DaVita (
DVA) pushed the Health Care sector lower today making it today's featured Health Care laggard. The sector as a whole closed the day up 0.7%. By the end of trading, DaVita fell $3.56 (-3.6%) to $95.73 on average volume. Throughout the day, 1.4 million shares of DaVita exchanged hands as compared to its average daily volume of 989,100 shares. The stock ranged in price between $95.73-$99.50 after having opened the day at $98.98 as compared to the previous trading day's close of $99.29. Other company's within the Health Care sector that declined today were:
Assisted Living Concepts (
ALC), down 16.3%,
Exelixis (
EXEL), down 13.1%,
AVEO Pharmaceuticals (
AVEO), down 10.3%, and
Senesco Technologies (
SNT), down 9.7%.
DaVita Inc. provides kidney dialysis services for patients suffering from chronic kidney failure, or end stage renal disease (ESRD) in the United States. DaVita has a market cap of $9.15 billion and is part of the
health services industry. The company has a P/E ratio of 16.7, below the average health services industry P/E ratio of 17.8 and below the S&P 500 P/E ratio of 17.7. Shares are up 31% year to date as of the close of trading on Friday. Currently there are nine analysts that rate DaVita a buy, no analysts rate it a sell, and two rate it a hold.
TheStreet Ratings rates DaVita as a
buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income.
On the positive front,
NeuroMetrix (
NUROD), up 23.1%,
Biosante Pharmaceuticals (
BPAX), up 22.4%,
Dehaier Medical Systems (
DHRM), up 20.5%, and
iBio (
IBIO), up 19.3%, were all gainers within the health care sector with
GlaxoSmithKline (
GSK) being today's featured health care sector leader.
For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the health care sector could consider
Health Care Select Sector SPDR (
XLV) while those bearish on the health care sector could consider
ProShares Ultra Short Health Care (
RXD).
