CVS Health Corporation (NYSE:CVS) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• CVS Health Corporation has been rated a "Moderate Buy" by twenty-one brokerages, with seventeen analysts issuing a buy recommendation and an average twelve-month price target of $75.39.
• The company reported a second-quarter earnings per share of $1.81, exceeding estimates, alongside revenues of $98.92 billion, representing an 8.4% increase compared to the prior year.
• CVS Health also declared a quarterly dividend of $0.665 per share, reflecting a 4.2% annual yield and a payout ratio of 74.30%.

CVS Health Corporation (NYSE:CVS - Get Free Report) has been given an average rating of "Moderate Buy" by the twenty-one ratings firms that are currently covering the stock, MarketBeat Ratings reports. Three research analysts have rated the stock with a hold recommendation, seventeen have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average twelve-month price objective among analysts that have issued ratings on the stock in the last year is $75.3889.

CVS has been the subject of a number of recent research reports. Bernstein Bank decreased their price objective on CVS Health from $78.00 to $72.00 and set a "market perform" rating for the company in a report on Wednesday, July 16th. UBS Group reduced their price target on shares of CVS Health from $71.00 to $67.00 and set a "neutral" rating for the company in a report on Tuesday, July 22nd. Wall Street Zen raised CVS Health from a "hold" rating to a "buy" rating in a research report on Friday, May 9th. Jefferies Financial Group raised their price target on shares of CVS Health from $74.00 to $80.00 and gave the company a "buy" rating in a research report on Monday, June 30th. Finally, Truist Financial lifted their price objective on shares of CVS Health from $82.00 to $84.00 and gave the stock a "buy" rating in a report on Monday, May 12th.

CVS Health Stock Up 0.2%

NYSE CVS opened at $63.55 on Thursday. CVS Health has a fifty-two week low of $43.56 and a fifty-two week high of $72.51. The company has a debt-to-equity ratio of 0.74, a current ratio of 0.80 and a quick ratio of 0.62. The business has a fifty day moving average price of $64.63 and a two-hundred day moving average price of $64.07. The stock has a market capitalization of $80.60 billion, a PE ratio of 17.75, a PEG ratio of 0.70 and a beta of 0.58.

CVS Health (NYSE:CVS - Get Free Report) last issued its quarterly earnings data on Thursday, July 31st. The pharmacy operator reported $1.81 earnings per share for the quarter, topping analysts' consensus estimates of $1.46 by $0.35. CVS Health had a return on equity of 10.51% and a net margin of 1.17%. The business had revenue of $98.92 billion for the quarter, compared to analyst estimates of $94.87 billion. During the same quarter in the previous year, the company posted $1.83 EPS. CVS Health's quarterly revenue was up 8.4% compared to the same quarter last year. Equities analysts expect that CVS Health will post 5.89 earnings per share for the current fiscal year.

CVS Health Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, August 1st. Stockholders of record on Tuesday, July 22nd were issued a $0.665 dividend. This represents a $2.66 dividend on an annualized basis and a dividend yield of 4.2%. The ex-dividend date of this dividend was Tuesday, July 22nd. CVS Health's dividend payout ratio (DPR) is presently 74.30%.

Insider Buying and Selling at CVS Health

In related news, Director Guy P. Sansone bought 1,570 shares of CVS Health stock in a transaction on Thursday, June 5th. The stock was acquired at an average price of $63.70 per share, with a total value of $100,009.00. Following the acquisition, the director directly owned 12,007 shares of the company's stock, valued at $764,845.90. This represents a 15.04% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 1.22% of the company's stock.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Envestnet Asset Management Inc. raised its position in shares of CVS Health by 1.0% during the 4th quarter. Envestnet Asset Management Inc. now owns 1,529,714 shares of the pharmacy operator's stock valued at $68,669,000 after buying an additional 15,561 shares in the last quarter. Polymer Capital Management US LLC bought a new position in CVS Health during the 4th quarter worth approximately $207,000. FIL Ltd increased its stake in shares of CVS Health by 5.3% in the fourth quarter. FIL Ltd now owns 141,616 shares of the pharmacy operator's stock worth $6,357,000 after buying an additional 7,143 shares during the period. Greenland Capital Management LP bought a new position in shares of CVS Health during the fourth quarter valued at about $253,000. Finally, APG Asset Management N.V. lifted its holdings in CVS Health by 903.1% in the 4th quarter. APG Asset Management N.V. now owns 768,028 shares of the pharmacy operator's stock worth $33,295,000 after buying an additional 691,464 shares during the period. 80.66% of the stock is owned by institutional investors.

About CVS Health

CVS Health Corporation provides health solutions in the United States. It operates through Health Care Benefits, Health Services, and Pharmacy & Consumer Wellness segments. The Health Care Benefits segment offers traditional, voluntary, and consumer-directed health insurance products and related services.

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