Warren Buffett Ups Stake in DaVita HealthCare Partners Inc (DVA) to 18%

Warren Buffett is still bullish on DaVita HealthCare Partners Inc (NYSE:DVA) and a couple of days ago Berkshire Hathaway has raised its position in the company by around 1.2 million shares. In this way, Buffett has boosted his position, which is already the largest, to 37.2 million shares of Davita, equal to 18% of the common stock.

Warren Buffett portrait

The securities bought recently by Berkshire have been acquired in six transactions, the price  varying between $67.30 and $67.39 per share.

Berkshire has been raising its position in DaVita HealthCare Partners Inc (NYSE:DVA) for several months, raising the position consistently from around 5.4 million shares as reported holding at the end of 2011.

Since Mr. Buffett is well known for his commitment to long-term investments, DaVita HealthCare Partners Inc (NYSE:DVA) falls under this category, posting solid financial results and a stable stock price growth. The stock is trading over 25 times above its earnings and 16 times above forecasted earnings. The company posted EPS of $0.99 for the last quarter of 2013, slightly above the consensus estimate of $0.98 and higher than the year-ago result of $0.84. At the same time, for the full 2013, the company posted an EPS of $3.81, also higher on the year and beating the consensus estimate. Moreover, the company had a successful 2013, excelling in several areas of its activity, such as patient services or clinical performance.

Analysts also appreciate the company. Deutsche Bank recently upgraded the target price to $74 from the previous $72. JPMorgan Chase & Co. also raised the target price to $75 to $70, among others.

In addition to Berkshire Hathway, which is the largest shareholder of DaVita HealthCare Partners Inc (NYSE:DVA), Stephen Mandel’s Lone Pine Capital is another bullish shareholder, which upped its position by over 30% during the fourth quarter and currently holds almost 8.5 million shares.

Berkshire Hathaway holds only a small percentage of its equity portfolio invested in healthcare stocks, and DaVita HealthCare Partners Inc (NYSE:DVA) is the largest one of them, being also the tenth largest holding in its latest 13F. Another one is Sanofi SA (ADR) (NYSE:SNY), in which the fund owns almost 4.0 million shares.  At the same time, during the October-December period, Berkshire sold out its entire stake in GlaxoSmithKline plc (ADR) (NYSE:GSK), previously holding around 346,000 shares.

Disclosure: none

Recommended Reading

Free Stock Research Report: Hawaiian Holdings, Inc. (HA)

Stonerise Capital Management Trims Its Stake in Cash Store Financial Services Inc (CSFS)

Crosslink Capital Cuts Stake in Pandora Media Inc (P); ESL Investments Sells Some More AutoNation, Inc. (AN) Shares

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Largest Pharmaceutical Companies In the World

The 10 Most Expensive Android Apps

The 9 Most Expensive Designer Bags in the World

The 7 Most Expensive Real Estate in the World

The 10 Most Expensive eBay Items Ever Sold

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!