WallStSmart

DaVita HealthCare Partners Inc (DVA)vsPennant Group Inc (PNTG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

DaVita HealthCare Partners Inc generates 1340% more annual revenue ($13.64B vs $947.71M). DVA leads profitability with a 5.5% profit margin vs 3.1%. 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

PNTG

Buy

59

out of 100

Grade: C

Growth: 10.0Profit: 5.5Value: 9.3Quality: 5.0
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
PNTGUndervalued (+19.6%)

Margin of Safety

+19.6%

Fair Value

$39.31

Current Price

$31.11

$8.20 discount

UndervaluedFair: $39.31Overvalued

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

PNTG2 strengths · Avg: 10.0/10
Revenue GrowthGrowth
53.2%10/10

Revenue surging 53.2% year-over-year

EPS GrowthGrowth
53.7%10/10

Earnings expanding 53.7% YoY

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

PNTG4 concerns · Avg: 3.5/10
PEG RatioValuation
1.814/10

Expensive relative to growth rate

P/E RatioValuation
37.4x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.09B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
3.1%3/10

3.1% 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 : PNTG

The strongest argument for PNTG centers on Revenue Growth, EPS Growth. Revenue growth of 53.2% demonstrates continued momentum.

Bear Case : DVA

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

Bear Case : PNTG

The primary concerns for PNTG are PEG Ratio, P/E Ratio, Market Cap. Thin 3.1% margins leave little buffer for downturns.

Key Dynamics to Monitor

DVA profiles as a value stock while PNTG is a hypergrowth play — different risk/reward profiles.

PNTG carries more volatility with a beta of 1.28 — expect wider price swings.

PNTG is growing revenue faster at 53.2% — sustainability is the question.

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

Bottom Line

DVA scores higher overall (66/100 vs 59/100). PNTG offers better value entry with a 19.6% 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.

Pennant Group Inc

HEALTHCARE · MEDICAL CARE FACILITIES · USA

The Pennant Group, Inc. provides health care services in Arizona, California, Colorado, Idaho, Iowa, Montana, Nevada, Oklahoma, Oregon, Texas, Utah, Washington, Wisconsin, and Wyoming. The company is headquartered in Eagle, Idaho.

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