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CVS

CVS Health NYSE:CVS Stock Report

Last Price

US$97.21

Market Cap

US$127.6b

7D

-4.1%

1Y

13.5%

Updated

27 Sep, 2022

Data

Company Financials +
CVS fundamental analysis
Snowflake Score
Valuation6/6
Future Growth1/6
Past Performance4/6
Financial Health3/6
Dividends5/6

CVS Stock Overview

CVS Health Corporation provides health services in the United States.

CVS Health Competitors

Price History & Performance

Summary of all time highs, changes and price drops for CVS Health
Historical stock prices
Current Share PriceUS$97.21
52 Week HighUS$111.25
52 Week LowUS$81.78
Beta0.72
1 Month Change-2.85%
3 Month Change4.14%
1 Year Change13.48%
3 Year Change55.91%
5 Year Change20.15%
Change since IPO759.31%

Recent News & Updates

Sep 22

CVS Health declares $0.55 dividend

CVS Health (NYSE:CVS) declares $0.55/share quarterly dividend, in line with previous. Forward yield 2.21% Payable Nov. 1; for shareholders of record Oct. 21; ex-div Oct. 20. See CVS Dividend Scorecard, Yield Chart, & Dividend Growth.

Sep 15
Does CVS Health (NYSE:CVS) Have A Healthy Balance Sheet?

Does CVS Health (NYSE:CVS) Have A Healthy Balance Sheet?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Shareholder Returns

CVSUS HealthcareUS Market
7D-4.1%-4.0%-5.8%
1Y13.5%6.3%-22.1%

Return vs Industry: CVS exceeded the US Healthcare industry which returned 5.3% over the past year.

Return vs Market: CVS exceeded the US Market which returned -23.7% over the past year.

Price Volatility

Is CVS's price volatile compared to industry and market?
CVS volatility
CVS Average Weekly Movement3.2%
Healthcare Industry Average Movement8.3%
Market Average Movement6.9%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.8%

Stable Share Price: CVS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: CVS's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1963258,000Karen Lynchhttps://www.cvshealth.com

CVS Health Corporation provides health services in the United States. The company’s Health Care Benefits segment offers traditional, voluntary, and consumer-directed health insurance products and related services. It serves employer groups, individuals, college students, part-time and hourly workers, health plans, health care providers, governmental units, government-sponsored plans, labor groups, and expatriates.

CVS Health Fundamentals Summary

How do CVS Health's earnings and revenue compare to its market cap?
CVS fundamental statistics
Market CapUS$127.62b
Earnings (TTM)US$8.17b
Revenue (TTM)US$306.93b

15.6x

P/E Ratio

0.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CVS income statement (TTM)
RevenueUS$306.93b
Cost of RevenueUS$254.40b
Gross ProfitUS$52.53b
Other ExpensesUS$44.37b
EarningsUS$8.17b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Nov 02, 2022

Earnings per share (EPS)6.22
Gross Margin17.12%
Net Profit Margin2.66%
Debt/Equity Ratio70.7%

How did CVS perform over the long term?

See historical performance and comparison

Dividends

2.3%

Current Dividend Yield

34%

Payout Ratio

Does CVS pay a reliable dividends?

See CVS dividend history and benchmarks
When do you need to buy CVS by to receive an upcoming dividend?
CVS Health dividend dates
Ex Dividend DateOct 20 2022
Dividend Pay DateNov 01 2022
Days until Ex dividend21 days
Days until Dividend pay date33 days

Does CVS pay a reliable dividends?

See CVS dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is CVS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CVS?

Other financial metrics that can be useful for relative valuation.

CVS key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.6x
Enterprise Value/EBITDA9.9x
PEG Ratio1.5x

Price to Earnings Ratio vs Peers

How does CVS's PE Ratio compare to its peers?

CVS PE Ratio vs Peers
The above table shows the PE ratio for CVS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average39.5x
CI Cigna
15.5x8.7%US$84.7b
LH Laboratory Corporation of America Holdings
9.4x-7.8%US$18.7b
DGX Quest Diagnostics
9.6x2.0%US$14.3b
RCM R1 RCM
123.7x42.3%US$7.7b
CVS CVS Health
15.6x10.5%US$127.6b

Price-To-Earnings vs Peers: CVS is good value based on its Price-To-Earnings Ratio (15.6x) compared to the peer average (39.5x).


Price to Earnings Ratio vs Industry

How does CVS's PE Ratio compare vs other companies in the US Healthcare Industry?

