolidated EBITDA
$ 3,018
$ 3,008
June 30,
2026
March 31,
2026
Total debt, excluding debt discount and other deferred financing costs(1)
$ 10,848
$ 10,694
Less: Cash and cash equivalents including short-term investments(2)
(685)
(664)
Consolidated net debt
$ 10,162
$ 10,031
Last twelve months Consolidated EBITDA
$ 3,018
$ 3,008
Leverage ratio
3.37x
3.34x
Maximum leverage ratio permitted under the Credit Agreement
5.00x
5.00x
Certain columns or rows may not sum or recalculate due to the presentation of rounded numbers.
________________
(1)
The debt amounts presented as of June 30, 2026 and March 31, 2026 exclude approximately $66.5 and $68.1, respectively, of debt discount, premium and other deferred financing costs related to our senior secured credit facilities and senior notes in effect or outstanding at that time.
(2)
This excludes amounts not readily convertible to cash related to the Company's non-qualified deferred compensation plans for all periods presented.
DAVITA INC.
RECONCILIATIONS FOR NON-GAAP MEASURES
(unaudited)
Note on Non-GAAP Financial Measures
As used in this press release, the term "adjusted" refers to non-GAAP measures as follows, each as reconciled to its most comparable GAAP measure as presented in the non-GAAP reconciliations in the notes to this press release: (i) for income and expense measures, the term "adjusted" refers to operating performance measures that exclude certain items such as, but not limited to, cybersecurity costs, impairment charges, gains or losses on ownership changes, restructuring charges, accruals for legal matters, and debt extinguishment and modification costs; and (ii) the term "effective income tax rate on adjusted income attributable to DaVita Inc." represents the Company's effective tax rate excluding applicable non-GAAP items and the tax associated with them as well as noncontrolling owners' income, which primarily relates to non-tax paying entities.
These non-GAAP or "adjusted" measures are presented because management believes these measures are useful adjuncts to GAAP results. However, these non-GAAP measures should not be considered alternatives to the corresponding measures determined under GAAP.
Specifically, management uses adjusted operating income, adjusted net income attributable to DaVita Inc. and adjusted diluted net income per share attributable to DaVita Inc. to compare and evaluate our performance period over period and relative to competitors, to analyze the underlying trends in our business, to establish operational budgets and forecasts and for incentive compensation purposes. We believe these non-GAAP measures also are useful to investors and analysts in evaluating our performance over time and relative to competitors, as well as in analyzing the underlying trends in our business. Furthermore, we believe these presentations enhance a user's understanding of our normal consolidated results by excluding certain items which we do not believe are indicative of our ordinary results of operations. As a result, adjusting for these amounts allows for comparison to our normalized prior period results.
The effective income tax rate on adjusted income attributable to DaVita Inc. excludes noncontrolling owners' income and certain non-deductible and other charges which we do not believe are indicative of our ordinary results. Accordingly, we believe these adjusted effective income tax rates are useful to management, investors and analysts in evaluating our performance and establishing expectations for income taxes incurred on our ordinary results attributable to DaVita Inc.
Finally, free cash flow represents net cash provided by operating activities less distributions to noncontrolling interests, development capital expenditures, and maintenance capital expenditures; plus contributions from noncontrolling interests and proceeds from the sale of self-developed properties. Management uses this measure to assess our ability to fund acquisitions and meet our debt service obligations and we believe this measure is equally useful to investors and analysts as an adjunct to cash flows from operating activities and other measures under GAAP.
It is important to bear in mind that these non-GAAP "adjusted" measures are not measures of financial performance or liquidity under GAAP and should not be considered in isolation from, nor as substitutes for, their most comparable GAAP measures.
The following reconciliations of the non-GAAP financial measures presented in this press release to their most comparable GAAP measures.
DAVITA INC.
RECONCILIATIONS FOR NON-GAAP MEASURES - continued
(unaudited)
(dollars in millions, except per share data)
Adjusted net income and adjusted diluted net income per share attributable to DaVita Inc.:
Three months ended
Six months ended
June 30,
2026
March 31,
2026
June 30,
2026
June 30,
2025
Dollars
Per share
Dollars
Per share
Dollars
Per share
Dollars
Per share
Consolidated:
Net income attributable to DaVita Inc.
$ 265
$ 4.02
$ 198
$ 2.87
$ 463
$ 6.86
$ 362
$ 4.57
Cybersecurity incident-related charges(1)
—
—
—
—
—
—
13
0.17
Income tax impact related to prior legal matter(2)
—
—
—
—
—
—
19
0.24
Related income tax
—
—
—
—
—
—
(3)
(0.04)
Adjusted net income attributable to DaVita Inc.
$ 265
$ 4.02
$ 198
$ 2.87
$ 463
$ 6.86
$ 391
$ 4.93
Certain columns, rows or percentages may not sum or recalculate due to the presentation of rounded numbers.
Adjusted operating income:There were no non-GAAP adjustments during the three and six months ended June 30, 2026 or the three months ended March 31, 2026.
Six months ended June 30, 2025
U.S.
dialysis
Ancillary services
Corporate
administration
Consolidated
U.S. IKC
U.S. Other
International
Total
Operating income (loss)
$ 999
$ (3)
$ (10)
$ 67
$ 54
$ (76)
$ 977
Cybersecurity incident-related charges(1)
13
—
—
—
—
—
13
Adjusted operating income (loss)
$ 1,012
$ (3)
$ (10)
$ 67
$ 54
$ (76)
$ 990
Certain columns or rows may not sum or recalculate due to the presentation of rounded numbers
Effective income tax rates:
Three months ended
Six months ended
June 30, 2026
June 30,
2026
March 31,
2026
Effective income tax rates on income attributable to DaVita Inc.:
Income before income taxes
$ 435
$ 341
$ 776
Noncontrolling owners' income primarily attributable to non-tax paying entities
(78)
(78)
(156)
Income before income taxes attributable to DaVita Inc.
$ 357
$ 264
$ 620
Income tax expense
$ 92
$ 66
$ 158
Income tax attributable to noncontrolling interests
(1)
—
(1)
Income tax expense attributable to DaVita Inc.
$ 91
$ 66
$ 157
Effective income tax rate on income attributable to DaVita Inc.
25.6 %
25.1 %
25.4 %
Certain columns, rows or percentages may not sum or recalculate due to the presentation of rounded numbers.
DAVITA INC.
RECONCILIATIONS FOR NON-GAAP MEASURES - continued
(unaudited)
(dollars in millions, except per share data)
Free cash flow:
Three months ended
Six months ended
June 30, 2026
June 30,
2026
March 31,
2026
June 30,
2025
Net cash provided by operating activities
$ 490
$ 321
$ 324
$ 811
Adjustments to reconcile net cash provided by operating activities to
free cash flow:
Distributions to noncontrolling interests
(64)
(85)
(58)
(150)
Contributions from noncontrolling interests
—
4
—
4
Maintenance capital expenditures(3)
(123)
(74)
(90)
(197)
Development capital expenditures(4)
(47)
(28)
(32)
(75)
Proceeds from sale of self-developed properties
—
2
12
2
Free cash flow
$ 256
$ 140
$ 157
$ 396
Certain columns or rows may not sum or recalculate due to the presentation of rounded numbers.
Twelve months ended
June 30,
2026
March 31,
2026
June 30,
2025
Net cash provided by operating activities
$ 2,193
$ 2,027
$ 1,862
Adjustments to reconcile net cash provided by operating activities to free cash flow:
Distributions to noncontrolling interests
(323)
(317)
(381)
Contributions from noncontrolling interests
9
9
9
Maintenance capital expenditures(3)
(424)
(391)
(407)
Development capital expenditures(4)
(159)
(144)
(167)
Proceeds from sale of self-developed properties
12
24
30
Free cash flow
$ 1,308
$ 1,209
$ 947
Certain columns or rows may not sum or recalculate due to the presentation of rounded numbers.
