Goldman Sachs Downgrades DaVita (DVA) to Sell; Sees 9% Downside
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Price: $127.64 --0%
Rating Summary:
7 Buy, 13 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 14 | Down: 13 | New: 16
Rating Summary:
7 Buy, 13 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 14 | Down: 13 | New: 16
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Goldman Sachs downgraded DaVita (NYSE: DVA) shares from Neutral to Sell with a price target of $110, citing too many headwinds.
Analyst Matthew Borsch sees headwinds to 2014 earnings, especially given that shares have nearly fully recovered from selling following CMS's unfavorable July 1 dialysis rate announcement.
"Beyond the proposed Medicare rate cut, we note growth in the physician integrated care model has been harder to achieve than expected, even as HCP should see margin pressure from MA rates in 2014-2015," the analyst said in the downgrade report. "We also see meaningful contribution from the future growth drivers (dialysis integrated care, international, home hemo) as several years away."
For an analyst ratings summary and ratings history on DaVita click here. For more ratings news on DaVita click here.
Shares of DaVita closed at $120.26 yesterday.
Analyst Matthew Borsch sees headwinds to 2014 earnings, especially given that shares have nearly fully recovered from selling following CMS's unfavorable July 1 dialysis rate announcement.
"Beyond the proposed Medicare rate cut, we note growth in the physician integrated care model has been harder to achieve than expected, even as HCP should see margin pressure from MA rates in 2014-2015," the analyst said in the downgrade report. "We also see meaningful contribution from the future growth drivers (dialysis integrated care, international, home hemo) as several years away."
For an analyst ratings summary and ratings history on DaVita click here. For more ratings news on DaVita click here.
Shares of DaVita closed at $120.26 yesterday.
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