WallStSmart

DaVita HealthCare Partners Inc (DVA)vsHealthcare Services Group Inc (HCSG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

DaVita HealthCare Partners Inc generates 643% more annual revenue ($13.64B vs $1.84B). DVA leads profitability with a 5.5% profit margin vs 3.2%. DVA appears more attractively valued with a PEG of 0.56. DVA earns a higher WallStSmart Score of 66/100 (B-).

DVA

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 7.0Value: 8.7Quality: 4.3
Piotroski: 3/9Altman Z: 1.22

HCSG

Buy

58

out of 100

Grade: C

Growth: 6.7Profit: 5.5Value: 10.0Quality: 9.0
Piotroski: 5/9Altman Z: 4.71
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DVAUndervalued (+11.7%)

Margin of Safety

+11.7%

Fair Value

$163.40

Current Price

$155.11

$8.29 discount

UndervaluedFair: $163.40Overvalued
HCSGUndervalued (+41.2%)

Margin of Safety

+41.2%

Fair Value

$37.91

Current Price

$19.69

$18.22 discount

UndervaluedFair: $37.91Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DVA3 strengths · Avg: 8.7/10
Return on EquityProfitability
64.8%10/10

Every $100 of equity generates 65 in profit

PEG RatioValuation
0.568/10

Growing faster than its price suggests

P/E RatioValuation
16.1x8/10

Attractively priced relative to earnings

HCSG4 strengths · Avg: 9.5/10
EPS GrowthGrowth
172.4%10/10

Earnings expanding 172.4% YoY

Debt/EquityHealth
0.0510/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.7110/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

Areas to Watch

DVA3 concerns · Avg: 2.7/10
Profit MarginProfitability
5.5%3/10

5.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Altman Z-ScoreHealth
1.222/10

Distress zone — elevated risk

HCSG3 concerns · Avg: 3.3/10
PEG RatioValuation
2.394/10

Expensive relative to growth rate

Market CapQuality
$1.39B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
3.2%3/10

3.2% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : DVA

The strongest argument for DVA centers on Return on Equity, PEG Ratio, P/E Ratio. PEG of 0.56 suggests the stock is reasonably priced for its growth.

Bull Case : HCSG

The strongest argument for HCSG centers on EPS Growth, Debt/Equity, Altman Z-Score.

Bear Case : DVA

The primary concerns for DVA are Profit Margin, Piotroski F-Score, Altman Z-Score.

Bear Case : HCSG

The primary concerns for HCSG are PEG Ratio, Market Cap, Profit Margin. Thin 3.2% margins leave little buffer for downturns.

Key Dynamics to Monitor

DVA carries more volatility with a beta of 0.93 — expect wider price swings.

DVA is growing revenue faster at 9.9% — sustainability is the question.

DVA generates stronger free cash flow (395M), providing more financial flexibility.

Monitor MEDICAL CARE FACILITIES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DVA scores higher overall (66/100 vs 58/100). HCSG offers better value entry with a 41.2% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

DaVita HealthCare Partners Inc

HEALTHCARE · MEDICAL CARE FACILITIES · USA

DaVita Inc. provides kidney dialysis services through a network of outpatient dialysis centers in the United States.

Healthcare Services Group Inc

HEALTHCARE · MEDICAL CARE FACILITIES · USA

Healthcare Services Group, Inc. provides management, administrative, and operational services to the cleaning, laundry, bedding, facility maintenance, and dietary services departments of nursing homes, retirement complexes, rehabilitation centers, and hospitals in the United States. . The company is headquartered in Bensalem, Pennsylvania.

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