________________
(1)
Represents charges recognized to work to remediate a cybersecurity incident and restore systems following the occurrence of the incident in the second quarter of 2025. We have excluded these charges from our non-GAAP metrics as we do not believe they are indicative of our ordinary results of operations.
(2)
Represents the write-down of a tax receivable related to a 2014 tax refund claim. The claim related to estimated tax expense associated with a legal matter previously presented as a non-GAAP adjustment. We have excluded this charge from our non-GAAP metrics because, among other things, we do not believe it is indicative of our ordinary results of operations because the charge is significant and may obscure analysis of underlying trends and financial performance of our current business.
(3)
Maintenance capital expenditures represent capital expenditures to maintain the productive capacity of the business and include those made for investments in information technology, dialysis center renovations, capital asset replacements, and any other capital expenditures that are not development or acquisition expenditures.
(4)
Development capital expenditures principally represent capital expenditures (other than acquisition expenditures) made to expand the productive capacity of the business and include those for new U.S. and international dialysis center developments, dialysis center expansions and relocations, and new or expanded contracted hospital operations.
Key Takeaways DaVita's Q2 treatment growth may benefit from better mortality trends and clinic transfers.DVA's Q2 RPT may improve as deductible headwinds ease and reimbursement increases support pricing.DaVita's Q2 payor mix pressure and spending on technology may limit margin expansion. DaVita Inc. (DVA - Free Report) is scheduled to report second-quarter 2026 results on Aug. 4, after the closing bell.
In the last reported quarter, the company’s earnings per share (EPS) of $2.87 surpassed the Zacks Consensus Estimate by 19.1%. Over the trailing four quarters, its earnings outperformed the Zacks Consensus Estimate on three occasions and missed once, delivering an earnings surprise of 2.4%, on average.
Let’s check out the factors that have shaped DVA’s performance prior to this announcement.
Factors Likely to Affect DaVitaDaVita's second-quarter 2026 performance is likely to have reflected stronger treatment volumes and improving reimbursement dynamics following the seasonally weaker first quarter. Management's improved treatment growth expectations, supported by better-than-expected mortality trends and patient transfers from Fresenius clinic closures, are expected to have supported volume growth in the quarter. DVA expects roughly half of the transfer-related benefit to materialize in the second quarter, supporting year-over-year treatment growth in the to-be-reported quarter.
Revenue per treatment (RPT) is expected to have improved sequentially as the typical first-quarter headwind from patient deductibles and co-insurance eased. Normal reimbursement increases are also likely to have supported pricing. However, a less favorable commercial payor mix, driven by higher enrollment in lower-tier Affordable Care Act bronze plans with greater patient responsibility, may have partially offset these benefits.
Cost discipline is also expected to have remained an important factor in shaping second-quarter results. Patient care costs are likely to have benefited from continued labor productivity improvements that exceeded expectations in the first quarter. However, general and administrative expenses are expected to have remained elevated due to ongoing investments in technology and digital infrastructure.
Integrated kidney care is also expected to have remained an important factor in the to-be-reported quarter. Management highlighted continued improvement in clinical outcomes and higher savings under the Comprehensive Kidney Care Contracting program. However, the segment is unlikely to have provided a meaningful earnings contribution in the quarter despite continued operational progress.
However, certain headwinds are likely to have persisted. Despite the seasonal improvement in RPT, a less favorable commercial payor mix is likely to have continued to weigh on reimbursement, limiting margin expansion in the second quarter of 2026.
DVA’s Estimate PictureFor second-quarter 2026, the Zacks Consensus Estimate for revenues is pegged at $3.53 billion, implying an improvement of 4.5% from the prior-year quarter’s reported figure.
The consensus estimate for EPS is pegged at $4.01, indicating an uptick of 35.9% from the prior-year period’s reported number.
What Our Model Suggests About DaVitaPer our proven model, a stock with a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold), along with a positive Earnings ESP, has higher chances of beating estimates. This is not the case here, as you can see below.
Earnings ESP: DVA has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
DVA’s Share Price PerformanceOver the past three months, DaVita’s shares have gained 55.8% compared with Medical - Outpatient and Home Healthcare’s 22% rise. DVA’s shares have also outperformed the Zacks Medical sector’s gain of 8.3% and the S&P 500’s growth of 3.1%.
Three Months Price Comparison
Image Source: Zacks Investment Research
DaVita’s peers like Aveanna Healthcare Holdings Inc. (AVAH - Free Report) , LifeStance Health Group, Inc. (LFST - Free Report) and Addus HomeCare Corporation (ADUS - Free Report) have underperformed it. AVAH, LFST and ADUS’ shares have gained 41.6%, 44.2% and 15.3%, respectively, over the past three months.
Key Takeaways DaVita raised 2026 guidance after strong first-quarter execution and better treatment trends.IKC improved key CKCC metrics and generated the highest aggregate savings among all participants.Commercial payer dependence, reimbursement uncertainty and rising investment costs remain key risks. DaVita Inc. (DVA - Free Report) has been gaining from strong execution across its Integrated Kidney Care (IKC) platform, improving treatment volumes and investments in technology and clinical innovation. The optimism is led by solid first-quarter 2026 results and higher full-year guidance. However, reimbursement uncertainty and the company's dependence on commercial payers remain key concerns.
Year to date, this Zacks Rank #3 (Hold) stock rallied 110.7%, outperforming the industry’s 22.4% growth and the S&P 500’s 7.8% gain.
The renowned global comprehensive kidney care provider has a market capitalization of $15.17 billion. The company projects 20.2% growth over the next five years and expects to maintain its strong performance going forward. DaVita’s earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missed once, the average surprise being 2.4%.
Image Source: Zacks Investment Research
Growth Drivers for DVA StockStrength in Integrated Kidney Care: DaVita’s IKC platform remains a prime growth driver as the company continues to expand its value-based care capabilities. After achieving its first full year of profitability in 2025, IKC maintained strong momentum in the first quarter of 2026, delivering year-over-year improvements across all three CMS Comprehensive Kidney Care Contracting (CKCC) performance metrics, including gross savings rates, quality scores and high-performing status. IKC generated the highest aggregate savings among all CKCC participants, underscoring the effectiveness of its data-driven care model. The company is reinforcing this strategy through its recently announced 2030 Community Care commitments, which include reducing avoidable hospitalizations, expanding transplant access and educating more patients on kidney care options.
Operational Execution Boosts Outlook: DaVita delivered a solid first-quarter performance, prompting management to raise its 2026 adjusted operating income and adjusted EPS guidance. The strong performance was driven by balanced execution across treatment volumes, revenue per treatment and patient care costs. Better-than-expected mortality trends, improving labor productivity and patient transfers related to Fresenius clinic closures supported an increase in the company’s treatment growth outlook from flat to 25 to 50 basis points for 2026. Management expects continued labor efficiencies to support margins. Disciplined capital allocation remains a positive, with DaVita repurchasing 5 million shares through the first quarter and thereafter. The combination of improving operating trends and disciplined cost management strengthens management’s confidence in delivering stronger earnings growth.
Technology Investments and Innovation: DaVita continues to invest in technology and clinical innovation to strengthen its competitive position and improve patient outcomes. During the first quarter, management highlighted investments in digital infrastructure and AI-enabled operational tools, including ScheduleHub, which dynamically optimizes staffing and patient scheduling to improve caregiver efficiency and operational productivity. These investments build on the company’s proprietary data infrastructure and are expected to support both clinical excellence and long-term operating leverage. Beyond technology, DaVita’s initiatives include the MODEL quality improvement program, the MEMOIRS prospective cohort study and strategic investment in Elara Caring to expand home-based support for patients with end-stage kidney disease. Management believes these initiatives are intended to improve patient outcomes, support caregivers, reduce hospitalizations and strengthen DaVita's value-based care platform.
