CVS Health Corporation (NYSE:CVS) Receives Consensus Rating of "Moderate Buy" from Brokerages

Key Points

• CVS Health has a consensus analyst rating of “Moderate Buy” from 26 brokerages, with 22 buy ratings and 4 hold ratings. The average 1-year price target is $95.92.
• The company recently beat Q1 earnings and revenue expectations, reporting $2.57 EPS versus $2.21 expected and $100.43 billion in revenue versus $94.99 billion expected. It also raised its 2026 outlook, which investors view as a sign of improving momentum.
• Several firms have raised price targets on CVS, including UBS, Truist, and Deutsche Bank, citing better operating performance and improving Medicare Advantage metrics. However, some reports still point to PBM margin pressure as a longer-term risk.

Shares of CVS Health Corporation (NYSE:CVS - Get Free Report) have earned an average recommendation of "Moderate Buy" from the twenty-six brokerages that are presently covering the firm, Marketbeat Ratings reports. Four equities research analysts have rated the stock with a hold rating and twenty-two have issued a buy rating on the company. The average 1-year target price among brokerages that have updated their coverage on the stock in the last year is $95.92.

Several equities analysts have recently commented on the company. Bank of America cut their price target on CVS Health from $100.00 to $95.00 and set a "buy" rating on the stock in a research note on Tuesday, January 27th. Royal Bank Of Canada lifted their target price on CVS Health from $93.00 to $107.00 and gave the company an "outperform" rating in a research note on Thursday. HSBC lifted their target price on CVS Health from $83.00 to $85.00 and gave the company a "hold" rating in a research note on Tuesday. Deutsche Bank Aktiengesellschaft lifted their target price on CVS Health from $88.00 to $92.00 and gave the company a "buy" rating in a research note on Thursday. Finally, Leerink Partners reiterated an "outperform" rating and issued a $98.00 target price on shares of CVS Health in a research note on Thursday, March 5th.

CVS Health News Summary

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

• Positive Sentiment: CVS beat Wall Street expectations on Q1 earnings and revenue, reporting about $2.9 billion in profit, with improved Aetna profitability helping drive the upside. The company also raised its 2026 outlook, which investors are reading as a sign that the turnaround is gaining traction. CVS Raises 2026 Outlook As Shares Jump 9.8%
• Positive Sentiment: Several brokerages lifted price targets on CVS, including UBS to $100, Truist to $102, and Deutsche Bank to $92, reinforcing the view that recent operating improvements could support more upside from here.
• Positive Sentiment: Analysts and media reports highlighted improving Medicare Advantage metrics, better medical benefit ratios, and operational efficiencies, suggesting CVS’s health insurance business is moving back toward its longer-term margin targets.
• Positive Sentiment: Commentary from investors and media noted that CVS’s prescription volume and pharmacy operations remain solid, while biosimilar and AI initiatives may support long-term cost control and affordability efforts.
• Neutral Sentiment: Pieces discussing Jim Cramer’s prior favorable view on CVS and articles questioning whether the stock is still attractive mainly reinforce sentiment around the name, but do not add new fundamental information.
• Negative Sentiment: Some articles pointed to ongoing structural pressure in the PBM business and the risk that temporary insurance profit strength may not fully offset longer-term margin challenges.

CVS Health Stock Performance

Shares of CVS Health stock opened at $90.50 on Friday. The firm has a market cap of $115.47 billion, a P/E ratio of 39.87, a P/E/G ratio of 0.88 and a beta of 0.60. The company has a current ratio of 0.87, a quick ratio of 0.63 and a debt-to-equity ratio of 0.78. CVS Health has a 12 month low of $58.35 and a 12 month high of $90.89. The stock's fifty day moving average price is $76.86 and its 200-day moving average price is $78.03.

CVS Health (NYSE:CVS - Get Free Report) last announced its quarterly earnings results on Wednesday, May 6th. The pharmacy operator reported $2.57 EPS for the quarter, beating the consensus estimate of $2.21 by $0.36. The firm had revenue of $100.43 billion for the quarter, compared to analyst estimates of $94.99 billion. CVS Health had a return on equity of 11.88% and a net margin of 0.72%.The business's revenue for the quarter was up 6.2% on a year-over-year basis. During the same quarter last year, the firm posted $2.25 earnings per share. CVS Health has set its FY 2026 guidance at 7.300-7.500 EPS. On average, equities research analysts expect that CVS Health will post 7.43 earnings per share for the current fiscal year.

CVS Health Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Monday, May 4th. Shareholders of record on Thursday, April 23rd were paid a $0.665 dividend. This represents a $2.66 annualized dividend and a yield of 2.9%. The ex-dividend date was Thursday, April 23rd. CVS Health's payout ratio is 192.75%.

Hedge Funds Weigh In On CVS Health

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Swiss RE Ltd. acquired a new stake in CVS Health in the fourth quarter worth about $26,000. Sankala Group LLC acquired a new stake in CVS Health in the fourth quarter worth about $28,000. Caitong International Asset Management Co. Ltd boosted its holdings in CVS Health by 407.2% in the third quarter. Caitong International Asset Management Co. Ltd now owns 350 shares of the pharmacy operator's stock worth $26,000 after acquiring an additional 281 shares in the last quarter. Mcguire Capital Advisors Inc. acquired a new stake in CVS Health in the fourth quarter worth about $28,000. Finally, Ares Financial Consulting LLC acquired a new stake in CVS Health in the fourth quarter worth about $29,000. Hedge funds and other institutional investors own 80.66% of the company's stock.

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.

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