DaVita Beats on Revenue, Matches Expectations on EPS
DaVita (NYS: DVA) reported earnings on May 1. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), DaVita beat slightly on revenue and met expectations on earnings per share.
Compared to the prior-year quarter, both revenue and GAAP earnings per share improved significantly.
Margins expanded across the board.
DaVita recorded revenue of $1.87 billion. The 12 analysts polled by S&P Capital IQ predicted a top line of $1.85 billion on the same basis. GAAP reported sales were 16% higher than the prior-year quarter's $1.61 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $1.46. The 14 earnings estimates compiled by S&P Capital IQ forecast $1.45 per share. GAAP EPS of $1.46 for Q1 were 52% higher than the prior-year quarter's $0.96 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 32.3%, 180 basis points better than the prior-year quarter. Operating margin was 17.0%, 240 basis points better than the prior-year quarter. Net margin was 7.5%, 160 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.91 billion. On the bottom line, the average EPS estimate is $1.53.
Next year's average estimate for revenue is $7.68 billion. The average EPS estimate is $6.23.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 249 members rating the stock outperform and 13 members rating it underperform. Among 74 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 73 give DaVita a green thumbs-up, and one gives it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on DaVita is outperform, with an average price target of $93.76.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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