Downsides of DVA StockReimbursement Uncertainty and Dependence on Commercial Payers: Despite a strong first quarter, reimbursement uncertainty continues to represent a meaningful headwind. Management indicated that Affordable Care Act marketplace enrollment trends are tracking slightly better than expected but maintained its estimated $40 million headwind for 2026 due to limited visibility into enrollment, affordability and future patient mix. DaVita heavily depends on commercial insurers, which account for a large share of dialysis profits despite representing a small portion of total patients. Any deterioration in commercial payer mix, increased migration toward government-sponsored plans, or lower reimbursement from Medicare Advantage could pressure revenue per treatment and profitability. The anticipated decline in commercial mix over the course of 2026 further supports management’s expectation for only modest revenue-per-treatment growth.
Regulatory and Competitive Pressures: DaVita operates in one of the healthcare industry's most heavily regulated environments, exposing the company to reimbursement changes, compliance requirements and government oversight. Evolving Medicare and Medicaid policies, healthcare transparency regulations and increased enforcement activity could result in higher compliance costs or operational disruptions. Competition remains intense across the kidney care landscape. Besides competing with Fresenius Medical Care and other dialysis providers for patients, acquisitions and physician relationships, DaVita is facing growing competition from companies investing in value-based kidney care, transplant services and innovative treatment technologies. As the industry continues to evolve, maintaining market share while adapting to regulatory and competitive dynamics will remain critical to sustain long-term growth.
Macroeconomic Pressures and Investment Spending: DaVita continues to face external cost pressures stemming from inflation, labor market tightness, supply chain challenges and macroeconomic uncertainty. Although productivity improvements helped lower patient care costs during the first quarter, management acknowledged that general and administrative expenses increased as the company continued investing in technology and digital capabilities. While these investments are expected to generate long-term operational benefits, management noted that it remains early in the AI deployment cycle and that financial returns will materialize gradually. Combined with wage inflation, higher operating costs and economic uncertainty, these elevated investments could limit near-term margin expansion.
Estimate TrendDaVita is witnessing a stable estimate revision trend for 2026. Over the past 30 days, the Zacks Consensus Estimate for earnings per share has remained unchanged at $15.07.
The Zacks Consensus Estimate for the company’s second-quarter 2026 revenues is pegged at $3.53 billion, indicating a 4.5% uptick from the year-ago quarter’s reported number. The consensus mark for earnings is pegged at $4.01 per share, implying 35.9% year-over-year growth.
Stocks to ConsiderSome better-ranked stocks from the broader medical space are West Pharmaceutical (WST - Free Report) , McKesson (MCK - Free Report) and Cardinal Health (CAH - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
West Pharmaceutical reported second-quarter 2026 adjusted earnings per share (EPS) of $2.37, which beat the Zacks Consensus Estimate by 13.9%. Revenues of $872.3 million surpassed the Zacks Consensus Estimate by 4.2%.
West Pharmaceutical has an estimated long-term earnings growth rate of 14.4%. WST’s earnings surpassed estimates in the trailing four quarters, the average surprise being 17.4%.
McKesson reported a fourth-quarter fiscal 2026 adjusted EPS of $11.69, which beat the Zacks Consensus Estimate by 1.1%. Revenues of $96.3 billion missed the Zacks Consensus Estimate by 5.5%.
McKesson has an estimated long-term earnings growth rate of 13.7%. MCK’s earnings surpassed estimates in the trailing four quarters, the average surprise being 3.1%.
Cardinal Health reported a third-quarter fiscal 2026 adjusted EPS of $3.17, which beat the Zacks Consensus Estimate by 13.2%. Revenues of $60.94 billion missed the Zacks Consensus Estimate by 2.3%.
Cardinal Health has an estimated long-term earnings growth rate of 17%. CAH’s earnings surpassed estimates in the trailing four quarters, the average surprise being 10.3%.
DaVita HealthCare (DVA - Free Report) closed the most recent trading day at $239.46, moving +1.33% from the previous trading session. The stock exceeded the S&P 500, which registered a gain of 0.21% for the day. Elsewhere, the Dow saw an upswing of 1.03%, while the tech-heavy Nasdaq depreciated by 0.22%.
The kidney dialysis provider's stock has climbed by 7.56% in the past month, exceeding the Medical sector's loss of 0.43% and the S&P 500's gain of 1.7%.
Investors will be eagerly watching for the performance of DaVita HealthCare in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on August 4, 2026. The company is predicted to post an EPS of $4.01, indicating a 35.93% growth compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $3.53 billion, up 4.53% from the prior-year quarter.
DVA's full-year Zacks Consensus Estimates are calling for earnings of $15.07 per share and revenue of $14.3 billion. These results would represent year-over-year changes of +39.8% and +4.78%, respectively.
Investors should also take note of any recent adjustments to analyst estimates for DaVita HealthCare. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. DaVita HealthCare currently has a Zacks Rank of #3 (Hold).
Looking at valuation, DaVita HealthCare is presently trading at a Forward P/E ratio of 15.68. This signifies a discount in comparison to the average Forward P/E of 21 for its industry.
One should further note that DVA currently holds a PEG ratio of 0.77. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Medical - Outpatient and Home Healthcare industry was having an average PEG ratio of 1.7.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. With its current Zacks Industry Rank of 86, this industry ranks in the top 35% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
, /PRNewswire/ -- DaVita Inc. (NYSE: DVA), announced today that it will hold its quarterly conference call to discuss second quarter results on Tuesday, August 4, 2026, at 5:00 p.m. Eastern Time. The company plans to release its results after market close the same day.
This call is also being webcast and can be accessed at the DaVita IR web page. You can join this call as follows:
Tuesday, August 4, 2026
Starting at 5:00 p.m. EDT
Webcast can be accessed using this link
Dial in number: 877-918-6630
International dial in: 517-308-9042
When calling in, please provide the operator the password "Earnings" and provide your name and company affiliation. Investors unable to listen to the conference call will be able to access a replay via our website at investors.davita.com. There will be no telephone replay.
About DaVita Inc.
DaVita (NYSE: DVA) is a healthcare provider focused on transforming care delivery to improve quality of life for patients globally. As a comprehensive kidney care provider, DaVita has been a leader in clinical quality and innovation for more than 25 years. DaVita cares for patients at every stage and setting along their kidney health journey — from slowing the progression of kidney disease to helping support transplantation. This includes ensuring they are supported at home, in dialysis centers, in the hospital and in skilled nursing facilities. As of March 31, 2026, DaVita served approximately 296,300 patients at 3,262 outpatient dialysis centers, of which 2,666 centers were located in the United States and 596 centers were located in 14 other countries worldwide. DaVita has reduced hospitalizations, improved mortality, helped improve health access and worked collaboratively to propel the kidney care community to adopt a higher quality standard of care for all patients, everywhere. To learn more, visit DaVita.com/About.
In the latest trading session, DaVita HealthCare (DVA - Free Report) closed at $236.97, marking a +1.26% move from the previous day. This move outpaced the S&P 500's daily loss of 1.01%. Elsewhere, the Dow saw a downswing of 0.77%, while the tech-heavy Nasdaq depreciated by 1.4%.
The stock of kidney dialysis provider has risen by 12.55% in the past month, leading the Medical sector's gain of 5.37% and the S&P 500's gain of 0.32%.
The investment community will be closely monitoring the performance of DaVita HealthCare in its forthcoming earnings report. It is anticipated that the company will report an EPS of $4.01, marking a 35.93% rise compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $3.53 billion, indicating a 4.53% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $15.07 per share and a revenue of $14.3 billion, representing changes of +39.8% and +4.78%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for DaVita HealthCare. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. DaVita HealthCare is currently sporting a Zacks Rank of #3 (Hold).
In the context of valuation, DaVita HealthCare is at present trading with a Forward P/E ratio of 15.53. This signifies a discount in comparison to the average Forward P/E of 20.04 for its industry.
It is also worth noting that DVA currently has a PEG ratio of 0.77. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Medical - Outpatient and Home Healthcare industry stood at 1.71 at the close of the market yesterday.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. Currently, this industry holds a Zacks Industry Rank of 162, positioning it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
DaVita HealthCare (DVA - Free Report) ended the recent trading session at $234.01, demonstrating a +1.04% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a loss of 0.51% for the day. At the same time, the Dow lost 0.2%, and the tech-heavy Nasdaq lost 1.47%.
