Westbourne Investments Inc. Takes Position in CVS Health Corporation $CVS

Key Points

• Westbourne Investments Inc. has invested approximately $508,000 in CVS Health by acquiring 7,500 shares during the first quarter.
• CVS Health reported earnings of $1.81 per share for the last quarter, exceeding expectations of $1.46, along with revenues of $98.92 billion.
• CVS Health declared a quarterly dividend of $0.665, representing an annualized dividend yield of 3.6% with a payout ratio of 74.30%.

Westbourne Investments Inc. purchased a new stake in shares of CVS Health Corporation (NYSE:CVS - Free Report) during the first quarter, according to the company in its most recent disclosure with the SEC. The firm purchased 7,500 shares of the pharmacy operator's stock, valued at approximately $508,000.

A number of other institutional investors have also recently made changes to their positions in the stock. Vanguard Group Inc. boosted its holdings in shares of CVS Health by 0.8% during the 1st quarter. Vanguard Group Inc. now owns 118,335,394 shares of the pharmacy operator's stock valued at $8,017,223,000 after acquiring an additional 969,027 shares during the last quarter. Dodge & Cox boosted its holdings in shares of CVS Health by 4.8% during the 1st quarter. Dodge & Cox now owns 73,459,122 shares of the pharmacy operator's stock valued at $4,976,856,000 after acquiring an additional 3,353,223 shares during the last quarter. Invesco Ltd. boosted its holdings in shares of CVS Health by 13.2% during the 1st quarter. Invesco Ltd. now owns 20,413,853 shares of the pharmacy operator's stock valued at $1,383,039,000 after acquiring an additional 2,375,764 shares during the last quarter. Price T Rowe Associates Inc. MD boosted its holdings in shares of CVS Health by 14.5% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 15,309,289 shares of the pharmacy operator's stock valued at $1,037,205,000 after acquiring an additional 1,942,886 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. boosted its holdings in shares of CVS Health by 5.6% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 13,647,873 shares of the pharmacy operator's stock valued at $924,643,000 after acquiring an additional 728,924 shares during the last quarter. Hedge funds and other institutional investors own 80.66% of the company's stock.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on CVS shares. UBS Group raised shares of CVS Health from a "neutral" rating to a "buy" rating and raised their price objective for the stock from $67.00 to $79.00 in a report on Monday, August 18th. Jefferies Financial Group raised their price objective on shares of CVS Health from $74.00 to $80.00 and gave the stock a "buy" rating in a report on Monday, June 30th. Barclays raised their price objective on shares of CVS Health from $80.00 to $87.00 and gave the stock an "overweight" rating in a report on Thursday, September 4th. Baird R W raised shares of CVS Health from a "hold" rating to a "strong-buy" rating in a report on Thursday, August 14th. Finally, Cowen reissued a "buy" rating on shares of CVS Health in a report on Monday, August 4th. Two research analysts have rated the stock with a Strong Buy rating, nineteen have issued a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $77.89.

CVS Health Price Performance

NYSE:CVS traded up $0.33 during trading hours on Friday, hitting $75.00. 6,400,711 shares of the stock traded hands, compared to its average volume of 6,903,319. The company has a quick ratio of 0.62, a current ratio of 0.80 and a debt-to-equity ratio of 0.74. CVS Health Corporation has a 1 year low of $43.56 and a 1 year high of $75.55. The company has a market cap of $95.12 billion, a price-to-earnings ratio of 20.95, a price-to-earnings-growth ratio of 0.82 and a beta of 0.62. The stock has a 50 day moving average price of $67.11 and a 200 day moving average price of $66.32.

CVS Health (NYSE:CVS - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The pharmacy operator reported $1.81 earnings per share for the quarter, beating the consensus estimate of $1.46 by $0.35. CVS Health had a net margin of 1.17% and a return on equity of 10.51%. The business had revenue of $98.92 billion for the quarter, compared to the consensus estimate of $94.87 billion. During the same quarter in the previous year, the firm earned $1.83 earnings per share. The company's revenue for the quarter was up 8.4% on a year-over-year basis. CVS Health has set its FY 2025 guidance at 6.300-6.400 EPS. Sell-side analysts forecast that CVS Health Corporation will post 5.89 EPS for the current fiscal year.

CVS Health Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, August 1st. Shareholders of record on Tuesday, July 22nd were issued a dividend of $0.665 per share. The ex-dividend date of this dividend was Tuesday, July 22nd. This represents a $2.66 annualized dividend and a yield of 3.5%. CVS Health's payout ratio is currently 74.30%.

Insider Activity

In other news, Director Anne A. Finucane sold 7,500 shares of CVS Health stock in a transaction that occurred on Wednesday, August 20th. The shares were sold at an average price of $71.02, for a total transaction of $532,650.00. Following the sale, the director owned 22,156 shares in the company, valued at $1,573,519.12. This trade represents a 25.29% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 1.22% of the stock is currently owned by insiders.

About CVS Health

CVS Health Corporation provides health solutions in the United States. It operates through Health Care Benefits, Health Services, and Pharmacy & Consumer Wellness segments. The Health Care Benefits segment offers traditional, voluntary, and consumer-directed health insurance products and related services.