Vanguard Group Inc. Raises Stake in CVS Health Corporation $CVS

Key Points

• Vanguard increased its stake by 1.5% in Q4 to 120,709,530 shares—about 9.51% of CVS, valued at roughly $9.58 billion, and institutional investors now own ~80.66% of the stock.
• CVS beat quarterly estimates with $1.09 EPS (consensus $1.00) and revenue of $105.69 billion (up 8.2% y/y) and set FY2026 guidance of 5.94–6.14 EPS; the company also declared a quarterly dividend of $0.665 (annual $2.66, yield 3.4%) but with a high payout ratio of 192.75%.
• Regulatory risk is rising after Tennessee passed a bill restricting pharmacies from owning PBMs—CVS says the law could force store closures and plans to sue, heightening the threat of similar state-level actions that could pressure retail and PBM earnings.

Vanguard Group Inc. increased its stake in shares of CVS Health Corporation (NYSE:CVS - Free Report) by 1.5% during the fourth quarter, according to its most recent filing with the SEC. The institutional investor owned 120,709,530 shares of the pharmacy operator's stock after purchasing an additional 1,824,424 shares during the period. Vanguard Group Inc. owned 9.51% of CVS Health worth $9,579,508,000 as of its most recent SEC filing.

A number of other institutional investors have also added to or reduced their stakes in the stock. Harbor Capital Advisors Inc. raised its holdings in shares of CVS Health by 72.1% in the 3rd quarter. Harbor Capital Advisors Inc. now owns 339 shares of the pharmacy operator's stock valued at $26,000 after acquiring an additional 142 shares in the last quarter. Caitong International Asset Management Co. Ltd raised its holdings in shares of CVS Health by 407.2% in the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 350 shares of the pharmacy operator's stock valued at $26,000 after acquiring an additional 281 shares in the last quarter. Corundum Trust Company INC purchased a new stake in shares of CVS Health in the 3rd quarter valued at about $29,000. GoalVest Advisory LLC purchased a new stake in shares of CVS Health in the 4th quarter valued at about $32,000. Finally, SOA Wealth Advisors LLC. raised its holdings in shares of CVS Health by 36.9% during the 3rd quarter. SOA Wealth Advisors LLC. now owns 486 shares of the pharmacy operator's stock valued at $37,000 after buying an additional 131 shares in the last quarter. Hedge funds and other institutional investors own 80.66% of the company's stock.

CVS Health Price Performance

CVS opened at $77.92 on Friday. The firm has a market cap of $99.86 billion, a price-to-earnings ratio of 56.46, a PEG ratio of 0.82 and a beta of 0.51. CVS Health Corporation has a 1 year low of $58.35 and a 1 year high of $85.15. The stock's 50 day simple moving average is $76.02 and its 200 day simple moving average is $77.86. The company has a debt-to-equity ratio of 0.80, a current ratio of 0.84 and a quick ratio of 0.63.

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

CVS Health Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, May 4th. Investors of record on Thursday, April 23rd will be given a dividend of $0.665 per share. The ex-dividend date is Thursday, April 23rd. This represents a $2.66 annualized dividend and a dividend yield of 3.4%. CVS Health's payout ratio is currently 192.75%.

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on CVS shares. Piper Sandler decreased their price objective on CVS Health from $101.00 to $99.00 and set an "overweight" rating on the stock in a report on Tuesday, March 31st. The Goldman Sachs Group raised their price objective on CVS Health from $95.00 to $97.00 and gave the company a "buy" rating in a report on Thursday, February 12th. Wolfe Research reduced their price target on CVS Health from $100.00 to $97.00 and set an "outperform" rating on the stock in a research report on Monday, March 2nd. TD Cowen restated a "buy" rating on shares of CVS Health in a research report on Friday, March 13th. Finally, Weiss Ratings restated a "hold (c-)" rating on shares of CVS Health in a research report on Monday, December 29th. Twenty research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat, CVS Health presently has an average rating of "Moderate Buy" and a consensus price target of $95.05.

Trending Headlines about CVS Health

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

• Positive Sentiment: Aetna (a CVS Health company) reported measurable progress simplifying prior authorization, which should reduce administrative costs and speed care delivery—potentially improving medical cost trends and margins for the health-insurance segment. Aetna Announces Progress on Industry Leading Efforts to Simplify Prior Authorization
• Positive Sentiment: Major U.S. insurers (including Aetna and UnitedHealthcare) are coordinating to standardize electronic prior authorization — a structural change that could cut administrative friction across payors and providers, benefiting CVS’s insurance and PBM businesses over time. U.S. Health Insurers Step Up Prior Authorization Reforms
• Neutral Sentiment: CVS is pursuing packaging and sustainability changes (e.g., swapping foam and other supplier moves) that lower costs and environmental footprint, but these are incremental operational items unlikely to move near-term earnings materially. Packaging innovations: CVS Health swaps foam, PPG coats pet food cans
• Neutral Sentiment: Recent market-coverage pieces note modest share weakness in the last session; this reflects a mix of sector moves and headline sensitivity rather than fresh company-specific fundamentals. CVS Health (CVS) Stock Falls Amid Market Uptick: What Investors Need to Know
• Negative Sentiment: Tennessee passed a bill restricting pharmacies from owning PBMs; CVS warns the law could force many store closures and plans to sue—this represents direct state-level regulatory risk to retail pharmacy revenue and PBM economics. Legislation to ban pharmacies from owning PBMs heads to Gov. Lee's desk, CVS Health may close Tenn. locations
• Negative Sentiment: Multiple outlets report CVS is preparing legal fights and warning of large-scale closures if similar PBM restrictions spread—heightening investor concern about regulatory contagion and potential earnings downside. CVS fights law that could force over 100 stores to close
• Negative Sentiment: Analysis of the Mass General Brigham–CVS primary care arrangement flags potential hidden access costs (~$40M) that could pressure the economics of CVS’s expanding primary care footprint. Mass General Brigham, CVS Primary Care Deal Could Have a $40M Hidden Cost of Access

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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