Heading into today, shares of the kidney dialysis provider had gained 9.99% over the past month, outpacing the Medical sector's gain of 3.63% and the S&P 500's gain of 0.53%.
Analysts and investors alike will be keeping a close eye on the performance of DaVita HealthCare in its upcoming earnings disclosure. The company is forecasted to report an EPS of $4.01, showcasing a 35.93% upward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $3.53 billion, indicating a 4.53% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $15.07 per share and revenue of $14.3 billion, indicating changes of +39.8% and +4.78%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for DaVita HealthCare. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. DaVita HealthCare presently features a Zacks Rank of #3 (Hold).
In terms of valuation, DaVita HealthCare is presently being traded at a Forward P/E ratio of 15.37. This denotes a discount relative to the industry average Forward P/E of 19.5.
We can also see that DVA currently has a PEG ratio of 0.76. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Medical - Outpatient and Home Healthcare industry had an average PEG ratio of 1.68.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 161, which puts it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.
DaVita Inc. has more than doubled in share price within six months, driven by a strong Q1 '26 beat and a favorable court ruling. DVA fundamentals and long-term prospects remain largely unchanged, with 2026E AEPS recovery now expected at 30%+ and 10–16% annualized growth through 2028. I sold over 95% of my DVA position as the valuation exceeded $210/share, far above my fair value target of $130/share.
DaVita HealthCare (DVA - Free Report) closed the most recent trading day at $232.80, moving +1.45% from the previous trading session. The stock exceeded the S&P 500, which registered a gain of 0.42% for the day. Elsewhere, the Dow saw an upswing of 0.29%, while the tech-heavy Nasdaq appreciated by 0.29%.
Heading into today, shares of the kidney dialysis provider had gained 12.58% over the past month, outpacing the Medical sector's gain of 5.6% and the S&P 500's gain of 2.2%.
Analysts and investors alike will be keeping a close eye on the performance of DaVita HealthCare in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $4.01, marking a 35.93% rise compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.53 billion, up 4.53% from the year-ago period.
DVA's full-year Zacks Consensus Estimates are calling for earnings of $15.07 per share and revenue of $14.3 billion. These results would represent year-over-year changes of +39.8% and +4.78%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for DaVita HealthCare. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, DaVita HealthCare possesses a Zacks Rank of #3 (Hold).
From a valuation perspective, DaVita HealthCare is currently exchanging hands at a Forward P/E ratio of 15.23. Its industry sports an average Forward P/E of 19.75, so one might conclude that DaVita HealthCare is trading at a discount comparatively.
Investors should also note that DVA has a PEG ratio of 0.75 right now. 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. DVA's industry had an average PEG ratio of 1.65 as of yesterday's close.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. Currently, this industry holds a Zacks Industry Rank of 57, positioning it in the top 24% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
In the latest trading session, DaVita HealthCare (DVA - Free Report) closed at $230.72, marking a -1.53% move from the previous day. This change lagged the S&P 500's daily loss of 0.28%. On the other hand, the Dow registered a loss of 1.09%, and the technology-centric Nasdaq increased by 0.2%.
Shares of the kidney dialysis provider witnessed a gain of 18.23% over the previous month, beating the performance of the Medical sector with its gain of 7.8%, and the S&P 500's gain of 1.64%.
The investment community will be closely monitoring the performance of DaVita HealthCare in its forthcoming earnings report. The company is expected to report EPS of $4.01, up 35.93% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.53 billion, up 4.53% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $15.07 per share and revenue of $14.3 billion. These totals would mark changes of +39.8% and +4.78%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for DaVita HealthCare. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. DaVita HealthCare presently features a Zacks Rank of #3 (Hold).
Looking at its valuation, DaVita HealthCare is holding a Forward P/E ratio of 15.55. This denotes a discount relative to the industry average Forward P/E of 19.85.
We can additionally observe that DVA currently boasts a PEG ratio of 0.77. 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. DVA's industry had an average PEG ratio of 1.64 as of yesterday's close.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 54, which puts it in the top 22% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the 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.
On July 02, 2026, DaVita Inc (DVA) shares rose 3.0% to a current price of $234.91. The stock has experienced significant price appreciation recently, with a 10.
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One stock to keep an eye on is DaVita (DVA - Free Report) . DVA is currently holding a Zacks Rank #1 (Strong Buy) and a Value grade of A. The stock holds a P/E ratio of 10.65, while its industry has an average P/E of 18.26. DVA's Forward P/E has been as high as 15.44 and as low as 10.48, with a median of 13.17, all within the past year.
Investors should also note that DVA holds a PEG ratio of 0.83. 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. DVA's PEG compares to its industry's average PEG of 1.42. Within the past year, DVA's PEG has been as high as 1.09 and as low as 0.69, with a median of 0.87.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. DVA has a P/S ratio of 1.06. This compares to its industry's average P/S of 1.32.
These are just a handful of the figures considered in DaVita's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that DVA is an impressive value stock right now.
Key Takeaways DaVita expands kidney care via the IKC platform across CKD and ESKD dialysis network services.DVA expands digital infrastructure and AI ScheduleHub to improve dialysis scheduling efficiency.FMS expands kinexus and 5008X CAREsystem; RMTI signs dialysis supply deals with Heritage and aQua. DaVita Inc. (DVA - Free Report) , a well-known kidney care services provider, plays a central role in the dialysis ecosystem by providing comprehensive kidney care services for patients with chronic kidney disease (CKD) and end-stage kidney disease (ESKD). The company operates an extensive network of outpatient dialysis centers in the United States and internationally, offering in-center dialysis, home dialysis and related clinical services. Beyond delivering dialysis treatments, DVA supports patients across the broader continuum of kidney care through integrated care programs designed to improve clinical outcomes and coordinate treatment with physicians and other healthcare providers.
As kidney care continues to shift toward value-based delivery models, DaVita is expanding its Integrated Kidney Care (IKC) platform to better manage patients with advanced kidney disease. The company reported continued progress under the Centers for Medicare & Medicaid Services' (CMS) Comprehensive Kidney Care Contracting (CKCC) program, delivering year-over-year improvements in gross savings, quality scores and high-performing status. These results highlight DVA's efforts to pair coordinated care with data-driven insights to improve patient outcomes while supporting a more sustainable kidney care model.
DaVita is also investing in technology to strengthen its dialysis operations and enhance care delivery. During 2026, the company continued expanding its digital infrastructure and AI capabilities, including the introduction of ScheduleHub, an AI-powered scheduling tool that aligns patient appointments, staffing availability and clinic capacity. By reducing administrative burden and improving operational efficiency across its dialysis centers, these investments reinforce DVA's focus on delivering high-quality, patient-centered kidney care while supporting the evolving needs of the dialysis industry.
FMS & RMTI Advancing Kidney Care DeliveryFresenius Medical Care AG (FMS - Free Report) is strengthening its foothold in kidney care by integrating dialysis services, value-based care and digital innovation across the treatment continuum. Fresenius Medical Care recently launched kinexus, a unified digital platform that supports home dialysis through remote therapy monitoring, prescription management and integrated supply ordering. Additionally, Fresenius Medical Care is accelerating the U.S. rollout of its 5008X CAREsystem, reinforcing its focus on connected, patient-centric dialysis care while expanding access to advanced home and in-center therapies.
Rockwell Medical, Inc. (RMTI - Free Report) is strengthening kidney care delivery by supplying dialysis providers with a comprehensive portfolio of hemodialysis products that support treatment across outpatient centers, skilled nursing facilities and home dialysis settings. Rockwell Medical recently signed a three-year product purchase agreement with Heritage Dialysis and renewed its agreement with aQua Dialysis, expanding access to its dialysis concentrates and ancillary products. Through these partnerships, Rockwell Medical continues to enhance the reliability and availability of dialysis care across diverse treatment settings.
DVA’s Price Performance, Valuation and EstimatesShares of DaVita have gained 93.4% year to date compared with the industry’s rise of 14.7%.
