Author Topic: DVA DaVita HealthCare Partners  (Read 222199 times)

ander

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Re: DVA DaVita HealthCare Partners
« Reply #600 on: March 06, 2019, 10:59:04 AM »
https://seekingalpha.com/article/4245721-ethan-watkins-dmg-break-risk-davita-podcast

Seems like there is an increasing concern that the DMG deal breaks which is probably also weighing on the stock.


ander

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Re: DVA DaVita HealthCare Partners
« Reply #601 on: March 21, 2019, 09:09:20 AM »
DaVita (NYSE: DVA) Gains After Capitol Forum Says FTC Vote on UnitedHealth Group (NYSE: UNH) Delayed - Bloomberg

I don't see anything else besides that headline. Anyone have access to why that's good news?

ValueMaven

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Re: DVA DaVita HealthCare Partners
« Reply #602 on: April 20, 2019, 11:17:24 AM »
I've been out of DVA for sometime -- however you have a few catalysts at this point... the closing of the sale of Medical Group to UNH for $4.3bn, and possibly reduced noise around Medicaid for All ...  stock is VERY beaten up at this point and VERY cheap on a earnings-yield perspective.  Who knows but i've started to follow it closely ...

Cigarbutt

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Re: DVA DaVita HealthCare Partners
« Reply #603 on: April 20, 2019, 05:31:45 PM »
...
I've been buying a lot of DVA here recently...expecting a nice Q1 once the deal with UNH gets done...seems to me that the market is under-pricing the upside here ...  I think this one quickly trades to the high 60s, low 70s IMHO
I've been out of DVA for sometime -- however you have a few catalysts at this point... the closing of the sale of Medical Group to UNH for $4.3bn, and possibly reduced noise around Medicaid for All ...  stock is VERY beaten up at this point and VERY cheap on a earnings-yield perspective.  Who knows but i've started to follow it closely ...
For the long-term (10, 20 years or longer), I think that the return will gravitate towards 10% per year.
I find it hard to know what will happen to the share price in the next three months.
Can you comment?



cubsfan

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Re: DVA DaVita HealthCare Partners
« Reply #604 on: April 29, 2019, 04:16:21 PM »
https://www.bizjournals.com/denver/news/2019/04/29/davita-kent-thiry-legacy.html?ana=yahoo&yptr=yahoo

New CEO at DaVita - I am surprised. Hope it does not signal issues with the United HealthCare deal.

DooDiligence

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Re: DVA – DaVita HealthCare Partners
« Reply #605 on: April 29, 2019, 04:33:39 PM »
There will be continuity.

---

"At a ceremony announcing plans for the company’s second office tower in the Central Platte Valley in August 2016, Rodriguez rode a zip line down to the stage as “Livin’ La Vida Loca” blared and employees cheered."

https://www.denverpost.com/2019/04/29/davita-ceo-kent-thiry-leaving/
AFL // BRK.B // CLB an incredibly stupid move // EW // GPC // MO an incredibly stupid ex-CEO // MTB // NVO // PSX // TRMD // ULTA // VDE // VLGEA // WFC

Investable cash 16% + 18 months of survival $

walkie518

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Re: DVA DaVita HealthCare Partners
« Reply #606 on: April 29, 2019, 04:58:35 PM »
https://www.bizjournals.com/denver/news/2019/04/29/davita-kent-thiry-legacy.html?ana=yahoo&yptr=yahoo

New CEO at DaVita - I am surprised. Hope it does not signal issues with the United HealthCare deal.

perhaps what is more likely is that Thiry is considering becoming a politician?

cubsfan

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Re: DVA DaVita HealthCare Partners
« Reply #607 on: April 29, 2019, 05:19:33 PM »
https://www.bizjournals.com/denver/news/2019/04/29/davita-kent-thiry-legacy.html?ana=yahoo&yptr=yahoo

New CEO at DaVita - I am surprised. Hope it does not signal issues with the United HealthCare deal.

perhaps what is more likely is that Thiry is considering becoming a politician?

Certainly could be - waiting for this DMG deal to close, with the delays and impairments has been torture.
I'm just paranoid !

I'm sure Javier will do a great job.

walkie518

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Re: DVA DaVita HealthCare Partners
« Reply #608 on: May 08, 2019, 04:38:09 PM »
BAML published a note today suggesting that figures were in-line

I thought the numbers were awful and the market seems to have reacted accordingly

It doesn't bother me that Thiry wants to step-down, and it's certainly good news if the DMG deal is still on the table, but cash flow doesn't look particularly appealing (resulting from the shutdown and reimbursements?)

My feeling is that selling losses and circling in a month can fix a lot of ills... I doubt the sale gets done anytime in the next couple months?  Anyone have any insight on this topic from studying other deals that have been deferred this long? 

ander

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Re: DVA DaVita HealthCare Partners
« Reply #609 on: May 08, 2019, 05:29:15 PM »
BAML published a note today suggesting that figures were in-line

I thought the numbers were awful and the market seems to have reacted accordingly

It doesn't bother me that Thiry wants to step-down, and it's certainly good news if the DMG deal is still on the table, but cash flow doesn't look particularly appealing (resulting from the shutdown and reimbursements?)

My feeling is that selling losses and circling in a month can fix a lot of ills... I doubt the sale gets done anytime in the next couple months?  Anyone have any insight on this topic from studying other deals that have been deferred this long? 

Re: cash flow, CFO said, "This cash flow was adversely impacted by the timing of working capital. There was an increase in accounts receivable as DSOs for the U.S. dialysis and lab business increased sequentially by 4 days to 64 days in Q1 2019 due to some temporary factors that we expect to normalize over the next couple of quarters. We also saw a reduction of accrued compensation due to timing of 401(k) contribution, bonus payments and a reduction in accounts payable."

And they maintained full year cash flow guidance so I gave them the benefit of the doubt re: cash flow. They tend to come in close even if they miss (excluding DMG misses which were awful) given the predictability of the business.

The unit growth number being 2.4% for Q1 versus guidance of 2.5% to 3.5% was slightly concerning but it's only 1 quarter. But more interestingly they called out slight market share loss from the larger competitors (so I'm guessing Fresenius). I wonder if some of that was home dialysis related - if it was that would be a trend to watch closely.

Re: share buybacks they are always coy and have said in the past they are not going to commit themselves to a certain buyback and cause the stock price to go up on that, so there is always some concern that they will just buy something. My guess is that most of it will go towards share buyback.

Re: closing DMG, my guess is that it will now be in the coming weeks given the consistent commentary by UNH and DVA.