CVS Health (NYSE:CVS) Shares Gap Up – Time to Buy?

CVS Health Corporation (NYSE:CVS) gapped up before the market opened on Tuesday . The stock had previously closed at $73.28, but opened at $77.42. CVS Health shares last traded at $76.81, with a volume of 3,863,623 shares trading hands.

Analyst Upgrades and Downgrades

CVS has been the subject of several analyst reports. Bank of America lowered their price objective on CVS Health from $100.00 to $95.00 and set a “buy” rating for the company in a research note on Tuesday, January 27th. Piper Sandler lowered their price objective on CVS Health from $101.00 to $99.00 and set an “overweight” rating for the company in a research note on Tuesday, March 31st. The Goldman Sachs Group raised their price objective on CVS Health from $95.00 to $97.00 and gave the company a “buy” rating in a research note on Thursday, February 12th. Argus lowered their price objective on CVS Health from $91.00 to $90.00 and set a “buy” rating for the company in a research note on Wednesday, January 28th. Finally, Weiss Ratings reaffirmed a “hold (c-)” rating on shares of CVS Health in a research note on Monday, December 29th. Twenty equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat, CVS Health has an average rating of “Moderate Buy” and an average price target of $94.95.

CVS Health Price Performance

The company has a current ratio of 0.84, a quick ratio of 0.63 and a debt-to-equity ratio of 0.80. The stock has a market capitalization of $99.52 billion, a P/E ratio of 56.62, a price-to-earnings-growth ratio of 0.77 and a beta of 0.51. The stock has a 50 day moving average of $75.52 and a 200-day moving average of $77.72.

CVS Health (NYSE:CVS) last issued its quarterly earnings results on Tuesday, February 10th. The pharmacy operator reported $1.09 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.00 by $0.09. CVS Health had a return on equity of 11.31% and a net margin of 0.44%.The firm had revenue of $105.69 billion during the quarter, compared to analyst estimates of $103.67 billion. During the same period last year, the company earned $1.19 EPS. CVS Health’s quarterly revenue was up 8.2% compared to the same quarter last year. CVS Health has set its FY 2026 guidance at 5.940-6.140 EPS. On average, equities research analysts anticipate that CVS Health Corporation will post 5.89 earnings per share for the current fiscal year.

CVS Health Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, May 4th. Investors of record on Thursday, April 23rd will be paid a dividend of $0.665 per share. This represents a $2.66 dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date of this dividend is Thursday, April 23rd. CVS Health’s dividend payout ratio (DPR) is currently 192.75%.

Institutional Investors Weigh In On CVS Health

A number of institutional investors and hedge funds have recently bought and sold shares of CVS. National Pension Service increased its holdings in shares of CVS Health by 3.1% in the 3rd quarter. National Pension Service now owns 3,999,622 shares of the pharmacy operator’s stock valued at $301,532,000 after acquiring an additional 119,189 shares during the period. Kingsview Wealth Management LLC increased its holdings in shares of CVS Health by 316.2% in the 3rd quarter. Kingsview Wealth Management LLC now owns 104,432 shares of the pharmacy operator’s stock valued at $7,873,000 after acquiring an additional 79,340 shares during the period. AE Wealth Management LLC increased its holdings in shares of CVS Health by 6.2% in the 3rd quarter. AE Wealth Management LLC now owns 257,204 shares of the pharmacy operator’s stock valued at $19,391,000 after acquiring an additional 14,983 shares during the period. Mirae Asset Global Investments Co. Ltd. increased its holdings in shares of CVS Health by 11.2% in the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 225,116 shares of the pharmacy operator’s stock valued at $16,971,000 after acquiring an additional 22,653 shares during the period. Finally, Alpha Omega Wealth Management LLC increased its holdings in shares of CVS Health by 12.3% in the 3rd quarter. Alpha Omega Wealth Management LLC now owns 149,902 shares of the pharmacy operator’s stock valued at $11,301,000 after acquiring an additional 16,418 shares during the period. 80.66% of the stock is owned by institutional investors.

CVS Health Company Profile

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.