The invention provides a diverter valve assembly for use with multiple water discharge fixtures, such as a shower head and a hand-held sprayer. The diverter valve assembly includes a valve body having an inlet port and multiple outlet ports, a rotatable valve core and a rotation knob. Rotational positioning of an elastic cup seal on the valve core blocks water flow at any of the inlet port and the outlet ports, allowing water flow from a single water source to one of the water discharge fixtures at a time, or to both of the water discharge fixtures simultaneously. The diverter valve assembly also includes a holder for storing the hand-held sprayer.