DeVita reported 3rd quarter 2009 results after the market closed. For the 3rd quarter DVA reported net income of $110.9 million or $1.06 per share. 2008 3rd quarter was $93.9 million net income and EPS of $0.89 which is an 18.10% growth in net income.
The company also announced a great future outlook as it raised is previous guidance for 2009 from $900-$930 million to $930-$950 million. They expect their operating income for 2010 to be in the range of $950 million to $1.02 billion
Key ratios to note
ROE 20.31% for 2008 and 20.86% TTM
P/E 14.3 vs. 5 year average of 18.9
P/S 1.0 vs. 5 year average of 1.4
P/B 2.8 vs. 5 year average of 4.9
Adjusting the current price back to the stocks 5 year average my intrinsic value estimate is $81.10
if the stock reaches its' fair value estimate the return would be 49.08%
Looking over the company's financial reports I am impressed with it's ability to continually expand and experience growth in earnings and revenue.
If anyone would like a more detailed analysis please let me know via comments.
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