Latest Ratios: P/E Ratio 19.3x · EV/EBITDA 9.6x · ROE 46.0%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $11.8B | $10.0B | $13.1B | $9.8B | $7.2B | $12.5B | $14.4B | $11.5B | $8.9B | $13.8B | $13.2B |
| Enterprise Value | $26.0B | $24.3B | $24.3B | $20.5B | $18.7B | $24.0B | $25.3B | $21.6B | $18.6B | $22.7B | $21.4B |
| P/E Ratio → | 19.26 | 11.95 | 13.94 | 14.12 | 13.08 | 12.78 | 18.37 | 14.24 | 11.24 | 20.82 | 14.97 |
| P/S Ratio | 0.86 | 0.73 | 1.02 | 0.80 | 0.62 | 1.08 | 1.25 | 1.01 | 0.78 | 1.27 | 0.89 |
| P/B Ratio | 13.93 | 8.64 | 6.24 | 3.56 | 3.22 | 5.28 | 4.97 | 3.30 | 1.76 | 2.34 | 2.26 |
| P/FCF | 8.97 | 7.64 | 8.90 | 6.55 | 7.45 | 9.70 | 11.04 | 8.84 | 11.31 | 13.79 | 11.60 |
| P/OCF | 6.23 | 5.31 | 6.45 | 4.74 | 4.57 | 6.48 | 7.27 | 5.57 | 5.01 | 7.25 | 6.70 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.78 | 1.90 | 1.69 | 1.61 | 2.07 | 2.19 | 1.90 | 1.64 | 2.08 | 1.45 |
| EV / EBITDA | 9.56 | 8.91 | 8.64 | 8.73 | 9.04 | 9.69 | 10.87 | 9.57 | 8.81 | 9.55 | 8.41 |
| EV / EBIT | 12.96 | 12.61 | 12.16 | 13.01 | 14.16 | 13.32 | 15.57 | 13.19 | 12.14 | 12.38 | 10.48 |
| EV / FCF | — | 18.54 | 16.59 | 13.75 | 19.49 | 18.63 | 19.37 | 16.55 | 23.77 | 22.60 | 18.82 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 27.0% | 27.0% | 32.9% | 31.5% | 29.3% | 31.4% | 30.8% | 30.5% | 28.1% | 29.8% | 22.2% |
| Operating Margin | 14.7% | 14.7% | 16.3% | 13.2% | 11.5% | 15.5% | 14.7% | 14.4% | 13.4% | 16.7% | 13.8% |
| Net Profit Margin | 5.5% | 5.5% | 7.3% | 5.7% | 4.8% | 8.4% | 6.7% | 7.1% | 1.4% | 6.1% | 6.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 46.0% | 46.0% | 38.7% | 27.8% | 24.4% | 37.1% | 24.2% | 19.0% | 2.9% | 11.3% | 14.9% |
| ROA | 4.3% | 4.3% | 5.5% | 4.1% | 3.3% | 5.7% | 4.5% | 4.5% | 0.8% | 3.5% | 4.7% |
| ROIC | 10.5% | 10.5% | 11.7% | 8.8% | 7.3% | 9.8% | 9.3% | 8.7% | 7.7% | 9.4% | 10.9% |
| ROCE | 14.0% | 14.0% | 14.6% | 11.2% | 9.2% | 12.3% | 11.5% | 11.3% | 10.1% | 11.3% | 12.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 12.99 | 12.99 | 5.77 | 4.05 | 5.31 | 5.05 | 3.86 | 3.19 | 2.01 | 1.58 | 1.56 |
| Debt / EBITDA | 5.52 | 5.52 | 4.29 | 4.73 | 5.71 | 4.83 | 4.81 | 4.95 | 4.77 | 3.93 | 3.59 |
| Net Debt / Equity | — | 12.34 | 5.39 | 3.91 | 5.20 | 4.86 | 3.75 | 2.88 | 1.94 | 1.50 | 1.41 |
| Net Debt / EBITDA | 5.24 | 5.24 | 4.01 | 4.57 | 5.59 | 4.65 | 4.67 | 4.46 | 4.62 | 3.72 | 3.23 |
| Debt / FCF | — | 10.90 | 7.69 | 7.20 | 12.05 | 8.93 | 8.33 | 7.71 | 12.47 | 8.81 | 7.23 |
| Interest Coverage | 3.51 | 3.51 | 4.25 | 3.95 | 3.71 | 6.32 | 5.33 | 3.69 | 3.15 | 4.25 | 4.92 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.29 | 1.29 | 1.26 | 1.19 | 1.20 | 1.32 | 1.27 | 1.56 | 1.72 | 2.88 | 1.48 |
| Quick Ratio | 1.24 | 1.24 | 1.21 | 1.13 | 1.16 | 1.28 | 1.23 | 1.51 | 1.70 | 2.82 | 1.41 |
| Cash Ratio | 0.25 | 0.25 | 0.28 | 0.15 | 0.12 | 0.20 | 0.14 | 0.47 | 0.07 | 0.18 | 0.37 |
| Asset Turnover | — | 0.78 | 0.74 | 0.72 | 0.69 | 0.68 | 0.68 | 0.66 | 0.60 | 0.57 | 0.79 |
| Inventory Turnover | 62.00 | 62.00 | 63.90 | 58.14 | 75.23 | 74.21 | 71.57 | 80.80 | 76.32 | 42.02 | 45.08 |
| Days Sales Outstanding | — | 79.16 | 72.85 | 72.64 | 80.19 | 75.73 | 77.07 | 73.88 | 76.71 | 72.60 | 44.36 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 5.2% | 8.4% | 7.2% | 7.1% | 7.6% | 7.8% | 5.4% | 7.0% | 8.9% | 4.8% | 6.7% |
| FCF Yield | 11.1% | 13.1% | 11.2% | 15.3% | 13.4% | 10.3% | 9.1% | 11.3% | 8.8% | 7.2% | 8.6% |
| Buyback Yield | 15.2% | 17.9% | 10.6% | 2.8% | 11.2% | 12.8% | 10.1% | 20.7% | 13.1% | 5.8% | 8.3% |
| Total Shareholder Yield | 15.2% | 17.9% | 10.6% | 2.8% | 11.2% | 12.8% | 10.1% | 20.7% | 13.1% | 5.8% | 8.3% |
| Shares Outstanding | — | $88M | $87M | $93M | $96M | $110M | $123M | $154M | $172M | $191M | $205M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying DVA stock.
