DaVita Inc (DVA) is undervalued and Fresenius Medical Care AG ADR (FMS) is undervalued.
Against our estimates of intrinsic value, FMS trades at the wider discount: a margin of safety of +48%, against +35% for DVA.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 7.0% (average of 3 methods) values the shares at $284.80; the price of $183.72 is 35% below that value, and 83% of that value comes from beyond year five.
Leak Score 56/100 on 2 of 12 signals
Discounting its cash flows at 7.1% (average of 3 methods) values the shares at $42.92; the price of $22.50 is 48% below that value, and 83% of that value comes from beyond year five.
Leak Score 54/100 on 3 of 12 signals
| Metric | DVA | FMS |
|---|---|---|
| Verdict | Undervalued | Undervalued |
| Price | $183.72 | $22.50 |
| Intrinsic value | $284.80 | $42.92 |
| Margin of safety | +35% | +48% |
| Leak Score | 56/100 (2/12) | 54/100 (3/12) |
| Market cap | $11.7B | $12.0B |
| Revenue growth, 5 years | 3.4% | 1.7% |
| Operating margin | 14.9% | 10.9% |
| Net margin | 5.9% | 4.8% |
| Return on equity | 635.3% | 7.3% |
| Debt to equity | — | 0.87 |
| P/E | 15.5x | 11.6x |
| Forward P/E | 10.8x | 9.2x |
| P/B | — | 0.8x |
| Dividend yield | — | 3.7% |