-0.46%
26.00%
0.18%
-6.25%
-23.95%
-46.90%
-16.60%
AI Spotlight on CVS
Company Description
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.
Its Pharmacy Services segment offers pharmacy benefit management solutions, including plan design and administration, formulary management, retail pharmacy network management, mail order pharmacy, specialty pharmacy and infusion, clinical, and disease and medical spend management services.It serves employers, insurance companies, unions, government employee groups, health plans, prescription drug plans, Medicaid managed care plans, plans offered on public health insurance and private health insurance exchanges, other sponsors of health benefit plans, and individuals.This segment operates retail specialty pharmacy stores; and specialty mail-order, mail-order dispensing, and compounding pharmacies, as well as branches for infusion and enteral nutrition services.
The company's Retail/LTC segment sells prescription and over-the-counter drugs, consumer health and beauty products, and personal care products; and provides health care services through its MinuteClinic walk-in medical clinics.This segment also distributes prescription drugs; and provides related pharmacy consulting and other ancillary services to care facilities and other care settings.As of December 31, 2021, it operated approximately 9,900 retail locations and 1,200 MinuteClinic locations, as well as online retail pharmacy websites, LTC pharmacies, and onsite pharmacies.
The company was formerly known as CVS Caremark Corporation and changed its name to CVS Health Corporation in September 2014.CVS Health Corporation was founded in 1963 and is headquartered in Woonsocket, Rhode Island.
Market Data
| Last Price | 56.56 |
| Change Percentage | -0.46% |
| Open | 56.75 |
| Previous Close | 56.82 |
| Market Cap ( Millions) | 71176 |
| Volume | 6642355 |
| Year High | 80.75 |
| Year Low | 43.56 |
| M A 50 | 51.85 |
| M A 200 | 57.6 |
Financial Ratios
| FCF Yield | 2.37% |
| Dividend Yield | 4.71% |
| ROE | 6.68% |
| Debt / Equity | 110.35% |
| Net Debt / EBIDTA | 533.97% |
| Price To Book | 0.95 |
| Price Earnings Ratio | 14.18 |
| Price To FCF | 42.14 |
| Price To sales | 0.19 |
| EV / EBITDA | 10.35 |
News
- Jan -30 - CVS Health (CVS) Stock Declines While Market Improves: Some Information for Investors
- Jan -30 - CVS Health stock price is recovering: Feb 12 will be crucial
- Jan -30 - CVS shares nudge lower after trading update
- Jan -29 - CVS and Other Healthcare Stocks Are Soaring. Why the Sector Is No Longer Sick.
- Jan -29 - Should You Buy CVS Health Stock Before Feb. 12?
- Jan -28 - Introducing the CVS Health® app: Your go-to companion for health & wellness
- Jan -28 - Momentum Grows for These 3 Healthcare Stocks
- Jan -24 - CVS Health (CVS) Increases Despite Market Slip: Here's What You Need to Know
- Jan -24 - Walgreens Boots Alliance vs. CVS Health: What's the Better Turnaround Play?
- Jan -23 - CVS Health Foundation grants $4 million as part of its new healthy aging initiative
- Jan -21 - Rose's Income Garden Portfolio Revealed: Yield 6.2%/Defensive Sector Winners
- Jan -17 - CVS Health Isn't Going To The Dogs
- Jan -16 - CVS Health (CVS) Suffers a Larger Drop Than the General Market: Key Insights
- Jan -16 - Will UNH, HUM & CVS be the Top Beneficiaries of the $21B MA Boom?
- Jan -15 - FTC Report Reveals PBM Practices Impacting Competition and Drug Costs
- Jan -15 - 3 Undervalued Stocks Wall Street Predicts Will Rally 50% or More
- Jan -15 - 3 Dividend Stocks at Bargain Levels to Defend Your Portfolio
- Jan -14 - Big Gains Ahead for Medicare Advantage Sellers as Payments Set to Grow
- Jan -13 - CVS Health to hold fourth quarter and full year 2024 earnings conference call
- Jan -13 - 2 Beaten-Down Dividend Stocks to Buy in 2025
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Health Services
Expected Growth : 4.5 %
What the company do ?
CVS Health's Health Services provide a range of healthcare solutions, including pharmacy benefit management, specialty pharmacy, and disease management programs.
Why we expect these perspectives ?
CVS Health's 4.5% growth in Health Services is driven by increasing demand for pharmacy benefit management, expansion of Medicare Advantage and Medicaid plans, growth in specialty pharmacy, and investments in digital health and analytics. Additionally, the company's Aetna acquisition has enhanced its capabilities in healthcare services, further fueling growth.
Segment n°2 -> Pharmacy and Consumer Wellness
Expected Growth : 4.8 %
What the company do ?
Pharmacy and Consumer Wellness from CVS Health Corporation offers a range of healthcare services, including retail pharmacy, specialty pharmacy, and clinic services, to promote consumer wellness.
Why we expect these perspectives ?
