CenterBook Partners LP Acquires 30,474 Shares of CVS Health Corporation $CVS

Key Points

• CenterBook Partners LP initiated a CVS Health stake, purchasing 30,474 shares worth approximately $2.61 million in the third quarter. Institutional investors and hedge funds own 80.66% of CVS shares.
• CVS beat third-quarter earnings and revenue estimates, reporting EPS of $2.09 versus the $1.65 consensus and revenue of $108.4 billion; it also raised its 2026 outlook.
• EVP Prem Shah bought 23,855 shares for about $2 million, while CVS’s planned separation of its retail pharmacy business by 2028 has raised execution and valuation concerns and contributed to a stock selloff.

CenterBook Partners LP acquired a new stake in shares of CVS Health Corporation (NYSE:CVS - Free Report) during the third quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 30,474 shares of the pharmacy operator's stock, valued at approximately $2,611,000.

Several other hedge funds have also recently made changes to their positions in CVS. Heritage Family Offices LLP purchased a new stake in CVS Health in the third quarter valued at approximately $49,000. Calamos Wealth Management LLC increased its holdings in CVS Health by 19.2% in the 3rd quarter. Calamos Wealth Management LLC now owns 9,285 shares of the pharmacy operator's stock worth $796,000 after buying an additional 1,498 shares during the period. Calamos Advisors LLC raised its position in CVS Health by 1.2% during the 3rd quarter. Calamos Advisors LLC now owns 428,044 shares of the pharmacy operator's stock worth $36,679,000 after buying an additional 5,104 shares during the last quarter. Alta Advisers Ltd raised its position in CVS Health by 82.3% during the 3rd quarter. Alta Advisers Ltd now owns 9,137 shares of the pharmacy operator's stock worth $783,000 after buying an additional 4,125 shares during the last quarter. Finally, Syverson Strege & Co lifted its stake in CVS Health by 3.3% during the 3rd quarter. Syverson Strege & Co now owns 5,178 shares of the pharmacy operator's stock valued at $444,000 after acquiring an additional 167 shares during the period. 80.66% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting CVS Health

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

• Positive Sentiment: Executive Vice President Prem Shah bought 23,855 shares for about $2 million, increasing his direct stake by 36.9%. The sizable purchase may signal confidence in CVS’s prospects. SEC filing
• Positive Sentiment: CVS beat third-quarter earnings and revenue estimates and raised its 2026 outlook, with Aetna’s recovery among the factors supporting the improved outlook. Q3 earnings call coverage
• Neutral Sentiment: UBS lowered its price target to $107 but maintained a Buy rating, indicating continued optimism while reflecting a more cautious valuation. UBS rating
• Negative Sentiment: The planned separation of the retail pharmacy business from the insurance and pharmacy-benefit operations by 2028 has raised questions about execution, costs, and the value of the two businesses. The announcement overshadowed the earnings beat and was followed by a sharp selloff. Breakup and stock reaction
• Negative Sentiment: Additional concerns include weaker Medicare ratings and AM Best placing ratings for Aetna subsidiaries under review, creating uncertainty around the insurance business. Medicare ratings coverage

CVS Health Trading Down 0.1%

CVS Health stock opened at $83.76 on Monday. The company has a current ratio of 0.85, a quick ratio of 0.66 and a debt-to-equity ratio of 0.71. CVS Health Corporation has a 12 month low of $69.51 and a 12 month high of $110.68. The stock's 50 day simple moving average is $90.37 and its two-hundred day simple moving average is $88.89. The firm has a market cap of $107.17 billion, a PE ratio of 9.75, a P/E/G ratio of 0.73 and a beta of 0.58.

CVS Health (NYSE:CVS - Get Free Report) last issued its quarterly earnings data on Wednesday, November 4th. The pharmacy operator reported $2.09 EPS for the quarter, topping analysts' consensus estimates of $1.65 by $0.44. The business had revenue of $108.40 billion for the quarter, compared to analysts' expectations of $104.72 billion. CVS Health had a net margin of 2.62% and a return on equity of 13.65%. The business's revenue was up 5.4% on a year-over-year basis. During the same quarter last year, the company earned $1.60 EPS. Analysts anticipate that CVS Health Corporation will post 8.25 earnings per share for the current year.

CVS Health Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, November 2nd. Investors of record on Thursday, October 22nd were issued a dividend of $0.6650 per share. The ex-dividend date of this dividend was Thursday, October 22nd. This represents a $2.66 dividend on an annualized basis and a yield of 3.2%. CVS Health's dividend payout ratio is 30.97%.

Insider Buying and Selling

In other news, EVP Prem Shah purchased 23,855 shares of the company's stock in a transaction that occurred on Friday, November 6th. The shares were bought at an average price of $83.89 per share, for a total transaction of $2,001,195.95. Following the completion of the transaction, the executive vice president owned 88,516 shares in the company, valued at $7,425,607.24. This represents a 36.89% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through this link. Corporate insiders own 0.85% of the company's stock.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on CVS shares. Cantor Fitzgerald reissued a "neutral" rating on shares of CVS Health in a report on Friday, October 9th. Truist Financial upped their price target on shares of CVS Health from $108.00 to $118.00 and gave the company a "buy" rating in a report on Tuesday, July 14th. Barclays lowered their price target on shares of CVS Health from $108.00 to $107.00 and set an "overweight" rating on the stock in a report on Thursday. JPMorgan Chase & Co. increased their price target on CVS Health from $111.00 to $118.00 and gave the stock an "overweight" rating in a research report on Wednesday, August 12th. Finally, Raymond James Financial set a $103.00 price objective on CVS Health in a research note on Friday. Twenty-two research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, CVS Health currently has a consensus rating of "Moderate Buy" and an average price target of $108.25.

CVS Health Company Profile

CVS Health is a U.S.-based health care company that operates retail pharmacies, provides pharmacy benefit management services, and offers health insurance and other health services. Its businesses include CVS Pharmacy, pharmacy benefit manager CVS Caremark, and Aetna, its health benefits division.

The company also provides care through MinuteClinic walk-in clinics and health care businesses including Oak Street Health and Signify Health. Its services span prescription fulfillment, pharmacy benefit management, health insurance, primary care, and in-home and community-based care.

Founded in 1963 as Consumer Value Stores in Lowell, Massachusetts, the company expanded from a retail pharmacy business into a broad health care organization and adopted the CVS Health name in 2014.

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