CVS Health Corporation $CVS Stock: Community Trust & Investment Co. Cuts Holdings

Key Points

• Community Trust & Investment Co. reduced its CVS Health position by 5.2% in the third quarter, selling 12,798 shares and retaining 232,385 shares valued at approximately $19.9 million. Institutional investors collectively own 80.66% of CVS stock.
• Analysts remain broadly positive, with 20 Buy ratings and three Holds, an overall “Moderate Buy” consensus, and an average price target of $107.80. CVS recently exceeded quarterly earnings and revenue expectations.
• CVS shares opened at $92.45, while the company maintains a quarterly dividend of $0.665 per share, representing a 2.9% annualized yield. The stock also faces legal and reputational pressure from a $315 million opioid-related settlement.

Community Trust & Investment Co. decreased its position in CVS Health Corporation (NYSE:CVS - Free Report) by 5.2% in the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 232,385 shares of the pharmacy operator's stock after selling 12,798 shares during the quarter. Community Trust & Investment Co.'s holdings in CVS Health were worth $19,913,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. BlackRock Inc. purchased a new stake in shares of CVS Health during the 2nd quarter worth approximately $12,747,462,000. State Street Corp lifted its stake in CVS Health by 26.3% in the 2nd quarter. State Street Corp now owns 74,927,064 shares of the pharmacy operator's stock worth $7,751,205,000 after purchasing an additional 15,604,883 shares in the last quarter. Wellington Management Group LLP boosted its holdings in CVS Health by 49.8% in the 2nd quarter. Wellington Management Group LLP now owns 33,801,113 shares of the pharmacy operator's stock valued at $3,496,725,000 after purchasing an additional 11,233,381 shares during the period. Bank of America Corp DE increased its holdings in shares of CVS Health by 148.0% in the second quarter. Bank of America Corp DE now owns 23,188,670 shares of the pharmacy operator's stock worth $2,398,868,000 after purchasing an additional 13,836,701 shares during the period. Finally, Pzena Investment Management LLC bought a new stake in shares of CVS Health during the 2nd quarter valued at about $1,217,558,000. Hedge funds and other institutional investors own 80.66% of the company's stock.

Wall Street Analyst Weigh In

A number of research analysts recently commented on CVS shares. Cantor Fitzgerald reissued a "neutral" rating on shares of CVS Health in a research note on Friday, October 9th. UBS Group restated a "buy" rating on shares of CVS Health in a research report on Tuesday, September 22nd. Sanford C. Bernstein restated an "outperform" rating and issued a $112.00 target price on shares of CVS Health in a report on Wednesday, September 9th. HSBC reissued a "hold" rating and issued a $103.00 price target on shares of CVS Health in a report on Monday, July 6th. Finally, Argus lifted their price objective on CVS Health from $104.00 to $114.00 and gave the stock a "buy" rating in a research report on Wednesday, August 19th. Twenty investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $107.80.

Key CVS Health News

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

• Positive Sentiment: Improving fundamentals and valuation support the stock. CVS has recently exceeded earnings and revenue expectations, while analysts cited stronger returns, rising earnings estimates and a lower valuation than Alignment Healthcare. Its Aetna turnaround is also viewed as a potential catalyst. CVS vs. ALHC: Which Medicare Advantage Stock Is the Better Pick Now?
• Positive Sentiment: Expanded care access and quality credentials reinforce CVS’s healthcare-services strategy. CVS opened its first pharmacy-focused location in the Boston area to improve access to medications, immunizations and other services. Separately, MinuteClinic received its seventh consecutive Joint Commission accreditation, with primary care available at more than 65% of its locations. CVS Pharmacy Celebrates Opening of First Pharmacy-Focused Location in Boston Area
• Neutral Sentiment: New women’s-health collaboration could support longer-term engagement. CVS is partnering with The Midlife Collective on a research study and documentary focused on women’s midlife health. The initiative may strengthen brand awareness and consumer relationships, but it is unlikely to have a near-term financial impact. CVS Health Collaborates With The Midlife Collective
• Positive Sentiment: Home-based heart monitoring expands value-added services. Signify Health, part of CVS, offers continuous heart-rhythm monitoring for eligible health-plan members, potentially enabling earlier detection of serious conditions and supporting preventive-care economics. CVS Health: Early Detection Matters
• Negative Sentiment: $315 million opioid settlement creates legal, financial and reputational pressure. CVS agreed to settle Justice Department allegations involving unlawful opioid dispensing and false claims. The company admitted no wrongdoing but will implement tighter controlled-substance oversight, adding costs and highlighting compliance risks. CVS Agrees to Pay $315M

CVS Health Stock Performance

Shares of CVS stock opened at $92.45 on Friday. CVS Health Corporation has a 52 week low of $69.51 and a 52 week high of $110.68. The company has a 50 day moving average price of $91.80 and a 200-day moving average price of $93.03. The company has a quick ratio of 0.66, a current ratio of 0.87 and a debt-to-equity ratio of 0.74. The firm has a market capitalization of $118.25 billion, a PE ratio of 24.46, a P/E/G ratio of 0.84 and a beta of 0.60.

CVS Health (NYSE:CVS - Get Free Report) last announced its earnings results on Wednesday, August 5th. The pharmacy operator reported $2.58 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.87 by $0.71. The company had revenue of $106.10 billion during the quarter, compared to analyst estimates of $100.03 billion. CVS Health had a net margin of 1.18% and a return on equity of 13.12%. The firm's quarterly revenue was up 7.3% compared to the same quarter last year. During the same period in the previous year, the business posted $1.81 earnings per share. CVS Health has set its FY 2026 guidance at 7.900-8.100 EPS. As a group, equities research analysts expect that CVS Health Corporation will post 8.02 earnings per share for the current year.

CVS Health Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, November 2nd. Stockholders of record on Thursday, October 22nd will be issued a dividend of $0.6650 per share. This represents a $2.66 annualized dividend and a dividend yield of 2.9%. The ex-dividend date of this dividend is Thursday, October 22nd. CVS Health's dividend payout ratio is 70.37%.

About CVS Health

CVS Health Corp. is an integrated health care company that provides pharmacy, insurance and health services primarily in the United States. Its operations are designed to connect consumers, health plans, health care providers and pharmacy services across multiple points of care.

The company's major businesses include CVS Pharmacy retail locations, prescription fulfillment and consumer health products; CVS Caremark, a pharmacy benefit management business; and Aetna, which offers health insurance products and related services for employers, individuals, government programs and other organizations.

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