CVS Health (NYSE:CVS) Updates FY20 Earnings Guidance

CVS Health (NYSE:CVS) updated its FY20 earnings guidance on Wednesday. The company provided earnings per share guidance of $7.04-7.17 for the period, compared to the Thomson Reuters consensus earnings per share estimate of $7.15. CVS Health also updated its FY 2020
Pre-Market guidance to 7.04-7.17 EPS.

A number of research firms have recently weighed in on CVS. Raymond James reissued a strong-buy rating and issued a $90.00 target price (up previously from $80.00) on shares of CVS Health in a research note on Wednesday, December 4th. Cantor Fitzgerald boosted their target price on CVS Health from $85.00 to $90.00 and gave the company an overweight rating in a research note on Thursday. ValuEngine raised CVS Health from a strong sell rating to a sell rating in a research note on Friday, January 24th. Mizuho boosted their target price on CVS Health from $71.00 to $82.00 and gave the company a buy rating in a research note on Friday, November 8th. Finally, Oppenheimer began coverage on CVS Health in a research note on Wednesday. They issued a hold rating for the company. One research analyst has rated the stock with a sell rating, seven have given a hold rating, seventeen have assigned a buy rating and two have issued a strong buy rating to the stock. The company has a consensus rating of Buy and an average target price of $78.48.

NYSE:CVS traded down $0.63 during mid-day trading on Friday, reaching $71.37. 7,652,732 shares of the company’s stock traded hands, compared to its average volume of 7,157,139. CVS Health has a 12-month low of $51.72 and a 12-month high of $77.03. The firm has a market capitalization of $95.30 billion, a price-to-earnings ratio of 21.12, a PEG ratio of 1.56 and a beta of 0.93. The company has a debt-to-equity ratio of 1.32, a current ratio of 0.92 and a quick ratio of 0.61. The company has a 50 day moving average price of $72.71 and a 200-day moving average price of $67.58.

CVS Health (NYSE:CVS) last announced its quarterly earnings results on Wednesday, February 12th. The pharmacy operator reported $1.73 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.68 by $0.05. CVS Health had a return on equity of 15.45% and a net margin of 1.83%. The company had revenue of $66.89 billion for the quarter, compared to the consensus estimate of $64.01 billion. During the same quarter in the previous year, the business earned $2.14 EPS. CVS Health’s revenue was up 22.9% compared to the same quarter last year. As a group, analysts forecast that CVS Health will post 7.03 EPS for the current year.

The company also recently announced a quarterly dividend, which was paid on Monday, February 3rd. Shareholders of record on Thursday, January 23rd were issued a dividend of $0.50 per share. The ex-dividend date was Wednesday, January 22nd. This represents a $2.00 dividend on an annualized basis and a dividend yield of 2.80%. CVS Health’s dividend payout ratio (DPR) is 28.25%.

In other CVS Health news, EVP Karen S. Lynch sold 80,143 shares of the company’s stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $75.00, for a total transaction of $6,010,725.00. Following the transaction, the executive vice president now owns 41,831 shares in the company, valued at approximately $3,137,325. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Larry J. Merlo sold 266,476 shares of the company’s stock in a transaction that occurred on Wednesday, January 15th. The stock was sold at an average price of $74.79, for a total value of $19,929,740.04. Following the transaction, the chief executive officer now owns 703,497 shares in the company, valued at approximately $52,614,540.63. The disclosure for this sale can be found here. Insiders have sold a total of 404,182 shares of company stock worth $30,121,266 in the last quarter. Company insiders own 0.53% of the company’s stock.

About CVS Health

CVS Health Corporation provides health services and plans in the United States. Its Pharmacy Services segment offers pharmacy benefit management solutions, such as plan design and administration, formulary management, retail pharmacy network management, mail order pharmacy, specialty pharmacy and infusion, Medicare Part D, clinical, disease management, and medical spend management services.

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Earnings History and Estimates for CVS Health (NYSE:CVS)

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