10 Cheap Value Stocks to Invest in According to Warren Buffett

5. DaVita Inc. (NYSE:DVA)

Forward Price to Earnings Ratio: 13.40

Berkshire Hathaway Stake Value: $5.92 Billion

Number of Hedge Fund Holders: 39

DaVita Inc. (NYSE:DVA) is a healthcare company that provides kidney dialysis services to patients suffering from chronic kidney failure. It operates kidney dialysis centres and provides lab services in outpatient dialysis centres. It was one of the best-performing stocks in Berkshire Hathaway’s portfolio after rallying by 40% in 2024. The rally looks set to continue amid growing demand for the company’s kidney dialysis services.

As the largest kidney dialysis provider in the US, the company operates over 2,600 outpatient dialysis centers. DaVita Inc. (NYSE:DVA) also owns and operates an additional 367 centers in 11 countries. Consequently, the company boasts of a diversified and stable business model that affirms its status as a cheap value stock to invest in, according to Warren Buffett.

The company’s long-term outlook remains solid, given that the global dialysis market was valued at about $98.51 billion in 2024. Given that the market is expected to grow at a compound annual growth rate (CAGR) of 7.9% between 2024 and 2032, according to Fortune Business Insight, DaVita Inc. (NYSE:DVA) is well-positioned to benefit as the largest service provider in the sector.