Convergence Investment Partners LLC Acquires 18,911 Shares of CVS Health Corporation $CVS

Key Points

• Convergence Investment Partners LLC significantly increased its CVS Health stake in the fourth quarter, boosting holdings by 263.8% to 26,079 shares worth about $2.07 million.
• CVS Health reported strong first-quarter results, beating estimates on both EPS and revenue, and also raised FY 2026 guidance to $7.30-$7.50 EPS.
• Analysts remain increasingly bullish on the stock, with firms like Morgan Stanley and Argus raising price targets; overall, CVS now carries a Moderate Buy consensus rating.

Convergence Investment Partners LLC boosted its holdings in shares of CVS Health Corporation (NYSE:CVS - Free Report) by 263.8% in the 4th quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 26,079 shares of the pharmacy operator's stock after purchasing an additional 18,911 shares during the quarter. Convergence Investment Partners LLC's holdings in CVS Health were worth $2,070,000 at the end of the most recent quarter.

Other hedge funds have also recently added to or reduced their stakes in the company. Caitong International Asset Management Co. Ltd boosted its stake in CVS Health by 407.2% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 350 shares of the pharmacy operator's stock valued at $26,000 after purchasing an additional 281 shares during the period. Ares Financial Consulting LLC bought a new stake in CVS Health during the 4th quarter valued at approximately $29,000. Dogwood Wealth Management LLC boosted its stake in CVS Health by 93.7% during the 4th quarter. Dogwood Wealth Management LLC now owns 370 shares of the pharmacy operator's stock valued at $29,000 after purchasing an additional 179 shares during the period. GoalVest Advisory LLC bought a new stake in CVS Health during the 4th quarter valued at approximately $32,000. Finally, Financial Consulate Inc. boosted its stake in CVS Health by 99.6% during the 4th quarter. Financial Consulate Inc. now owns 499 shares of the pharmacy operator's stock valued at $40,000 after purchasing an additional 249 shares during the period. Institutional investors own 80.66% of the company's stock.

Insider Activity

In other news, EVP Tilak Mandadi sold 69,551 shares of the stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $89.58, for a total value of $6,230,378.58. Following the completion of the transaction, the executive vice president directly owned 10,133 shares of the company's stock, valued at approximately $907,714.14. This represents a 87.28% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Insiders own 0.85% of the company's stock.

CVS Health Trading Down 1.2%

Shares of CVS opened at $95.95 on Friday. CVS Health Corporation has a 1 year low of $58.50 and a 1 year high of $98.43. The company has a current ratio of 0.87, a quick ratio of 0.66 and a debt-to-equity ratio of 0.78. The stock has a 50 day simple moving average of $78.71 and a 200-day simple moving average of $78.59. The stock has a market cap of $122.42 billion, a PE ratio of 42.27, a PEG ratio of 0.95 and a beta of 0.60.

CVS Health (NYSE:CVS - Get Free Report) last issued its earnings results on Wednesday, May 6th. The pharmacy operator reported $2.57 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.21 by $0.36. CVS Health had a return on equity of 11.88% and a net margin of 0.72%.The business had revenue of $100.43 billion during the quarter, compared to analysts' expectations of $94.99 billion. During the same period in the prior year, the firm posted $2.25 EPS. CVS Health's quarterly revenue was up 6.2% compared to the same quarter last year. CVS Health has set its FY 2026 guidance at 7.300-7.500 EPS. On average, sell-side analysts predict that CVS Health Corporation will post 7.44 EPS for the current fiscal year.

CVS Health Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, May 4th. Stockholders of record on Thursday, April 23rd were issued a $0.665 dividend. The ex-dividend date of this dividend was Thursday, April 23rd. This represents a $2.66 dividend on an annualized basis and a dividend yield of 2.8%. CVS Health's dividend payout ratio is presently 117.18%.

Key Headlines Impacting CVS Health

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

• Positive Sentiment: Morgan Stanley raised its price target on CVS Health and kept an overweight rating, signaling confidence in further upside after the company’s stronger-than-expected quarterly results. Morgan Stanley Issues Positive Forecast for CVS Health NYSE: CVS Stock Price
• Positive Sentiment: Argus also lifted its outlook for CVS Health, adding to the wave of analyst support that may be helping shares move higher. Argus Issues Positive Forecast for CVS Health NYSE: CVS Stock Price
• Positive Sentiment: CVS reported solid Q1 2026 earnings recently, beating estimates on both revenue and adjusted EPS, which continues to drive investor optimism about execution and valuation. Here is Why CVS Health (CVS) is One of the Cheap Stocks to Buy For the Next 10 Years
• Positive Sentiment: CVS and WGU launched an online pre-pharmacy degree program to help build a stronger pharmacist pipeline, a move that could support long-term staffing and service growth. CVS Health® and WGU launch online pre-pharmacy degree program for future pharmacists nationwide
• Neutral Sentiment: CVS advanced its portfolio reset by selling Omnicare after bankruptcy court approval, which simplifies the business and removes an underperforming unit, but also confirms ongoing restructuring. CVS Refocuses On Core Health Platform With Omnicare Sale And Drone Rollout
• Neutral Sentiment: CVS also highlighted community and brand-building initiatives in Rhode Island, including its economic impact report and expanded WIC acceptance, which are positive for reputation but less likely to move the stock on their own. CVS Health’s Annual Impact in Rhode Island

Analysts Set New Price Targets

A number of analysts have commented on CVS shares. Morgan Stanley raised their price objective on CVS Health from $93.00 to $106.00 and gave the stock an "overweight" rating in a research report on Thursday. Argus raised their price objective on CVS Health from $90.00 to $104.00 and gave the stock a "buy" rating in a research report on Thursday. Wolfe Research reduced their price objective on CVS Health from $100.00 to $97.00 and set an "outperform" rating for the company in a research report on Monday, March 2nd. JPMorgan Chase & Co. raised their price objective on CVS Health from $101.00 to $111.00 and gave the stock an "overweight" rating in a research report on Tuesday. Finally, Barclays raised their price objective on CVS Health from $93.00 to $101.00 and gave the stock an "overweight" rating in a research report on Thursday, May 7th. Twenty-two investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat.com, CVS Health currently has a consensus rating of "Moderate Buy" and a consensus target price of $98.08.

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.

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