Image Source: Zacks Investment Research
DVA’s forward 12-month P/E of 13.2X is lower than the industry’s average of 18.2X but higher than its five-year median of 12.7X. It has a Value Score of A.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for DVA’s 2026 earnings per share suggests a 39.8% improvement compared with 2025.
Image Source: Zacks Investment Research
DaVita currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
DaVita Inc. (DVA - Free Report) : This kidney dialysis company has a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 6.4% over the last 60 days.
DaVita Inc. has a PEG ratio of 0.71 compared with 2.36 for the industry. The company possesses a Growth Score of B.
Five Below, Inc. (FIVE - Free Report) : This specialty retail company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 10.1% over the last 60 days.
Five Below has a PEG ratio of 1.00 compared with 2.02 for the industry. The company possesses a Growth Score of B.
Pitney Bowes Inc. (PBI - Free Report) : This shipping and mailing services company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 6.6% over the last 60 days.
Pitney Bowes has a PEG ratio of 0.81 compared with 0.83 for the industry. The company possesses a Growth Score of A.
See the full list of top ranked stocks here.
Learn more about the Growth score and how it is calculated here.
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.
The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.
It also includes access to the Zacks Style Scores.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.94% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: DaVita HealthCare (DVA - Free Report) 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 outpatient dialysis centers and provides related services primarily in its dialysis centers and contracted hospitals across the United States, in addition to offering integrated kidney care services under value-based arrangements. Its services include outpatient dialysis services, hospital inpatient dialysis services and certain ancillary services.
DVA is a #1 (Strong Buy) on the Zacks Rank, with a VGM Score of A.
It also boasts a Value Style Score of A thanks to attractive valuation metrics like a forward P/E ratio of 14.4; value investors should take notice.
For fiscal 2026, three analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.91 to $15.07 per share. DVA boasts an average earnings surprise of +2.4%.
With a solid Zacks Rank and top-tier Value and VGM Style Scores, DVA should be on investors' short list.
DaVita HealthCare (DVA - Free Report) closed the most recent trading day at $217.04, moving +1.72% from the previous trading session. The stock outperformed the S&P 500, which registered a daily loss of 0.05%. Elsewhere, the Dow lost 0.09%, while the tech-heavy Nasdaq lost 0.24%.
Shares of the kidney dialysis provider have appreciated by 8.25% over the course of the past month, outperforming the Medical sector's gain of 4.42%, and the S&P 500's loss of 1.42%.
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 $4.01, showcasing a 35.93% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.53 billion, up 4.53% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $15.07 per share and revenue of $14.3 billion. These totals would mark changes of +39.8% and +4.78%, respectively, from last year.
Any recent changes to analyst estimates for DaVita HealthCare should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection remained stagnant. DaVita HealthCare is holding a Zacks Rank of #1 (Strong Buy) right now.
Looking at valuation, DaVita HealthCare is presently trading at a Forward P/E ratio of 14.16. Its industry sports an average Forward P/E of 19.05, so one might conclude that DaVita HealthCare is trading at a discount comparatively.
We can also see that DVA currently has a PEG ratio of 0.7. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Medical - Outpatient and Home Healthcare industry had an average PEG ratio of 1.6 as trading concluded yesterday.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 69, placing it within the top 29% of over 250 industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, June 26:
LyondellBasell Industries N.V. (LYB - Free Report) : This chemical company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 60.5% over the last 60 days.
LyondellBasell has a PEG ratio of 0.13 compared with 0.60 for the industry. The company possesses a Growth Score of B.
H&R Block, Inc. (HRB - Free Report) : This DIY tax return preparation services company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 4% over the last 60 days.
H&R Block has a PEG ratio of 0.56 compared with 1.00 for the industry. The company possesses a Growth Score of B.
DaVita Inc. (DVA - Free Report) : This dialysis services company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 6.4% over the last 60 days.
DaVita has a PEG ratio of 0.70 compared with 2.29 for the industry. The company possesses a Growth Score of B.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Learn more about the Growth score and how it is calculated here.
DaVita HealthCare (DVA - Free Report) closed the most recent trading day at $213.04, moving +1% from the previous trading session. The stock's performance was ahead of the S&P 500's daily loss of 0.1%. Elsewhere, the Dow gained 0.35%, while the tech-heavy Nasdaq lost 0.43%.
The kidney dialysis provider's stock has climbed by 7.85% in the past month, exceeding the Medical sector's gain of 1.97% and the S&P 500's loss of 1.34%.
Market participants will be closely following the financial results of DaVita HealthCare in its upcoming release. The company's upcoming EPS is projected at $4.01, signifying a 35.93% increase compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.53 billion, up 4.53% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $15.07 per share and revenue of $14.3 billion, indicating changes of +39.8% and +4.78%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for DaVita HealthCare. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. DaVita HealthCare is holding a Zacks Rank of #1 (Strong Buy) right now.
Valuation is also important, so investors should note that DaVita HealthCare has a Forward P/E ratio of 14 right now. This expresses a discount compared to the average Forward P/E of 18.44 of its industry.
Also, we should mention that DVA has a PEG ratio of 0.69. 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. The Medical - Outpatient and Home Healthcare industry currently had an average PEG ratio of 1.54 as of yesterday's close.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This group has a Zacks Industry Rank of 56, putting it in the top 23% 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
Key Takeaways DVA is expanding kidney care beyond hospitals through outpatient and home-centered treatment settings.DaVita's IKC platform and CKCC results highlight its focus on value-based care and savings.AVAH and PNTG are expanding home, hospice, senior living and community-based care networks. DaVita Inc. (DVA - Free Report) , a well-known kidney care services provider, is helping reshape healthcare delivery by expanding treatment beyond traditional hospital settings and into community-based and home-centered environments. The company operates one of the largest outpatient dialysis networks in the world, serving approximately 296,300 patients through 3,262 outpatient dialysis centers as of March 2026. In addition to its clinic-based services, DVA continues to advance integrated kidney care programs that coordinate treatment across the patient journey, supporting improved outcomes while helping reduce the overall cost of care. This strategy aligns with the broader shift toward accessible, lower-cost care settings outside acute-care facilities.
DVA also maintains significant exposure to government-sponsored healthcare programs, with Medicare-related reimbursement continuing to play an important role in its business. Through its Integrated Kidney Care (IKC) platform and participation in value-based care initiatives, the company works to improve clinical outcomes while managing healthcare spending for patients with chronic kidney disease and end-stage kidney disease. Recent results from the CMS Comprehensive Kidney Care Contracting (CKCC) program reflected continued progress in savings and quality performance, underscoring the growing importance of value-based care within DVA’s operating model.
To further support care delivery, DVA continues to invest in technology and digital capabilities. Among its latest initiatives is ScheduleHub, an AI-enabled scheduling tool designed to optimize patient and staffing schedules across dialysis centers, improving operational efficiency as the company expands its data-driven approach to kidney care.
AVAH & PNTG Advancing Care Beyond Hospital SettingsAveanna Healthcare Holdings Inc. (AVAH - Free Report) provides a diversified home-care platform serving medically complex children, adults and seniors through private-duty nursing, home health, hospice and medical solutions, enabling patients to receive care in lower-cost home and community settings rather than hospitals. Aveanna Healthcare derives substantial revenues from government programs, particularly Medicare and Medicaid, and continues expanding its community-based footprint. Recently, Aveanna Healthcare announced the acquisition of Family First Homecare, strengthening its in-home pediatric care capabilities and reinforcing AVAH’s focus on cost-effective care delivery.
The Pennant Group, Inc. (PNTG - Free Report) delivers healthcare services through home health, hospice and senior living operations, emphasizing care in patients’ homes and other cost-effective post-acute settings supported by government reimbursement programs, including Medicare and Medicaid. Pennant Group derives a significant portion of revenues from these programs and benefits from the ongoing shift away from higher-cost institutional care. Recently, Pennant Group expanded its platform through the acquisition of Copper Canyon Memory Care in Arizona and the addition of three senior living communities in Arizona and Wisconsin, further enhancing PNTG’s community-based care network.
