Why DaVita, GoDaddy, and Applied Material Stocks are on Sale

Whenever Berkshire Hathaway’s (BRK-B) Warren Buffet sells a stock, look out below. The fund sold DaVita (DVA), causing shares to lose 11.09% last Friday.Berkshire sold $31.7 million worth of DVA stock, or a 1.0% stake. In addition, DaVita offered a weak outlook in its Q4/2024 report. For 2025, DaVita is forecasting operating income growth of 5.2%. This is a range of $2.01 - $2.16 billion. CFO Ackerman said that variable admissions, mortality, and mistreatment rates had an impact on its operating income range.GoDaddy (GDDY) lost 14.28% on Feb. 14, 2024, to close at $182.19. The firm, which handles dotcom registrations, posted revenue of $1.2 billion (+9.1% Y/Y). Average revenue per user could grow by 16% Y/Y. However, the revenue guidance range is conservative.Investors may consider Wix (WIX) instead since it offers better growth prospects.Applied Materials (AMAT) fell after posting Q1 results. Revenue grew by 6.9% Y/Y to $7.17 billion. However, total net revenue for Q2 is below consensus estimates. AMAT blamed China’s slow markets for the weak outlook. Still, the company enjoys strong margins on the Service side.In Q2, the firm expects strong growth from AI-related segments of the market. DRAM, Advanced Logic, and HBM are growth catalysts. However, NAND and DRAM growth will slow, partly a result of China’s slowdown continuing this year.