CVS Health (NYSE:CVS) Raised to “Strong-Buy” at Wall Street Zen

CVS Health (NYSE:CVS) was upgraded by analysts at Wall Street Zen from a “buy” rating to a “strong-buy” rating in a note issued to investors on Sunday, Wall Street Zen reports.

A number of other research firms have also recently issued reports on CVS. JPMorgan Chase & Co. lifted their price objective on CVS Health from $111.00 to $118.00 and gave the company an “overweight” rating in a research report on Wednesday, August 12th. Wells Fargo & Company boosted their target price on CVS Health from $103.00 to $123.00 and gave the company an “overweight” rating in a research note on Monday, July 13th. Robert W. Baird set a $107.00 target price on CVS Health in a research report on Thursday, August 6th. HSBC reaffirmed a “hold” rating and set a $103.00 price target on shares of CVS Health in a research note on Monday, July 6th. Finally, Sanford C. Bernstein reiterated an “outperform” rating and set a $112.00 price target on shares of CVS Health in a report on Wednesday, September 9th. Twenty investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, CVS Health currently has an average rating of “Moderate Buy” and an average price target of $107.80.

CVS Health Stock Performance

Shares of CVS opened at $87.93 on Friday. The company’s 50 day moving average price is $92.39 and its 200 day moving average price is $92.63. CVS Health has a 52 week low of $69.51 and a 52 week high of $110.68. The company has a market capitalization of $112.46 billion, a PE ratio of 23.26, a PEG ratio of 0.80 and a beta of 0.60. The company has a debt-to-equity ratio of 0.74, a quick ratio of 0.66 and a current ratio of 0.87.

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

Hedge Funds Weigh In On CVS Health

A number of institutional investors have recently modified their holdings of the company. Elevation Wealth Partners LLC boosted its holdings in CVS Health by 41.8% in the 2nd quarter. Elevation Wealth Partners LLC now owns 356 shares of the pharmacy operator’s stock valued at $37,000 after purchasing an additional 105 shares during the period. Apella Capital LLC grew its position in shares of CVS Health by 1.7% during the 2nd quarter. Apella Capital LLC now owns 6,940 shares of the pharmacy operator’s stock worth $724,000 after purchasing an additional 117 shares in the last quarter. Wellington Altus USA Inc. increased its holdings in shares of CVS Health by 13.3% during the second quarter. Wellington Altus USA Inc. now owns 1,025 shares of the pharmacy operator’s stock worth $106,000 after purchasing an additional 120 shares during the period. CoreCap Advisors LLC increased its holdings in shares of CVS Health by 4.2% during the second quarter. CoreCap Advisors LLC now owns 3,481 shares of the pharmacy operator’s stock worth $360,000 after purchasing an additional 139 shares during the period. Finally, AGP Franklin LLC increased its holdings in shares of CVS Health by 1.3% during the first quarter. AGP Franklin LLC now owns 11,563 shares of the pharmacy operator’s stock worth $830,000 after purchasing an additional 146 shares during the period. Institutional investors own 80.66% of the company’s stock.

CVS Health News Roundup

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

• Positive Sentiment: Analyst sentiment remains supportive. Wall Street’s average brokerage recommendation is favorable, and Wall Street Zen upgraded CVS to “Strong Buy.” Leerink Partners also maintained an “Outperform” rating and its revised $112 price target implies substantial upside from recent trading levels, despite the reduction from $119. CVS Health Price Target Cut by Leerink Partners Wall Street Zen Upgrades CVS Health
• Positive Sentiment: Long-term distribution support improves business visibility. McKesson reached an agreement in principle to extend its pharmaceutical distribution partnership with CVS through June 2032, covering mail-order, specialty, retail pharmacy and distribution-center operations. The agreement reinforces a longstanding supplier relationship and may provide operational stability. McKesson Extends CVS Deal
• Positive Sentiment: Expansion and valuation are attracting investor interest. CVS is opening nearly 20 smaller neighborhood pharmacy locations in 2026. Its diversified insurance, pharmacy-benefit-management and retail businesses, along with a valuation viewed by some analysts as undemanding, support the potential recovery case. CVS Opens New Pharmacy Sites
• Neutral Sentiment: Valuation upside depends on earnings execution. CVS’s scale and multiple revenue streams may offer value, but investors need evidence that management can convert them into stronger profits as reimbursement pressure, rising medical costs and regulatory scrutiny persist. CVS Health Valuation Suggests Opportunity
• Negative Sentiment: Medicare Advantage and legal risks remain overhangs. Aetna’s Medicare Advantage star-rating setbacks could pressure reimbursement and profitability, while a legal probe adds uncertainty to the investment case. These concerns temper the bullish valuation and analyst views. Pharmacy Formats and Aetna Star Ratings at CVS

CVS Health Company Profile

CVS Health Corp. is an integrated health care company that provides pharmacy, insurance and health services primarily in the United States. Its operations are designed to connect consumers, health plans, health care providers and pharmacy services across multiple points of care.

The company’s major businesses include CVS Pharmacy retail locations, prescription fulfillment and consumer health products; CVS Caremark, a pharmacy benefit management business; and Aetna, which offers health insurance products and related services for employers, individuals, government programs and other organizations.