DaVita HealthCare Partners Inc (DVA)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 142.71 | 16.00 | 23.76 | 22.66 | 12.28 |
DaVita HealthCare Partners Inc has consistently maintained a strong solvency position as evidenced by its consistently low debt-to-assets, debt-to-capital, and debt-to-equity ratios, all of which were reported as 0.00 over the five-year period from 2020 to 2024. These ratios suggest that the company operates with minimal financial leverage and is able to finance its operations primarily through equity and retained earnings rather than debt.
However, the financial leverage ratio for DaVita HealthCare Partners Inc has shown significant fluctuation during this period, starting at 12.28 in 2020 and reaching a peak of 142.71 in 2024. This suggests that the company's reliance on debt as a source of financing increased substantially in 2024 compared to the previous years.
Overall, while DaVita HealthCare Partners Inc's debt ratios indicate a strong solvency position, investors and stakeholders may want to monitor the trend in the financial leverage ratio to ensure that the company's increasing debt levels do not pose a risk to its long-term financial stability.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | 4.72 | 4.06 | 3.67 | 6.07 | 5.37 |
The interest coverage ratios for DaVita HealthCare Partners Inc over the past five years demonstrate their ability to meet interest obligations. The ratio has shown some fluctuations, ranging from 3.67 to 6.07, which reveals variability in their capacity to cover interest expenses from operating income. Generally, a higher interest coverage ratio indicates a stronger ability to pay interest costs. DaVita's ratios show a moderate level of coverage, with an average interest coverage of approximately 4.76 over the period. It is important for the company to maintain a healthy interest coverage ratio to ensure sufficient earnings to cover interest expenses and reassure lenders and investors about the company's financial viability.