DVA’s Price Performance, Valuation and EstimatesShares of DaVita have gained 85.6% year to date compared with the industry’s rise of 9%.
Image Source: Zacks Investment Research
DVA’s forward 12-month P/E of 12.67X is lower than the industry’s average of 17.29X but higher than its five-year median of 12.65X. It has a Value Score of A.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for DVA’s 2026 earnings per share suggests a 39.8% improvement compared with 2025.
Image Source: Zacks Investment Research
DaVita currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Key Takeaways DaVita supports kidney patients through dialysis centers and integrated care programs.DVA saw year-over-year CKCC gains in gross savings rates, quality scores and status.EHC and OPCH deliver rehabilitation and infusion services outside traditional hospital settings. DaVita Inc. (DVA - Free Report) represents the growing shift in healthcare toward specialized, lower-cost care settings that help manage patients with chronic and complex conditions outside traditional acute-care hospitals. The company focuses on kidney care, providing dialysis services through a broad network of outpatient centers while also supporting patients through integrated care programs designed to improve coordination across the treatment journey. As of March 31, 2026, DVA served approximately 296,300 patients through 3,262 outpatient dialysis centers globally and had about 62,600 patients enrolled in risk-based integrated kidney care arrangements, representing roughly $5.4 billion in annualized medical spend.
Beyond dialysis delivery, DaVita continues to expand its value-based care capabilities through Integrated Kidney Care (IKC), which aims to improve patient outcomes while lowering overall healthcare costs. During first-quarter 2026, the company reported year-over-year improvements across all key measures in CMS’ Comprehensive Kidney Care Contracting (CKCC) program, including gross savings rates, quality scores and high-performing status. Management highlighted that the program generated the highest aggregate savings among participants, reflecting the benefits of coordinated, data-driven care for patients with chronic kidney disease.
Recent developments also underscore DaVita’s focus on enhancing care delivery through technology. The company is investing in digital infrastructure and AI to support clinical teams and improve operational efficiency. As part of these efforts, DVA introduced ScheduleHub, a tool that dynamically evaluates patient census, center capacity and staff availability to optimize scheduling in real time. The initiative is intended to reduce administrative burden for facility administrators and support patient care.
EHC and OPCH Delivering Complex Care Outside HospitalsEncompass Health Corporation (EHC - Free Report) extends specialized care beyond traditional acute-care hospitals through its inpatient rehabilitation network, serving patients recovering from strokes, brain injuries, spinal cord injuries, amputations and other complex conditions. Using interdisciplinary teams of nurses, therapists and physicians, Encompass Health helps patients regain function, independence and quality of life through intensive rehabilitation programs. Encompass Health has also continued to expand access to these services by recently opening rehabilitation hospitals in Georgia and Pennsylvania, while announcing new facilities in Idaho and West Virginia to address growing demand for post-acute rehabilitative care.
Option Care Health, Inc. (OPCH - Free Report) supports patients with chronic and complex medical conditions through home and alternate-site infusion services, enabling treatment outside traditional hospital environments. Through a nationwide network of pharmacies, ambulatory infusion suites and clinicians, Option Care Health delivers therapies for chronic inflammatory disorders, neurological diseases, immune deficiencies, serious infections and other conditions requiring ongoing clinical management. Option Care Health combines infusion therapy, nursing support and care coordination to improve patient outcomes while helping health systems and payers manage care more efficiently across the continuum.
DVA’s Price Performance, Valuation and EstimatesShares of DaVita have gained 83.9% year to date compared with the industry’s rise of 9%.
Image Source: Zacks Investment Research
DVA’s forward 12-month P/E of 12.6X is lower than the industry’s average of 17.4X and its five-year median of 12.7X. It has a Value Score of A.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for DVA’s 2026 earnings per share suggests a 39.8% improvement compared with 2025.
Image Source: Zacks Investment Research
DaVita currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
DaVita HealthCare (DVA - Free Report) closed the most recent trading day at $207.91, moving -1.27% from the previous trading session. The stock fell short of the S&P 500, which registered a gain of 1.09% for the day. Elsewhere, the Dow saw an upswing of 0.14%, while the tech-heavy Nasdaq appreciated by 1.91%.
Shares of the kidney dialysis provider witnessed a gain of 6.96% over the previous month, beating the performance of the Medical sector with its gain of 3.16%, and the S&P 500's gain of 0.29%.
The investment community will be closely monitoring the performance of DaVita HealthCare in its forthcoming earnings report. The company is predicted to post an EPS of $4.01, indicating a 35.93% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $3.53 billion, showing a 4.53% escalation compared to the year-ago quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $15.07 per share and revenue of $14.3 billion. These totals would mark changes of +39.8% and +4.78%, respectively, from last year.
Investors should also take note of any recent adjustments to analyst estimates for DaVita HealthCare. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. DaVita HealthCare presently features a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that DaVita HealthCare has a Forward P/E ratio of 13.98 right now. This expresses a discount compared to the average Forward P/E of 18.29 of its industry.
It is also worth noting that DVA currently has a PEG ratio of 0.69. 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. The Medical - Outpatient and Home Healthcare was holding an average PEG ratio of 1.54 at yesterday's closing price.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 75, which puts it in the top 31% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, June 22:
H&R Block, Inc. (HRB - Free Report) : This DIY tax return preparation services company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 4% over the last 60 days.
H&R Block has a PEG ratio of 0.53 compared with 0.93 for the industry. The company possesses a Growth Score of B.
DaVita Inc. (DVA - Free Report) : This dialysis services company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 6.4% over the last 60 days.
DaVita has a PEG ratio of 0.68 compared with 2.17 for the industry. The company possesses a Growth Score of B.
Pitney Bowes Inc. (PBI - Free Report) : This technology-driven company offering shipping, mailing, and e-commerce logistics solutions worldwide carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing nearly 11% over the last 60 days.
Pitney Bowes has a PEG ratio of 0.79 compared with 0.84 for the industry. The company possesses a Growth Scoreof A.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Learn more about the Growth score and how it is calculated here.
Key Takeaways DaVita's core dialysis execution and Fresenius Medical Care's broader model shape the stock comparison.DaVita raised its 2026 outlook as volume trends, reimbursement gains and cost management improved.FMS leans on transformation savings, renal tech innovation and Interwell value-based care growth. Kidney care continues to evolve as healthcare providers focus on improving outcomes for patients with chronic kidney disease (CKD) and end-stage kidney disease, with DaVita Inc. (DVA - Free Report) and Fresenius Medical Care AG (FMS - Free Report) representing two leading players in the global dialysis and renal care market. DVA is primarily focused on delivering kidney care services through its dialysis and care management operations, while FMS combines dialysis services with a broader portfolio of renal care products and solutions. Both companies operate within the kidney care ecosystem but differ in the scope and structure of their business models.
While DaVita's business is centered on providing dialysis treatment and related kidney care services, Fresenius Medical Care maintains a more diversified presence across renal healthcare through both service delivery and product offerings. As a result, the two companies reflect different approaches to addressing the growing demand for kidney care services worldwide.
As demand for renal care continues to grow amid rising rates of CKD and increasing healthcare needs, this contrast highlights two distinct strategies and raises the question of which company may offer greater long-term opportunity. Let’s take a closer look.
Stock Performance & Valuation: DVA vs. FMSDVA (up 37.7%) has outperformed FMS (up 7.8%) over the past three months. However, in the past year, DaVita stock has gained 49.7% against Fresenius Medical Care’s decline of 14.6%.
Image Source: Zacks Investment Research
Meanwhile, DVA is trading at a forward 12-month price-to-sales (P/E) ratio of 12.6X, below its median of 12.7X over the past five years. FMS’ forward P/E multiple sits at 10.1X, below its five-year median of 12.2X. DVA and FMS both appear to be cheap when compared with the Zacks Medical sector’s average of 19.9X. Currently, DaVita and Fresenius Medical Care stocks have a Value Score of A.
