DaVita HealthCare Partners (DVA) stock plummeted 9.58% in after-hours trading on Thursday, despite reporting better-than-expected fourth-quarter earnings. The kidney dialysis provider's decline suggests investors were disappointed with the company's full-year 2025 earnings guidance.

For the fourth quarter, DaVita reported adjusted earnings per share of $2.24, surpassing analysts' estimates of $2.14. However, the company's guidance for full-year 2025 earnings in the range of $10.20 to $11.30 per share may have fallen short of investors' expectations, triggering the sharp sell-off in after-hours trading.

While DaVita's Q4 revenue of $3.29 billion and other financial metrics were solid, the market reaction indicates that investors were seeking stronger earnings projections from the healthcare company for the coming year. The after-hours plunge underscores the importance of forward guidance and meeting market expectations, even when a company reports better-than-expected quarterly results.