DaVita Inc.'s current P/E ratio is 19.3x. The historical average is 24.7x. This places it at the 64th percentile of its historical range.
DaVita Inc.'s current EV/EBITDA is 9.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 9.9x.
DaVita Inc.'s return on equity (ROE) is 46.0%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 22.1%.
Based on historical data, DaVita Inc. is trading at a P/E of 19.3x. This is at the 64th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
DaVita Inc. has 27.0% gross margin and 14.7% operating margin. Operating margin between 10-20% is typical for established companies.
DaVita Inc.'s Debt/EBITDA ratio is 5.5x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
High leverage and payer mix
Metrics are mathematically derived from official filings.
Margin Resilience Amidst Payer Mix Pressures
DaVita's gross margin expanded to 32.7% in Q2 2026 from 32.3% a year earlier, per quarterly reports, while operating margin improved to 16.1%, reflecting disciplined cost management despite labor headwinds.
The sequential improvement in gross margin from 28.3% in Q4 2025 to 32.7% in Q2 2026 suggests that recent pricing actions and mix shifts toward commercial payers are offsetting wage inflation. Operating margin of 16.1% in Q2 2026 is near the top of the trailing eight-quarter range, indicating that the company is capturing operating leverage as revenue grows modestly. However, net margin of 7.5% remains below the 7.9% reported in Q4 2024, implying that higher interest expense and non-controlling interests are absorbing a larger share of operating profits.
ROE Surge Masks Underlying Capital Intensity
ROE jumped to 24.9% in Q2 2026 from 8.9% in Q1 2024, according to financial statements, but this is largely a function of a shrinking equity base from buybacks, not operational improvement.
ROIC has remained remarkably stable, hovering between 2.4% and 3.5% over the past ten quarters, indicating that the underlying business generates modest returns on invested capital. The dramatic rise in ROE from 8.9% to 24.9% is driven by the erosion of shareholders' equity, which turned negative in Q2 2026, rather than by enhanced operational efficiency. Investors should interpret ROE with caution, as the negative equity base distorts the metric and does not reflect genuine value creation.
Working Capital Cycle Lengthens Slightly
DaVita's cash conversion cycle extended to 56 days in Q2 2026 from 64 days in Q1 2024, as reported in quarterly data, driven by a rise in days sales outstanding to 77 days.
DSO has crept up from 72 days in Q4 2024 to 77 days in Q2 2026, suggesting that collections from commercial and government payers are slowing, which may reflect increased claim denials or administrative friction. DPO has also increased from 21 to 27 days over the same period, partially offsetting the DSO drag, but the net effect is a modestly longer cash cycle. This trend warrants monitoring, as a sustained lengthening could pressure free cash flow, especially given the company's high leverage.
Leverage Elevated Despite Recent Deleveraging
Debt-to-equity improved to 9.99 in Q2 2026 from 12.99 in Q4 2025, per balance sheet data, but remains far above peers like Fresenius at 0.76, signaling persistent balance sheet strain.
Interest coverage of 4.0x in Q2 2026 is adequate but has deteriorated from 4.8x in Q2 2024, reflecting higher debt levels and rising interest costs. The D/EBITDA ratio of 14.6x is extremely high, though this is partly distorted by the negative equity base; on an enterprise basis, leverage remains substantial. Given the 'higher-for-longer' rate environment, refinancing risk is a live concern, and the company's ability to continue aggressive buybacks may be constrained.
Liquidity Buffer Thin but Stable
Current ratio improved to 1.47 in Q2 2026 from 1.29 in Q4 2025, as per balance sheet data, with quick ratio at 1.41, indicating a modest cushion against short-term obligations.
The liquidity position appears adequate for near-term needs, but the buffer is thin relative to the company's operating scale and debt load. Cash of $669M provides limited coverage against the $10.8B debt stack, and the reliance on revolving credit facilities may increase in a stress scenario. The stable current ratio suggests no imminent liquidity crisis, but investors should monitor any deterioration in working capital metrics.
Misapplied ROE in a Negative Equity Context
ROE is the most misapplied ratio for DaVita because negative shareholders' equity makes the metric meaningless, as evidenced by the 24.9% ROE in Q2 2026 despite a negative equity base.
Traditional ROE analysis fails to capture the economic reality of a company that has levered up to fund buybacks, driving equity below zero. Instead, investors should focus on ROIC, which remains stable at 3.5%, or on cash flow returns such as FCF yield, to assess true value creation. The negative equity also distorts D/E and other leverage ratios, so analysts should use EV/EBITDA or net debt/EBITDA for a more accurate picture of financial risk.