CVS Health Corporation (NYSE:CVS – Get Free Report) gapped down prior to trading on Wednesday . The stock had previously closed at $104.42, but opened at $93.72. CVS Health shares last traded at $98.14, with a volume of 4,669,111 shares.
CVS Health News Summary
Here are the key news stories impacting CVS Health this week:
- Positive Sentiment: Strong Q2 results: Revenue rose 7.3% year over year to $106.1 billion, while adjusted EPS of $2.58 exceeded the $1.87 consensus estimate. Net income nearly tripled to approximately $3 billion, supported by lower-than-expected medical costs, improved pharmacy profitability and stronger performance at Aetna. CVS raises guidance as it posts nearly $3B in profit, $106B in revenue for Q2
- Positive Sentiment: Guidance and cash flow raised: CVS lifted its 2026 adjusted EPS outlook to $7.90–$8.10 and forecast at least $11.5 billion in operating cash flow, reflecting confidence in Aetna’s Medicare Advantage recovery and continued retail strength. CVS forecasts at least $11.5B in 2026 operating cash flow
- Positive Sentiment: GLP-1 opportunity expanded: A new collaboration with Eli Lilly broadens CVS’s weight-management offering and could create additional value by combining its pharmacy, insurance and care-delivery capabilities. CVS posts sharply improved Q2, details GLP-1 market share plan
- Neutral Sentiment: Valuation view improved: One analyst fair-value estimate increased from $111.92 to $114.88, suggesting constructive longer-term sentiment, although execution and healthcare-policy risks remain. CVS Health stock gets fair value bump
- Negative Sentiment: PBM concerns overshadowed the beat: Management expects Caremark membership declines in 2026, while 340B-related pressure is expected to persist into 2027. These comments raised concerns about future revenue and profit durability, prompting the post-earnings retreat despite the guidance increase. CVS Q2 earnings call pairs Aetna recovery with 2027 PBM risks
Wall Street Analyst Weigh In
A number of brokerages have recently issued reports on CVS. Truist Financial raised their price target on shares of CVS Health from $108.00 to $118.00 and gave the company a “buy” rating in a report on Tuesday, July 14th. Wall Street Zen raised CVS Health from a “hold” rating to a “buy” rating in a report on Thursday, July 23rd. Bank of America increased their target price on shares of CVS Health from $100.00 to $110.00 and gave the stock a “buy” rating in a report on Monday, June 22nd. TD Cowen lifted their price target on shares of CVS Health from $105.00 to $110.00 and gave the company a “buy” rating in a report on Monday, May 11th. Finally, Piper Sandler reiterated an “overweight” rating and issued a $113.00 price target on shares of CVS Health in a research report on Monday, June 1st. Twenty-two equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $106.46.
CVS Health Price Performance
The firm has a 50 day moving average of $102.17 and a 200-day moving average of $87.68. The company has a current ratio of 0.87, a quick ratio of 0.66 and a debt-to-equity ratio of 0.74. The company has a market cap of $121.80 billion, a P/E ratio of 25.23, a P/E/G ratio of 0.90 and a beta of 0.61.
CVS Health (NYSE:CVS – Get Free Report) last posted its quarterly earnings results on Wednesday, August 5th. The pharmacy operator reported $2.58 earnings per share for the quarter, topping the consensus estimate of $1.87 by $0.71. The business had revenue of $106.10 billion during the quarter, compared to the consensus estimate of $100.03 billion. CVS Health had a return on equity of 13.12% and a net margin of 1.18%.The firm’s revenue for the quarter was up 7.3% compared to the same quarter last year. During the same period in the prior year, the company posted $1.81 EPS. CVS Health has set its FY 2026 guidance at 7.900-8.100 EPS. On average, equities research analysts predict that CVS Health Corporation will post 8 EPS for the current year.
CVS Health Announces Dividend
The business also recently announced a quarterly dividend, which was paid on Monday, August 3rd. Investors of record on Thursday, July 23rd were paid a dividend of $0.665 per share. This represents a $2.66 annualized dividend and a yield of 2.8%. The ex-dividend date of this dividend was Thursday, July 23rd. CVS Health’s dividend payout ratio (DPR) is presently 70.37%.
Insider Transactions at CVS Health
In other CVS Health news, Director Larry Robbins sold 370,462 shares of the business’s stock in a transaction on Thursday, May 21st. The shares were sold at an average price of $93.45, for a total value of $34,619,673.90. Following the sale, the director owned 4,824,799 shares in the company, valued at $450,877,466.55. The trade was a 7.13% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. In the last 90 days, insiders have sold 3,372,000 shares of company stock valued at $317,473,598. Insiders own 0.85% of the company’s stock.
Institutional Investors Weigh In On CVS Health
A number of hedge funds have recently made changes to their positions in CVS. Elevation Wealth Partners LLC boosted its holdings in shares of CVS Health by 41.8% in the 2nd quarter. Elevation Wealth Partners LLC now owns 356 shares of the pharmacy operator’s stock worth $37,000 after purchasing an additional 105 shares during the period. Apella Capital LLC raised its holdings in shares of CVS Health by 1.7% in the 2nd quarter. Apella Capital LLC now owns 6,940 shares of the pharmacy operator’s stock valued at $724,000 after purchasing an additional 117 shares in the last quarter. CYBER HORNET ETFs LLC lifted its position in shares of CVS Health by 4.1% in the 3rd quarter. CYBER HORNET ETFs LLC now owns 3,442 shares of the pharmacy operator’s stock worth $259,000 after purchasing an additional 134 shares during the period. LS Investment Advisors LLC increased its holdings in CVS Health by 3.9% during the fourth quarter. LS Investment Advisors LLC now owns 3,575 shares of the pharmacy operator’s stock valued at $284,000 after buying an additional 135 shares during the period. Finally, Moss Adams Wealth Advisors LLC raised its stake in CVS Health by 4.7% in the fourth quarter. Moss Adams Wealth Advisors LLC now owns 3,016 shares of the pharmacy operator’s stock worth $239,000 after buying an additional 135 shares in the last quarter. 80.66% of the stock is currently owned by hedge funds and other institutional investors.
CVS Health Company Profile
CVS Health Corporation is a diversified healthcare company that operates a large network of retail pharmacies, pharmacy benefit management services and health care solutions. Headquartered in Woonsocket, Rhode Island, the company traces its roots to the early 1960s and has grown into an integrated provider of prescription drugs, over‑the‑counter products, clinical services and health insurance offerings. Its operating model combines retail pharmacy locations and in‑store clinics with broader pharmacy and health plan capabilities.
Key business activities include CVS Pharmacy retail operations, MinuteClinic walk‑in medical clinics and HealthHUB locations that offer expanded clinical services.
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