CVS Health's Pharmacy and Consumer Wellness segment growth of 4.8% is driven by increased prescription volumes, expansion of Medicare and Medicaid plans, and growth in specialty pharmacy services. Additionally, investments in digital health platforms, retail store remodels, and enhanced customer experiences contribute to the segment's growth.
Segment n°3 -> Health Care Benefits
Expected Growth : 5.2 %
What the company do ?
CVS Health Corporation offers comprehensive health care benefits, including medical, dental, and vision coverage, as well as wellness programs and employee assistance.
Why we expect these perspectives ?
CVS Health Corporation's 5.2% growth in Health Care Benefits is driven by increasing demand for Medicare Advantage plans, expansion of Aetna's insurance offerings, and growth in pharmacy benefit management services. Additionally, the company's focus on digital health and investments in care management platforms are contributing to its growth momentum.
Segment n°4 -> Intersegment Eliminations
Expected Growth : 0 %
What the company do ?
Intersegment Eliminations from CVS Health Corporation refers to the elimination of revenues and expenses between different business segments within the company to present a consolidated financial picture.
Why we expect these perspectives ?
CVS Health Corporation's Intersegment Eliminations with 0% growth is driven by the offsetting effects of pharmacy benefit management and retail pharmacy sales, as well as the consolidation of subsidiaries, resulting in no net impact on revenue.
Segment n°5 -> Corporate/Other
Expected Growth : 3.8 %
What the company do ?
Corporate/Other from CVS Health Corporation refers to the unallocated corporate expenses, investments, and other miscellaneous operations not attributed to any specific business segment.
Why we expect these perspectives ?
CVS Health's Corporate/Other segment growth of 3.8% is driven by increased investments in digital transformation, expansion of healthcare services, and strategic partnerships. Additionally, the company's focus on cost savings initiatives and operational efficiencies have contributed to the segment's growth.
Cvs Health Corporation Products
| Product Range | What is it ? |
|---|---|
| Retail Pharmacy | CVS Health operates a chain of retail pharmacies that offer prescription filling, health clinics, and other health-related services. |
| Pharmacy Benefit Management (PBM) | CVS Health's PBM business, CVS Caremark, manages prescription drug benefits for health plans, employers, and government programs. |
| Specialty Pharmacy | CVS Health's specialty pharmacy business provides medications and services for complex, chronic, and rare conditions. |
| MinuteClinic | MinuteClinic is a retail health clinic chain that provides walk-in medical care for minor illnesses and injuries. |
| Long-Term Care Pharmacy | CVS Health's long-term care pharmacy business provides medications and services to residents of long-term care facilities. |
| Coram Infusion Services | Coram is a home infusion services company that provides medications and care to patients with complex conditions. |
CVS Health Corporation's Porter Forces
Threat Of Substitutes
CVS Health Corporation operates in a highly competitive industry, and there are many substitutes available to customers. However, the company's strong brand recognition and extensive network of pharmacies and clinics help to mitigate the threat of substitutes.
Bargaining Power Of Customers
CVS Health Corporation's customers have some bargaining power due to the availability of substitutes, but the company's strong brand recognition and extensive network of pharmacies and clinics help to reduce this power.
Bargaining Power Of Suppliers
CVS Health Corporation's suppliers have some bargaining power due to the company's reliance on them for pharmaceuticals and other products. However, the company's large size and scale of operations help to mitigate this power.
Threat Of New Entrants
The threat of new entrants is low due to the high barriers to entry in the healthcare industry, including the need for significant capital investment and regulatory approvals.
Intensity Of Rivalry
The intensity of rivalry in the healthcare industry is high due to the presence of many competitors, including other pharmacy benefit managers, retail pharmacies, and healthcare providers.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 50.94% |
| Debt Cost | 4.47% |
| Equity Weight | 49.06% |
| Equity Cost | 6.71% |
| WACC | 5.57% |
| Leverage | 103.82% |
CVS Health Corporation : Quality Control
CVS Health Corporation passed 3 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| UNH | UnitedHealth Group Incorporated operates as a diversified health care company in the United States. It operates through four segments: UnitedHealthcare, Optum Health, Optum Insight, and Optum Rx. The UnitedHealthcare segment … |
| HUM | Humana Inc., together with its subsidiaries, operates as a health and well-being company in the United States. It operates through three segments: Retail, Group and Specialty, and Healthcare Services. The … |
| ELV | Elevance Health Inc. operates as a health benefits company. It supports consumers, families, and communities across the entire care journey connecting to the care, support, and resources to lead healthier … |
| CNC | Centene Corporation operates as a multi-national healthcare enterprise that provides programs and services to under-insured and uninsured individuals in the United States. Its Managed Care segment offers health plan coverage … |
| MCK | McKesson Corporation provides healthcare services in the United States and internationally. It operates through four segments: U.S. Pharmaceutical, International, Medical-Surgical Solutions, and Prescription Technology Solutions (RxTS). The U.S. Pharmaceutical segment … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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McKesson
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UnitedHealth
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Elevance Health
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CVS Health
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5
Centene
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1-Year Total Return ->
6