Price-To-Earnings vs Industry: CVS is good value based on its Price-To-Earnings Ratio (15.6x) compared to the US Healthcare industry average (18.4x)


Price to Earnings Ratio vs Fair Ratio

What is CVS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CVS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.6x
Fair PE Ratio37.9x

Price-To-Earnings vs Fair Ratio: CVS is good value based on its Price-To-Earnings Ratio (15.6x) compared to the estimated Fair Price-To-Earnings Ratio (37.9x).


Share Price vs Fair Value

What is the Fair Price of CVS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CVS ($97.21) is trading below our estimate of fair value ($325.18)

Significantly Below Fair Value: CVS is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is CVS Health forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


10.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CVS's forecast earnings growth (10.5% per year) is above the savings rate (1.9%).

Earnings vs Market: CVS's earnings (10.5% per year) are forecast to grow slower than the US market (14.7% per year).

High Growth Earnings: CVS's earnings are forecast to grow, but not significantly.

Revenue vs Market: CVS's revenue (4.8% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: CVS's revenue (4.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CVS's Return on Equity is forecast to be low in 3 years time (14.8%).


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Past Performance

How has CVS Health performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


16.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CVS has high quality earnings.

Growing Profit Margin: CVS's current net profit margins (2.7%) are higher than last year (2.6%).


Past Earnings Growth Analysis

Earnings Trend: CVS's earnings have grown by 16.5% per year over the past 5 years.

Accelerating Growth: CVS's earnings growth over the past year (13.2%) is below its 5-year average (16.5% per year).

Earnings vs Industry: CVS earnings growth over the past year (13.2%) exceeded the Healthcare industry 3.2%.


Return on Equity

High ROE: CVS's Return on Equity (10.8%) is considered low.


Discover strong past performing companies

Financial Health

How is CVS Health's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: CVS's short term assets ($62.1B) do not cover its short term liabilities ($68.5B).

Long Term Liabilities: CVS's short term assets ($62.1B) do not cover its long term liabilities ($86.3B).


Debt to Equity History and Analysis

Debt Level: CVS's net debt to equity ratio (50.9%) is considered high.

Reducing Debt: CVS's debt to equity ratio has reduced from 78.3% to 70.7% over the past 5 years.

Debt Coverage: CVS's debt is well covered by operating cash flow (34.7%).

Interest Coverage: CVS's interest payments on its debt are well covered by EBIT (9.9x coverage).


Balance Sheet


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Dividend

What is CVS Health current dividend yield, its reliability and sustainability?

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.26%

Current Dividend Yield

Upcoming Dividend Payment

TodaySep 28 2022Ex Dividend DateOct 20 2022Dividend Pay DateNov 01 202212 days from Ex DividendBuy in the next 21 days to receive the upcoming dividend

Dividend Yield vs Market

CVS Health Dividend Yield vs Market
How does CVS Health dividend yield compare to the market?
SegmentDividend Yield
Company (CVS Health)2.3%
Market Bottom 25% (US)1.7%
Market Top 25% (US)4.7%
Industry Average (Healthcare)1.4%
Analyst forecast in 3 Years (CVS Health)2.4%

Notable Dividend: CVS's dividend (2.26%) is higher than the bottom 25% of dividend payers in the US market (1.67%).

High Dividend: CVS's dividend (2.26%) is low compared to the top 25% of dividend payers in the US market (4.68%).


Stability and Growth of Payments

Stable Dividend: CVS's dividends per share have been stable in the past 10 years.

Growing Dividend: CVS's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (33.9%), CVS's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (18.2%), CVS's dividend payments are well covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average management tenure


CEO

Karen Lynch (59 yo)

1.58yrs

Tenure

US$20,388,412

Compensation

Ms. Karen Sue Lynch serves as Chief Executive Officer, President and Director at CVS Health Corporation since February 01, 2021. She has extensive experience in the health care industry. She was Executive...


CEO Compensation Analysis

Karen Lynch's Compensation vs CVS Health Earnings
How has Karen Lynch's remuneration changed compared to CVS Health's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

US$8b

Mar 31 2022n/an/a

US$8b

Dec 31 2021US$20mUS$1m

US$8b

Sep 30 2021n/an/a

US$8b

Jun 30 2021n/an/a

US$7b

Mar 31 2021n/an/a

US$7b

Dec 31 2020US$11mUS$1m

US$7b

Compensation vs Market: Karen's total compensation ($USD20.39M) is above average for companies of similar size in the US market ($USD13.05M).

