CVS Health (NYSE:CVS) Releases FY 2026 Earnings Guidance

CVS Health (NYSE:CVS) updated its FY 2026 earnings guidance on Wednesday morning. The company provided earnings per share (EPS) guidance of 7.900-8.100 for the period, compared to the consensus earnings per share estimate of 7.440. The company issued revenue guidance of $414.0M-, compared to the consensus revenue estimate of $409.2 billion.

CVS Health Stock Performance

CVS stock opened at $104.27 on Wednesday. The company has a market cap of $133.04 billion, a P/E ratio of 45.93, a price-to-earnings-growth ratio of 1.03 and a beta of 0.61. The company has a debt-to-equity ratio of 0.78, a current ratio of 0.87 and a quick ratio of 0.66. CVS Health has a 1 year low of $61.35 and a 1 year high of $110.68. The stock’s fifty day moving average price is $101.96 and its 200-day moving average price is $87.43.

CVS Health (NYSE:CVS) last posted its earnings results on Wednesday, August 5th. The pharmacy operator reported $2.58 earnings per share for the quarter, beating analysts’ consensus estimates of $1.86 by $0.72. CVS Health had a return on equity of 11.88% and a net margin of 0.72%.The company had revenue of $106.10 billion for the quarter, compared to the consensus estimate of $100.03 billion. CVS Health has set its FY 2026 guidance at 7.900-8.100 EPS. On average, equities analysts forecast that CVS Health will post 7.46 earnings per share for the current year.

CVS Health Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, August 3rd. Shareholders of record on Thursday, July 23rd were issued a dividend of $0.665 per share. This represents a $2.66 annualized dividend and a yield of 2.6%. The ex-dividend date of this dividend was Thursday, July 23rd. CVS Health’s payout ratio is currently 117.18%.

Analyst Ratings Changes

Several research analysts recently weighed in on the stock. Morgan Stanley upped their target price on shares of CVS Health from $106.00 to $111.00 and gave the stock an “overweight” rating in a report on Thursday, June 4th. TD Cowen lifted their price objective on shares of CVS Health from $105.00 to $110.00 and gave the stock a “buy” rating in a research note on Monday, May 11th. Wall Street Zen raised CVS Health from a “hold” rating to a “buy” rating in a research 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 company a “buy” rating in a research note on Monday, June 22nd. Finally, Argus upped their price target on shares of CVS Health from $90.00 to $104.00 and gave the company a “buy” rating in a report on Thursday, May 14th. Twenty-one research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $105.67.

Insider Activity

In other news, EVP Tilak Mandadi sold 69,551 shares of the firm’s stock in a transaction that occurred on Friday, May 8th. The shares were sold at an average price of $89.58, for a total transaction of $6,230,378.58. Following the transaction, the executive vice president directly owned 10,133 shares of the company’s stock, valued at approximately $907,714.14. This trade represents a 87.28% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Larry Robbins sold 370,462 shares of the company’s stock in a transaction on Thursday, May 21st. The stock was 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 of the company’s stock, valued at approximately $450,877,466.55. This represents a 7.13% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 3,441,551 shares of company stock valued at $323,703,977. 0.85% of the stock is owned by corporate insiders.

Key Headlines Impacting CVS Health

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

• Positive Sentiment: CVS reported second-quarter revenue of $106.1 billion, up 7.3% year over year, while adjusted EPS of $2.58 exceeded the $1.86 analyst consensus. All three major segments—Aetna insurance, pharmacy and health services—surpassed revenue expectations. CVS blows past estimates, hikes guidance as insurance unit continues to improve
• Positive Sentiment: Management raised full-year 2026 adjusted EPS guidance to $7.90–$8.10 from $7.30–$7.50, above the prior analyst consensus of $7.44. Operating cash-flow guidance also increased to at least $11.5 billion from $9.5 billion. CVS Health reports strong second-quarter results and raises guidance
• Positive Sentiment: The results suggest progress at Aetna, where improved performance and bonus payments tied to highly rated government health plans supported profitability. CVS also cited a more profitable drug mix in its pharmacy business. CVS raises annual profit forecast on improved drug revenues
• Positive Sentiment: CVS launched expanded direct-to-consumer weight-management services and a collaboration with Eli Lilly, offering access to Zepbound and other GLP-1 medications through CVS Pharmacy and its app. The initiative could create additional pharmacy, clinic and care-support revenue opportunities. CVS enhances direct-to-consumer weight-management offerings
• Neutral Sentiment: Although profitability improved substantially, CVS continues to operate with a thin reported net margin of 0.72%, leaving investors focused on execution, medical-cost trends and the durability of Aetna’s recovery.

Institutional Investors Weigh In On CVS Health

A number of hedge funds have recently modified their holdings of the business. Sei Investments Co. increased its holdings in shares of CVS Health by 17.4% in the second quarter. Sei Investments Co. now owns 905,715 shares of the pharmacy operator’s stock valued at $62,474,000 after purchasing an additional 134,535 shares during the last quarter. The Manufacturers Life Insurance Company boosted its position in shares of CVS Health by 1.2% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 1,121,377 shares of the pharmacy operator’s stock worth $77,353,000 after purchasing an additional 13,329 shares during the period. Treasurer of the State of North Carolina increased its stake in CVS Health by 1.3% during the 2nd quarter. Treasurer of the State of North Carolina now owns 585,073 shares of the pharmacy operator’s stock worth $40,358,000 after buying an additional 7,588 shares during the period. HUB Investment Partners LLC increased its holdings in CVS Health by 25.0% during the 2nd quarter. HUB Investment Partners LLC now owns 15,063 shares of the pharmacy operator’s stock worth $1,039,000 after purchasing an additional 3,011 shares during the period. Finally, Alliancebernstein L.P. raised its holdings in shares of CVS Health by 8.0% in the 2nd quarter. Alliancebernstein L.P. now owns 1,609,404 shares of the pharmacy operator’s stock valued at $111,017,000 after purchasing an additional 119,439 shares in the last quarter. 80.66% of the stock is currently owned by institutional investors and hedge funds.

About CVS Health

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.