Warren Buffett's Berkshire Hathaway sells some DaVita, shares fall on disappointing guidance
Published On Feb 14, 2025, 8:16 AM
DaVita, which provides dialysis services, experienced a significant share price drop of over 12% after it released disappointing guidance for 2025, citing rising patient care costs from center closures and health benefits. The company projected its adjusted profit per share to fall below analyst expectations. Additionally, Berkshire Hathaway sold a portion of its shares in DaVita as part of a preplanned share repurchase agreement, reducing its ownership to 45%. Despite the weak outlook, DaVita's fourth-quarter earnings slightly beat estimates.
Stock Forecasts
DVA
Negative
The market reaction suggests a bearish outlook for DaVita following the disappointing guidance on profits amid rising operational costs. Investors may be cautious due to the impact of increased care costs on profitability.