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CVS Health (CVS) Stock Sinks As Market Gains: What You Should Know
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CVS Health (CVS - Free Report) closed at $108.04 in the latest trading session, marking a -0.48% move from the prior day. This change lagged the S&P 500's 0.71% gain on the day. At the same time, the Dow added 0.27%, and the tech-heavy Nasdaq gained 0.14%.
Heading into today, shares of the drugstore chain and pharmacy benefits manager had gained 4.08% over the past month, outpacing the Retail-Wholesale sector's gain of 2.3% and the S&P 500's gain of 3.76% in that time.
Wall Street will be looking for positivity from CVS Health as it approaches its next earnings report date. In that report, analysts expect CVS Health to post earnings of $2.16 per share. This would mark year-over-year growth of 5.88%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $75.17 billion, up 8.79% from the year-ago period.
CVS's full-year Zacks Consensus Estimates are calling for earnings of $8.26 per share and revenue of $307.17 billion. These results would represent year-over-year changes of -1.67% and +5.16%, respectively.
Investors should also note any recent changes to analyst estimates for CVS Health. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. CVS Health is currently a Zacks Rank #3 (Hold).
Investors should also note CVS Health's current valuation metrics, including its Forward P/E ratio of 13.14. This represents a premium compared to its industry's average Forward P/E of 11.26.
Meanwhile, CVS's PEG ratio is currently 1.62. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Pharmacies and Drug Stores was holding an average PEG ratio of 1.91 at yesterday's closing price.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 199, putting it in the bottom 22% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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CVS Health (CVS) Stock Sinks As Market Gains: What You Should Know
CVS Health (CVS - Free Report) closed at $108.04 in the latest trading session, marking a -0.48% move from the prior day. This change lagged the S&P 500's 0.71% gain on the day. At the same time, the Dow added 0.27%, and the tech-heavy Nasdaq gained 0.14%.
Heading into today, shares of the drugstore chain and pharmacy benefits manager had gained 4.08% over the past month, outpacing the Retail-Wholesale sector's gain of 2.3% and the S&P 500's gain of 3.76% in that time.
Wall Street will be looking for positivity from CVS Health as it approaches its next earnings report date. In that report, analysts expect CVS Health to post earnings of $2.16 per share. This would mark year-over-year growth of 5.88%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $75.17 billion, up 8.79% from the year-ago period.
CVS's full-year Zacks Consensus Estimates are calling for earnings of $8.26 per share and revenue of $307.17 billion. These results would represent year-over-year changes of -1.67% and +5.16%, respectively.
Investors should also note any recent changes to analyst estimates for CVS Health. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. CVS Health is currently a Zacks Rank #3 (Hold).
Investors should also note CVS Health's current valuation metrics, including its Forward P/E ratio of 13.14. This represents a premium compared to its industry's average Forward P/E of 11.26.
Meanwhile, CVS's PEG ratio is currently 1.62. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Pharmacies and Drug Stores was holding an average PEG ratio of 1.91 at yesterday's closing price.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 199, putting it in the bottom 22% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.