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Factors Driving DaVita StockDaVita’s disciplined execution in its core dialysis business remains a key driver. The company delivered stronger-than-expected first-quarter 2026 results, supported by favorable treatment volume trends, reimbursement rate increases and effective cost management. Management highlighted outperformance across treatment volume, revenue per treatment and cost per treatment, reflecting the strength of its operating model. DVA also raised its 2026 operating income and earnings outlook, underscoring confidence in the business momentum.
Integrated Kidney Care (IKC) is emerging as an important long-term growth avenue. DaVita continues to expand its value-based care platform, with a growing number of patients under risk-based arrangements. The business has demonstrated improving clinical outcomes and strong savings generation under CMS kidney care programs, highlighting its ability to create value for both patients and payers while broadening DVA’s opportunities beyond traditional dialysis services.
The company’s ongoing investments in technology and digital infrastructure are strengthening its long-term competitive position. DaVita has been modernizing its data systems and deploying AI-enabled tools across clinical and operational workflows. These initiatives are designed to support caregivers, enhance patient care and improve decision-making, while creating a scalable platform that can drive sustained clinical and operational excellence over time.
Factors Driving Fresenius Medical Care StockFresenius Medical Care’s ongoing transformation efforts are strengthening its profitability profile and operational efficiency. Through the FME Reignite strategy and FME25+ program, the company is optimizing its clinic footprint, streamlining operations and delivering sustainable cost savings across the organization. These initiatives are supporting margin expansion and improved underlying earnings, while positioning FMS to generate stronger long-term returns from its core kidney care business.
Technology and product innovation remain important growth drivers. The company is rapidly expanding the deployment of its 5008X CAREsystem, which supports advanced dialysis therapies and reinforces its leadership in renal care technology. Fresenius Medical Care is also investing in digital solutions such as kinexus, a unified platform that supports remote monitoring, prescription management and workflow integration for home dialysis programs. These initiatives enhance FMS’ ability to support evolving patient care needs, while strengthening its competitive position.
The company’s expanding value-based care business provides another avenue for growth. Through Interwell Health, Fresenius Medical Care has demonstrated strong quality outcomes and savings generation under kidney care programs. Supported by advanced analytics, care coordination capabilities and a broad nephrologist network, the platform helps improve patient outcomes while lowering healthcare costs, strengthening FMS’ position in the shift toward value-based reimbursement models.
Comparing EPS Projections: DVA vs. FMSThe Zacks Consensus Estimate for DVA’s 2026 earnings per share (EPS) suggests a 39.8% improvement from 2025.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for FMS’ 2026 EPS implies a decline of 7.4% from 2025.
Image Source: Zacks Investment Research
Price Target: DaVita vs. Fresenius Medical CareBased on short-term price targets offered by six analysts, the average price target for DaVita is $200.00, implying a decline of 4.6% from the last close.
Image Source: Zacks Investment Research
Based on short-term price targets offered by four analysts, the average price target for Fresenius Medical Care is $24.30, implying an increase of 3.9% from the last close.
Image Source: Zacks Investment Research
Choose DVA Over FMS NowCurrent market sentiment and earnings expectations appear to favor DaVita over Fresenius Medical Care at this stage. Currently, DaVita sports a Zacks Rank #1 (Strong Buy), while Fresenius Medical Care has a Zacks Rank #5 (Strong Sell), reflecting significantly stronger confidence in DVA’s near-term prospects.
You can see the complete list of today’s Zacks #1 Rank stocks here.
Both stocks are trading below their historical valuation levels and at discounts to the broader medical sector, suggesting that investor expectations remain relatively measured. However, DaVita’s valuation appears supported by stronger earnings growth expectations, improving operating performance and continued momentum in its core dialysis and IKC businesses. For investors, this indicates a company that is not only executing well operationally but is also positioned to translate that execution into higher profitability over time.
Fresenius Medical Care, meanwhile, remains in the midst of a broader transformation aimed at improving efficiency, expanding value-based care and advancing innovation across its renal care platform. While these initiatives have the potential to strengthen the business over the long run, investor sentiment remains more cautious given the weaker earnings outlook and the time required for strategic initiatives to translate into sustained financial benefits.
While both companies are well-positioned to benefit from growing demand for kidney care services, DaVita appears better positioned now due to its stronger earnings trajectory and more favorable market sentiment, making it the more attractive choice for investors at current levels.
Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, June 24:
H&R Block, Inc. (HRB - Free Report) : This DIY tax return preparation services company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 4% over the last 60 days.
H&R Block has a PEG ratio of 0.53 compared with 0.95 for the industry. The company possesses a Growth Score of B.
DaVita Inc. (DVA - Free Report) : This dialysis services company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 6.4% over the last 60 days.
DaVita has a PEG ratio of 0.69 compared with 2.20 for the industry. The company possesses a Growth Score of B.
Pitney Bowes Inc. (PBI - Free Report) : This technology-driven company offering shipping, mailing, and e-commerce logistics solutions worldwide carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 6.6% over the last 60 days.
Pitney Bowes has a PEG ratio of 0.77 compared with 0.83 for the industry. The company possesses a Growth Score of A.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Learn more about the Growth score and how it is calculated here.
DaVita Inc. (DVA - Free Report) : This kidney dialysis company has a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 6.4% over the last 60 days.
DaVita Inc. has a PEG ratio of 0.65 compared with 2.13 for the industry. The company possesses a Growth Score of B.
Five Below, Inc. (FIVE - Free Report) : This specialty retail company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 8.1% over the last 60 days.
Five Below has a PEG ratio of 1.09 compared with 2.01 for the industry. The company possesses a Growth Score of A.
Pitney Bowes Inc. (PBI - Free Report) : This shipping and mailing services company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 11% over the last 60 days.
Pitney Bowes has a PEG ratio of 0.75 compared with 0.86 for the industry. The company possesses a Growth Score of A.
See the full list of top ranked stocks here.
Learn more about the Growth score and how it is calculated here.
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is DaVita (DVA - Free Report) . DVA is currently sporting a Zacks Rank #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 10.65, while its industry has an average P/E of 16.95. DVA's Forward P/E has been as high as 15.44 and as low as 10.48, with a median of 13.17, all within the past year.
Investors will also notice that DVA has a PEG ratio of 0.83. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. DVA's industry currently sports an average PEG of 1.59. DVA's PEG has been as high as 1.09 and as low as 0.69, with a median of 0.87, all within the past year.
Value investors also use the P/S ratio. The P/S ratio is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. DVA has a P/S ratio of 0.92. This compares to its industry's average P/S of 1.19.
These are just a handful of the figures considered in DaVita's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that DVA is an impressive value stock right now.
Here are five stocks added to the Zacks Rank #1 (Strong Buy) List today:
Lifetime Brands (LCUT - Free Report) : This company, which is a leading designer, marketer and distributor of kitchenware, tableware, and other home solution products for use in the home, and market in the United States and internationally, has seen the Zacks Consensus Estimate for its current year earnings increasing 19.7% over the last 60 days.
Great Elm Capital Group (GECC - Free Report) : This diversified investment company, which works in line of investment management, financial products and merchant banking, has seen the Zacks Consensus Estimate for its current year earnings increasing 18.3% over the last 60 days.
ARKO (ARKO - Free Report) : This company, which operates a chain of convenience stores in the United States, has seen the Zacks Consensus Estimate for its current year earnings increasing 11.5% over the last 60 days.
Pitney Bowes (PBI - Free Report) : This global technology company, which is powering billions of transactions - physical and digital - in the connected and borderless world of commerce, has seen the Zacks Consensus Estimate for its current year earnings increasing 11% over the last 60 days.
DaVita (DVA - Free Report) : This company, which 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), has seen the Zacks Consensus Estimate for its current year earnings increasing 6.4% over the last 60 day.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.
Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.
It also includes access to the Zacks Style Scores.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.
The Style Scores are broken down into four categories:
Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.
Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.
VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.
That's where the Style Scores come in.
