QRG Capital Management Inc. Boosts Stake in CVS Health Corporation $CVS

Key Points

• QRG Capital Management increased its stake in CVS by 21.6% to 107,944 shares (worth $8.57M), and institutional investors now own roughly 80.66% of the company’s stock.
• CVS beat Q1 expectations with $1.09 EPS (vs. $1.00 est.) and revenue of $105.69B (+8.2% YoY); the company set FY‑2026 guidance at $5.94–6.14 EPS while sell‑side analysts expect about 7.14 EPS.
• CVS Caremark will favor lower‑cost interchangeable biosimilars (dropping J&J’s Stelara from main formularies July 1), a move that should lower drug spend and help PBM margins; the company also pays a $0.665 quarterly dividend (3.3% yield) with a payout ratio of 192.75%.

QRG Capital Management Inc. increased its stake in shares of CVS Health Corporation (NYSE:CVS - Free Report) by 21.6% during the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 107,944 shares of the pharmacy operator's stock after buying an additional 19,210 shares during the quarter. QRG Capital Management Inc.'s holdings in CVS Health were worth $8,566,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. National Pension Service increased its stake in shares of CVS Health by 3.1% in the third quarter. National Pension Service now owns 3,999,622 shares of the pharmacy operator's stock worth $301,532,000 after acquiring an additional 119,189 shares during the period. Kingsview Wealth Management LLC lifted its position in CVS Health by 316.2% during the third quarter. Kingsview Wealth Management LLC now owns 104,432 shares of the pharmacy operator's stock valued at $7,873,000 after purchasing an additional 79,340 shares during the period. AE Wealth Management LLC boosted its holdings in CVS Health by 6.2% in the third quarter. AE Wealth Management LLC now owns 257,204 shares of the pharmacy operator's stock valued at $19,391,000 after purchasing an additional 14,983 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. grew its position in CVS Health by 11.2% during the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 225,116 shares of the pharmacy operator's stock worth $16,971,000 after purchasing an additional 22,653 shares during the period. Finally, Wealth Enhancement Advisory Services LLC raised its stake in shares of CVS Health by 186.6% during the 3rd quarter. Wealth Enhancement Advisory Services LLC now owns 396,368 shares of the pharmacy operator's stock valued at $30,568,000 after buying an additional 258,050 shares during the last quarter. Hedge funds and other institutional investors own 80.66% of the company's stock.

CVS Health Stock Performance

NYSE CVS opened at $80.67 on Wednesday. The stock has a market capitalization of $103.39 billion, a price-to-earnings ratio of 58.46, a PEG ratio of 0.86 and a beta of 0.60. The stock has a 50-day moving average of $76.40 and a 200 day moving average of $77.96. The company has a current ratio of 0.84, a quick ratio of 0.63 and a debt-to-equity ratio of 0.80. CVS Health Corporation has a twelve month low of $58.35 and a twelve month high of $85.15.

CVS Health (NYSE:CVS - Get Free Report) last posted its quarterly earnings data on Tuesday, February 10th. The pharmacy operator reported $1.09 EPS for the quarter, beating analysts' consensus estimates of $1.00 by $0.09. CVS Health had a return on equity of 11.31% and a net margin of 0.44%.The business had revenue of $105.69 billion during the quarter, compared to analysts' expectations of $103.67 billion. During the same period in the previous year, the business earned $1.19 earnings per share. The business's revenue was up 8.2% compared to the same quarter last year. CVS Health has set its FY 2026 guidance at 5.940-6.140 EPS. Sell-side analysts anticipate that CVS Health Corporation will post 7.14 EPS for the current fiscal year.

CVS Health Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Monday, May 4th. Shareholders of record on Thursday, April 23rd were given a dividend of $0.665 per share. The ex-dividend date was Thursday, April 23rd. This represents a $2.66 dividend on an annualized basis and a yield of 3.3%. CVS Health's dividend payout ratio is currently 192.75%.

Key Stories Impacting CVS Health

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

• Positive Sentiment: CVS Caremark will expand adoption of lower‑cost biosimilars across its commercial formularies effective July 1, preferring interchangeable biosimilars over certain reference brands — a move that should lower drug spend for clients and improve PBM margins. PR Newswire: CVS Caremark Expands Biosimilar Adoption
• Positive Sentiment: CVS said it will prefer lower‑cost interchangeable biosimilars over J&J’s Stelara on its main formularies starting July 1 — a direct cost‑management step that can improve margins but may pressure revenues for affected brand drugs. Reuters: CVS to drop J&J's Stelara
• Positive Sentiment: HSBC raised its price target on CVS to $85 (hold), signaling modest analyst confidence in upside tied to the company’s earnings and cost actions. That provides some near‑term support for the stock. MarketScreener: HSBC adjusts price target on CVS
• Positive Sentiment: Media and commentators (including Jim Cramer) are expressing optimism that CVS will report a strong quarter, which can buoy sentiment into earnings. InsiderMonkey: Jim Cramer on CVS quarter
• Neutral Sentiment: Investor previews and analysts flag Q1 results and cost trends/margins as the main near‑term focus; outcomes on utilization and PBM pricing will determine stock direction after the print. MSN: CVS Q1 earnings preview
• Neutral Sentiment: Coverage notes investors are watching cost trends and margins closely in the upcoming earnings release; PBM results and medical cost trajectories will be key. Seeking Alpha: CVS earnings in focus
• Neutral Sentiment: Analysts/press point to two hurdles in the quarter (operational/cost execution and broader healthcare demand); Aetna’s strength in Medicare Advantage is a stabilizer but may not fully offset other pressures. Yahoo Finance: Two hurdles to clear
• Neutral Sentiment: CVS Health Ventures made a strategic investment in Fathom to accelerate autonomous coding — a longer‑term efficiency play that could reduce administrative costs across the enterprise. Yahoo Finance: Fathom secures investment
• Negative Sentiment: An opinion piece questions the CVS affiliation with Mass General Brigham — while the partnership could expand primary‑care access, it raises concerns about costs, care continuity and potential regulatory/competitive scrutiny that could complicate execution and investor sentiment. Boston Globe: CVS affiliation with Mass General Brigham
• Neutral Sentiment: Industry retail shakeups (reports of rivals closing stores) highlight tough store economics in some markets — an indirect signal that pharmacy/retail footprint optimization remains relevant for CVS strategy. TheStreet: Competitor store closures

Analyst Ratings Changes

A number of analysts have recently commented on CVS shares. Leerink Partners restated an "outperform" rating and issued a $98.00 target price on shares of CVS Health in a research note on Thursday, March 5th. Argus decreased their price target on CVS Health from $91.00 to $90.00 and set a "buy" rating for the company in a report on Wednesday, January 28th. Bank of America lowered their price objective on CVS Health from $100.00 to $95.00 and set a "buy" rating on the stock in a research report on Tuesday, January 27th. Robert W. Baird lifted their target price on shares of CVS Health from $92.00 to $94.00 and gave the company an "outperform" rating in a report on Wednesday, April 15th. Finally, Sanford C. Bernstein upgraded shares of CVS Health from a "market perform" rating to an "outperform" rating and boosted their target price for the company from $91.00 to $94.00 in a research note on Thursday, March 12th. Twenty equities research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $94.61.

CVS Health 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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