The firm has a $70 price target on shares of the Denver-based provider of kidney care services.
BofA/Merrill said growth rates are likely to remain muted, the Fly reports. Additionally, the firm said poor performance at the company's HealthCare Partners group is unlikely to improve in 2016.
Separately, DaVita stock coverage was initiated with a "neutral" rating and $71 price target at Citi, the Fly noted.
The firm sees limited upside to consensus expectations and favors kidney dialysis company Fresenius Medical Care (FMS) at current share levels.
Shares of DaVita closed down on Tuesday.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.
The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its revenue growth and good cash flow from operations.
But the team also finds weaknesses including a generally disappointing performance in the stock itself, deteriorating net income and disappointing return on equity.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: DVA