USA Financial Formulas Buys New Shares in CVS Health Corporation $CVS

USA Financial Formulas purchased a new position in shares of CVS Health Corporation (NYSE:CVS) in the third quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 8,165 shares of the pharmacy operator’s stock, valued at approximately $700,000.

A number of other hedge funds have also made changes to their positions in CVS. Handelsbanken Fonder AB increased its holdings in shares of CVS Health by 83.6% in the 2nd quarter. Handelsbanken Fonder AB now owns 1,089,694 shares of the pharmacy operator’s stock valued at $112,729,000 after acquiring an additional 496,124 shares during the last quarter. BNP Paribas raised its position in shares of CVS Health by 105.2% during the 2nd quarter. BNP Paribas now owns 49,971 shares of the pharmacy operator’s stock valued at $5,154,000 after acquiring an additional 25,617 shares in the last quarter. Nykredit A S bought a new position in CVS Health during the second quarter worth $209,813,000. Oppenheimer Asset Management Inc. bought a new position in CVS Health during the second quarter worth $49,622,000. Finally, Bank of America Corp DE boosted its holdings in CVS Health by 148.0% in the second quarter. Bank of America Corp DE now owns 23,188,670 shares of the pharmacy operator’s stock worth $2,398,868,000 after purchasing an additional 13,836,701 shares during the period. Institutional investors and hedge funds own 80.66% of the company’s stock.

Key Headlines Impacting CVS Health

Here are the key news stories impacting CVS Health this week:

• Positive Sentiment: Value and dividend appeal: Zacks identifies CVS as a potentially attractive long-term value stock, while a separate dividend roundup highlights CVS among income-oriented companies. These reports may support investor interest, although they do not represent new company guidance. Why CVS Health Is a Top Value Stock for the Long-Term Dividend roundup
• Positive Sentiment: Care-management and consumer initiatives: CVS Caremark is promoting more connected, personalized pharmacy-benefit experiences. CVS also announced a women’s midlife-health research collaboration and highlighted Signify Health’s at-home heart-rhythm monitoring for eligible members. These efforts could strengthen engagement and differentiate CVS’s health-services platform, but the articles provide no immediate financial targets. CVS Caremark Is Transforming the Health Care Experience CVS Health midlife-health collaboration
• Neutral Sentiment: CVS Caremark appeared in a consumer-focused segment explaining pharmacy benefits as customers evaluate insurance plans. The exposure may improve public understanding of the business but is unlikely to materially affect near-term earnings. CVS Caremark explains pharmacy benefits
• Negative Sentiment: Medicare Advantage exposure: Reports that Medicare Advantage plans, including a CVS plan, will leave New Hampshire raise concerns about membership losses and pressure on the company’s government-business outlook. The specific financial impact was not disclosed. Medical Advantage plans leaving New Hampshire
• Negative Sentiment: Legal overhang: CVS faces a reported $315 million settlement related to allegations involving dangerous opioid prescriptions. Even if the payment is manageable relative to CVS’s size, the matter adds costs and reputational risk. CVS opioid settlement

Wall Street Analysts Forecast Growth

Several analysts have weighed in on CVS shares. JPMorgan Chase & Co. boosted their target price on shares of CVS Health from $111.00 to $118.00 and gave the company an “overweight” rating in a research note on Wednesday, August 12th. Robert W. Baird set a $107.00 price target on shares of CVS Health in a research report on Thursday, August 6th. Royal Bank Of Canada raised their price target on shares of CVS Health from $107.00 to $113.00 and gave the stock an “outperform” rating in a research report on Thursday, July 9th. Piper Sandler set a $112.00 price target on shares of CVS Health in a report on Wednesday, September 9th. Finally, Wells Fargo & Company boosted their price objective on shares of CVS Health from $103.00 to $123.00 and gave the company an “overweight” rating in a research report on Monday, July 13th. Twenty analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $107.80.

CVS Health Stock Down 0.2%

Shares of CVS Health stock opened at $92.41 on Friday. The stock has a market capitalization of $118.19 billion, a price-to-earnings ratio of 24.45, a PEG ratio of 0.86 and a beta of 0.60. CVS Health Corporation has a twelve month low of $69.51 and a twelve month high of $110.68. 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 business’s 50 day simple moving average is $91.74 and its 200-day simple moving average is $93.02.

CVS Health (NYSE:CVS) last released its quarterly earnings data on Wednesday, August 5th. The pharmacy operator reported $2.58 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.87 by $0.71. The business had revenue of $106.10 billion during the quarter, compared to analyst estimates of $100.03 billion. CVS Health had a return on equity of 13.12% and a net margin of 1.18%. The business’s revenue for the quarter was up 7.3% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.81 EPS. CVS Health has set its FY 2026 guidance at 7.900-8.100 EPS. Equities research analysts forecast that CVS Health Corporation will post 8.02 earnings per share for the current year.

CVS Health Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, November 2nd. Shareholders of record on Thursday, October 22nd will be paid a $0.6650 dividend. This represents a $2.66 dividend on an annualized basis and a yield of 2.9%. The ex-dividend date is Thursday, October 22nd. CVS Health’s dividend payout ratio (DPR) is presently 70.37%.

About CVS Health

CVS Health Corporation (NYSE: CVS) is a diversified health care company that provides pharmacy, insurance and health services in the United States. Its businesses serve consumers, employers, health plans and health care providers through pharmacies, benefit programs, insurance coverage and clinical care services.

The company’s Pharmacy Services segment, led by CVS Caremark, manages prescription drug benefits for employers, insurers and government programs. CVS Pharmacy operates retail pharmacies and health-focused stores that dispense prescriptions and offer over-the-counter products, health and wellness merchandise, immunizations and related services.