Compensation vs Earnings: Karen's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: CVS's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

Experienced Board: CVS's board of directors are considered experienced (7.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

NYSE:CVS Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
17 Mar 22SellUS$180,132Prem ShahIndividual1,689US$106.65
10 Feb 22BuyUS$105,904Edward LudwigIndividual1,000US$105.90

Ownership Breakdown

What is the ownership structure of CVS?
Owner TypeNumber of SharesOwnership Percentage
State or Government583,3570.04%
Individual Insiders3,151,3050.2%
General Public262,957,64720.0%
Institutions1,046,136,49879.7%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 47.44% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
8.7%
The Vanguard Group, Inc.
114,208,329$11.1b2.09%0.26%
7.2%
BlackRock, Inc.
94,478,091$9.2b1.63%0.23%
6.68%
Capital Research and Management Company
87,690,317$8.5b-1.87%0.6%
4.47%
State Street Global Advisors, Inc.
58,684,310$5.7b-0.97%0.32%
1.77%
Morgan Stanley, Investment Banking and Brokerage Investments
23,192,665$2.3b2.62%0.46%
1.77%
Geode Capital Management, LLC
23,188,133$2.3b3.39%0.3%
1.61%
J.P. Morgan Asset Management, Inc.
21,171,777$2.1b11.93%0.39%
1.19%
Columbia Management Investment Advisers, LLC
15,685,087$1.5b8.75%0.46%
1.12%
Northern Trust Global Investments
14,665,961$1.4b0.06%0.29%
1.11%
BNY Mellon Asset Management
14,599,395$1.4b-7.33%0.32%
1.06%
Invesco Ltd.
13,967,407$1.4b-5%0.47%
1.04%
Dodge & Cox
13,709,717$1.3b-2.56%0.79%
0.99%
Norges Bank Investment Management
13,055,500$1.3b0%0.17%
0.99%
UBS Asset Management
12,972,396$1.3b5.11%0.25%
0.89%
Charles Schwab Investment Management, Inc.
11,684,211$1.1b-0.21%0.31%
0.79%
Legal & General Investment Management Limited
10,321,160$1.0b2.18%0.31%
0.79%
Dimensional Fund Advisors LP
10,310,845$1.0b-6.9%0.25%
0.75%
T. Rowe Price Group, Inc.
9,811,248$953.8m-3.77%0.11%
0.74%
Nordea Investment Management AB
9,680,490$941.0m38.63%0.85%
0.67%
Eaton Vance Management
8,840,816$859.4m-0.54%0.33%
0.67%
Boston Partners Global Investors, Inc.
8,751,402$850.7m4.81%0.73%
0.65%
Veritas Asset Management LLP
8,526,923$828.9m-41.91%3.28%
0.64%
Wellington Management Group LLP
8,361,989$812.9m-1.82%0.15%
0.61%
Bank of America Corporation, Asset Management Arm
7,970,466$774.8m7.76%0.31%
0.55%
Merrill Lynch & Co. Inc., Banking Investments
7,213,436$701.2m0.79%0.37%

Company Information

CVS Health Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: CVS Health Corporation
  • Ticker: CVS
  • Exchange: NYSE
  • Founded: 1963
  • Industry: Health Care Services
  • Sector: Healthcare
  • Implied Market Cap: US$127.620b
  • Shares outstanding: 1.31b
  • Website: https://www.cvshealth.com

Number of Employees


Location

  • CVS Health Corporation
  • One CVS Drive
  • Woonsocket
  • Rhode Island
  • 2895
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CVSNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
CVSDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
CVSXTRA (XETRA Trading Platform)YesCommon StockDEEURJan 1968
CVS *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1968
CVSCLSNSE (Santiago Stock Exchange)YesCommon StockCLCLPJan 1968
CVSSNSE (Santiago Stock Exchange)YesCommon StockCLUSDJan 1968
0HRSLSE (London Stock Exchange)YesCommon StockGBUSDJan 1968
CVSETLX (Eurotlx)YesCommon StockITEURJan 1968
CVSWBAG (Wiener Boerse AG)YesCommon StockATEURJan 1968
CVSBVL (Bolsa de Valores de Lima)YesCommon StockPEUSDJan 1968
CVSH34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REP 1 COMBRBRLApr 2016

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/27 00:00
End of Day Share Price2022/09/27 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.