CVS Health (NYSE:CVS) Sets New 1-Year High on Earnings Beat

CVS Health Co. (NYSE:CVS - Get Free Report) shares hit a new 52-week high during trading on Friday following a stronger than expected earnings report. The company traded as high as $72.51 and last traded at $69.42, with a volume of 20871924 shares changing hands. The stock had previously closed at $66.71.

The pharmacy operator reported $2.25 EPS for the quarter, beating analysts' consensus estimates of $1.62 by $0.63. The company had revenue of $94.59 billion during the quarter, compared to analysts' expectations of $93.07 billion. CVS Health had a net margin of 1.24% and a return on equity of 9.11%. CVS Health's revenue for the quarter was up 7.0% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.31 earnings per share.

CVS Health Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, May 1st. Stockholders of record on Tuesday, April 22nd were issued a dividend of $0.665 per share. The ex-dividend date was Tuesday, April 22nd. This represents a $2.66 annualized dividend and a dividend yield of 3.94%. CVS Health's dividend payout ratio (DPR) is currently 72.68%.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on CVS shares. Leerink Partnrs upgraded shares of CVS Health from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, February 12th. Evercore ISI raised their target price on CVS Health from $60.00 to $65.00 and gave the stock an "outperform" rating in a research note on Monday, January 27th. Leerink Partners upgraded CVS Health from a "market perform" rating to an "outperform" rating and boosted their price target for the company from $55.00 to $75.00 in a research note on Thursday, February 13th. Robert W. Baird raised their price objective on CVS Health from $51.00 to $71.00 and gave the stock a "neutral" rating in a research note on Tuesday, April 15th. Finally, Argus set a $77.00 target price on CVS Health in a research report on Tuesday, February 18th. Four investment analysts have rated the stock with a hold rating, sixteen have given a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $72.69.

Insider Activity at CVS Health

In other news, SVP James David Clark sold 7,513 shares of the company's stock in a transaction on Wednesday, March 5th. The shares were sold at an average price of $66.35, for a total transaction of $498,487.55. Following the completion of the sale, the senior vice president now owns 8,394 shares of the company's stock, valued at $556,941.90. This represents a 47.23 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Michael F. Mahoney acquired 30,000 shares of the company's stock in a transaction that occurred on Tuesday, February 18th. The shares were acquired at an average cost of $66.70 per share, with a total value of $2,001,000.00. Following the purchase, the director now owns 39,356 shares in the company, valued at $2,625,045.20. This represents a 320.65 % increase in their position. The disclosure for this purchase can be found here. 1.22% of the stock is owned by company insiders.

Hedge Funds Weigh In On CVS Health

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CVS. Whitebox Advisors LLC purchased a new stake in shares of CVS Health during the 4th quarter valued at approximately $249,000. Principal Financial Group Inc. lifted its position in CVS Health by 4.8% in the third quarter. Principal Financial Group Inc. now owns 1,434,476 shares of the pharmacy operator's stock valued at $90,200,000 after buying an additional 66,244 shares during the last quarter. Hall Laurie J Trustee boosted its stake in CVS Health by 25,484.4% during the fourth quarter. Hall Laurie J Trustee now owns 11,513 shares of the pharmacy operator's stock worth $517,000 after buying an additional 11,468 shares during the period. B&D White Capital Company LLC purchased a new stake in shares of CVS Health in the 4th quarter valued at approximately $417,000. Finally, Watts Gwilliam & Co. LLC lifted its holdings in shares of CVS Health by 9.8% in the 4th quarter. Watts Gwilliam & Co. LLC now owns 7,302 shares of the pharmacy operator's stock worth $334,000 after acquiring an additional 650 shares during the last quarter. Institutional investors and hedge funds own 80.66% of the company's stock.

CVS Health Stock Down 2.8 %

The company has a debt-to-equity ratio of 0.80, a current ratio of 0.81 and a quick ratio of 0.60. The business has a 50 day simple moving average of $66.72 and a 200 day simple moving average of $58.83. The company has a market capitalization of $85.09 billion, a price-to-earnings ratio of 18.44, a PEG ratio of 0.98 and a beta of 0.57.

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.