You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: DaVita HealthCare (DVA - Free Report) 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 outpatient dialysis centers and provides related services primarily in its dialysis centers and contracted hospitals across the United States, in addition to offering integrated kidney care services under value-based arrangements. Its services include outpatient dialysis services, hospital inpatient dialysis services and certain ancillary services.
DVA is a #1 (Strong Buy) on the Zacks Rank, with a VGM Score of A.
It also boasts a Value Style Score of A thanks to attractive valuation metrics like a forward P/E ratio of 12.98; value investors should take notice.
For fiscal 2026, three analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.91 to $15.07 per share. DVA boasts an average earnings surprise of +2.4%.
With a solid Zacks Rank and top-tier Value and VGM Style Scores, DVA should be on investors' short list.
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. Luckily, Zacks Premium offers several different ways to do both.
The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.
Zacks Premium includes access to the Zacks Style Scores as well.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.
The Style Scores are broken down into four categories:
Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.
Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.
VGM ScoreIf you want a combination of all three Style Scores, then the VGM Score will be your friend. It rates each stock on their combined weighted styles, helping you find the companies with the most attractive value, best growth forecast, and most promising momentum. It's also one of the best indicators to use with the Zacks Rank.
How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.
That's where the Style Scores come in.
To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: DaVita HealthCare (DVA - Free Report) 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 outpatient dialysis centers and provides related services primarily in its dialysis centers and contracted hospitals across the United States, in addition to offering integrated kidney care services under value-based arrangements. Its services include outpatient dialysis services, hospital inpatient dialysis services and certain ancillary services.
DVA is a #1 (Strong Buy) on the Zacks Rank, with a VGM Score of A.
Momentum investors should take note of this Medical stock. DVA has a Momentum Style Score of B, and shares are up 27.1% over the past four weeks.
Three analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.91 to $15.07 per share. DVA also boasts an average earnings surprise of +2.4%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, DVA should be on investors' short list.
Key Takeaways DaVita posted stronger quarterly revenue and earnings, lifting full-year adjusted EPS outlook.DVA expects higher treatment volumes from favorable patient trends and competitor clinic closures.DVA funds buybacks and IKC growth with strong cash flow, but compensation, insurance and IT costs rise. DaVita Inc.’s (DVA - Free Report) investors have been experiencing some short-term gains from the stock lately. Shares of the Denver, CO-based provider of dialysis services in the United States to patients suffering from chronic kidney failure gained 21.4% in the past three months against the industry’s 5.7% decline. It has also outperformed the sector’s loss of 8.7% and the S&P 500’s gain of 10.9% in the same time frame.
A major recent development of DVA includes the announcement of its first-quarter results last month.
DaVita reported strong first-quarter 2026 results, with improvements in revenues, earnings and operating income. The increase in treatment volume per normalized day and higher reimbursement rates during the quarter were encouraging. DVA also raised its 2026 adjusted operating income and earnings per share (EPS) guidance, reflecting confidence in its business momentum. However, patient care costs and IT-related expenses increased year over year, while revenue per treatment (RPT) declined sequentially. Rising operating costs may continue to weigh on margins going forward, which does not bode well for the stock.
DVA's Three Months Price Comparison
Image Source: Zacks Investment Research
Over the past three months, the stock’s performance has remained strong, outperforming its peers like Fresenius Medical Care AG (FMS - Free Report) . However, it underperformed its peer, Outset Medical, Inc. (OM - Free Report) . Fresenius Medical and Outset Medical’s shares have lost 10.8% and gained 43.6%, respectively, in the same time frame.
For 2026, DaVita expects RPT to reflect growth of 1%-2%, while treatment volume is expected to be higher compared with 2025.
Adjusted EPS from continuing operations for the full year is projected to be in the range of $14.10-$15.20. The Zacks Consensus Estimate for the metric is currently pegged at $15.07.
For the second quarter of 2026, the Zacks Consensus Estimate for adjusted EPS is pegged at $4.01.
DVA’s Strengthening Core Dialysis FranchiseDaVita continues to benefit from annual reimbursement increases across Medicare and commercial contracts, supporting revenue growth despite normal seasonal fluctuations. The company’s large dialysis network and exposure to higher-paying commercial plans provide a stable revenue base, while early ACA enrollment trends have been better than management's prior expectations, potentially easing previously anticipated reimbursement pressures.
Treatment volumes exceeded management’s expectations in the first quarter of 2026, aided by favorable patient trends and lower-than-anticipated mortality. DVA also expects to benefit from patient transfers associated with competitor clinic closures, prompting it to raise its full-year treatment growth outlook. Sustained volume growth remains a key driver of revenue and earnings expansion.
Better labor productivity also helped the company keep patient-care costs below expectations, highlighting the effectiveness of DaVita’s operating model. The company is also investing in digital infrastructure and AI-enabled tools to improve scheduling, workforce utilization and administrative efficiency. These initiatives are expected to support DVA’s margin durability and create additional operating leverage over time.
DaVita’s Value-Based Care and Cash Flow StrengthIntegrated Kidney Care (IKC) remains an important long-term growth avenue for DaVita. The business continues to demonstrate strong performance in value-based care programs through improved quality outcomes and savings generation. As DVA expands its risk-based care arrangements and strengthens physician partnerships, it is building a more diversified and sustainable kidney-care ecosystem.
Strong operating and free cash flow generation provides DaVita with ample financial flexibility. The company has remained aggressive in repurchasing shares while maintaining leverage within its target range, underscoring management’s disciplined capital allocation strategy. Consistent cash generation and buybacks continue to enhance shareholder value and support investor sentiment toward the stock.
Challenges Ahead of DVAA key challenge for DaVita is the continued rise in operating expenses, particularly compensation, insurance and technology-related costs, which could pressure margins despite ongoing productivity improvements. Another concern is DVA’s dependence on commercial insurance plans for a significant share of its profits. Any decline in commercially insured patients, unfavorable reimbursement changes or shifts in plan mix could materially affect revenue growth and profitability, given the substantial gap between commercial and government reimbursement rates.
DaVita Stock’s ValuationDVA’s forward 12-month P/S of 0.83X is lower than the industry’s average of 2.67X but is higher its five-year median of 0.79X.
Image Source: Zacks Investment Research
Fresenius Medical and Outset Medical’s forward 12-month P/S currently stand at 0.47X and 0.71X, respectively, in the same time frame.
DVA’s Estimate MovementEstimates for DaVita’s 2026 earnings have moved 6.4% north to $15.07 in the past 60 days.
Image Source: Zacks Investment Research
Estimates for Fresenius Medical’s 2026 EPS have moved 7.4% south to $2.24 in the past 60 days.
Estimates for Outset Medical’s 2026 loss per share have widened from $2.83 to $2.88 in the past 60 days.
Our Final Take on DaVitaDaVita, a Zacks Rank #1 (Strong Buy) stock, remains well positioned to benefit from its leadership in the U.S. dialysis market, improving treatment volumes and expanding value-based care initiatives. The company’s strong operational execution, productivity gains and ongoing technology investments are supporting earnings growth while enhancing its long-term competitive position. Its IKC platform also offers an additional growth avenue beyond traditional dialysis services. You can see the complete list of today’s Zacks #1 Rank stocks here.
However, investors should monitor rising labor, insurance and technology-related expenses, which could pressure margins over time. DVA’s reliance on commercial payors for a significant portion of its profits also exposes it to reimbursement and insurance-mix risks.
From a valuation standpoint, the stock appears reasonably priced relative to its business fundamentals and growth prospects. The current valuation suggests that the market has yet to fully recognize the benefits of improving treatment volumes, operational efficiencies and disciplined capital allocation. This leaves room for further upside if management continues to execute effectively.
For existing shareholders, the stock remains an attractive long-term holding. Prospective investors can also consider building positions, as DaVita’s improving fundamentals, favorable earnings momentum suggest that the recent rally may not yet be over. The favorable Zacks Style Score with a Growth Score of B suggests continued uptrend potential for DVA.
