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

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

Top 10 Highest Paying Jobs in the World

Most Expensive Day-Care in New York City

The 10 Cheapest Places to Retire Abroad

Top 10 Most Expensive Luxury Cars in the World – 2014

Killer Small Business Ideas

The 50 Best Personal Finance Blogs

Most Expensive Apartments in New York City

Bloodiest UFC Fights Ever Fought

Most Expensive Rum Brands in the World

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!