Follow Buffett Into This Healthy Name
Famed investor Warren Buffett has increased its stake in DaVita HealthCare (DVA) by more than 16.5% since the end of the third quarter, per a Form 4 filed Friday. The most recent purchases by his Berkshire-Hathaway (BRK.A) show that the mega-investor has added another 1 million shares in the range of $112.30 to $113 apiece. Buffett first took notice of DaVita in the fourth quarter of last year, when he reported his original 2.7-million-share position. Since that time, the billionaire and Berkshire have been steadily increasing the size of their position in DaVita to nearly 12 million shares, around 12% of the company's common stock outstanding.
A provider of dialysis services for patients with chronic kidney failure, DaVita should benefit from the healthcare reform law, which will expand medical coverage to more than 30 million Americans by 2019. Benefits are expected to begin to take effect by 2014, as dialysis service providers will profit from an aging population and lower expected drug costs....470 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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