DaVita, Inc. Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component DaVita, Inc. (NYSE:DVA) will unveil its latest earnings on Wednesday, August 3, 2011. Davita, Inc. operates kidney dialysis centers and provides related lab and ancillary services across the United States.

DaVita, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of $1.14 per share, a rise of 7.5% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from $1.10. For the year, analysts are projecting profit of $4.74 per share, a rise of 8.2% from last year.

Past Earnings Performance: The company’s quarterly results have come in above estimates for the last three quarters. Last quarter, the company booked net income of 96 cents per share versus a mean estimate of profit of 95 cents per share.

Get more Earnings Cheat Sheets with our in depth coverage of earnings season >>

Wall St. Revenue Expectations: On average, analysts predict $1.67 billion in revenue this quarter, a rise of 5% from the year ago quarter. Analysts are forecasting total revenue of $6.78 billion for the year, a rise of 5.1% from last year’s revenue of $6.45 billion.

Analyst Ratings: Analysts are bullish on this stock with 11 analysts rating it as a buy, none rating it as a sell and five rating it as a hold. Over the past 90 days, the average rating for the stock has moved up from hold to moderate buy.

Key Stats:

Revenue has risen the past four quarters. Revenue increased 3% to $1.61 billion in first quarter. The figure rose 5.2% in the fourth quarter of the last fiscal year from the year earlier, climbed 4.9% in the third quarter of the last fiscal year from the year-ago quarter and 4.5% in the second quarter of the last fiscal year.

The company has now seen net income fall in each of the last two quarters. In the first quarter, net income fell 13.6% from the year earlier quarter, while the figure dropped 37.1% in the fourth quarter of the last fiscal year.

Competitors to Watch: Fresenius Medical Care AG & Co. (NYSE:FMS), Hanger Orthopedic Group, Inc. (NYSE:HGR), Continucare Corporation (NYSE:CNU), Universal Health Services, Inc. (NYSE:UHS), NovaMed, Inc. (NASDAQ:NOVA), MedCath Corporation (NASDAQ:MDTH), Dynacq Healthcare, Inc. (NASDAQ:DYII), and U.S. Physical Therapy, Inc. (NASDAQ:USPH).

Stock Price Performance: During May 3, 2011 to July 28, 2011, the stock price had fallen $2.84 (-3.3%) from $85.90 to $83.06. The stock price saw one of its best stretches over the last year between June 24, 2011 and July 7, 2011 when shares rose for nine-straight days, rising 6.4% (+$5.40) over that span. It saw one of its worst periods between December 2, 2010 and December 13, 2010 when shares fell for eight-straight days, falling 4.6% (-$3.39) over that span. Shares are up $13.57 (+19.5%) year to date.

(Source: Xignite Financials)

Get more Earnings Cheat Sheets with our in depth coverage of earnings season >>