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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 the most recent trading day at $92.53, moving -1.5% from the previous trading session. This move lagged the S&P 500's daily gain of 0.16%. Elsewhere, the Dow lost 0.42%, while the tech-heavy Nasdaq added 0.48%.
Coming into today, shares of the drugstore chain and pharmacy benefits manager had lost 1.86% in the past month. In that same time, the Retail-Wholesale sector lost 4.37%, while the S&P 500 lost 6.79%.
Investors will be hoping for strength from CVS Health as it approaches its next earnings release. In that report, analysts expect CVS Health to post earnings of $2.16 per share. This would mark a year-over-year decline of 10.74%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $76.56 billion, up 5.43% from the year-ago period.
CVS's full-year Zacks Consensus Estimates are calling for earnings of $8.34 per share and revenue of $308.65 billion. These results would represent year-over-year changes of -0.71% and +5.66%, respectively.
Investors should also note any recent changes to analyst estimates for CVS Health. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. Over the past month, the Zacks Consensus EPS estimate has moved 0.13% higher. CVS Health is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, CVS Health is holding a Forward P/E ratio of 11.26. This valuation marks a premium compared to its industry's average Forward P/E of 7.66.
It is also worth noting that CVS currently has a PEG ratio of 1.48. 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 industry currently had an average PEG ratio of 1.51 as of yesterday's close.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 182, which puts it in the bottom 28% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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CVS Health (CVS) Stock Sinks As Market Gains: What You Should Know
CVS Health (CVS - Free Report) closed the most recent trading day at $92.53, moving -1.5% from the previous trading session. This move lagged the S&P 500's daily gain of 0.16%. Elsewhere, the Dow lost 0.42%, while the tech-heavy Nasdaq added 0.48%.
Coming into today, shares of the drugstore chain and pharmacy benefits manager had lost 1.86% in the past month. In that same time, the Retail-Wholesale sector lost 4.37%, while the S&P 500 lost 6.79%.
Investors will be hoping for strength from CVS Health as it approaches its next earnings release. In that report, analysts expect CVS Health to post earnings of $2.16 per share. This would mark a year-over-year decline of 10.74%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $76.56 billion, up 5.43% from the year-ago period.
CVS's full-year Zacks Consensus Estimates are calling for earnings of $8.34 per share and revenue of $308.65 billion. These results would represent year-over-year changes of -0.71% and +5.66%, respectively.
Investors should also note any recent changes to analyst estimates for CVS Health. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. Over the past month, the Zacks Consensus EPS estimate has moved 0.13% higher. CVS Health is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, CVS Health is holding a Forward P/E ratio of 11.26. This valuation marks a premium compared to its industry's average Forward P/E of 7.66.
It is also worth noting that CVS currently has a PEG ratio of 1.48. 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 industry currently had an average PEG ratio of 1.51 as of yesterday's close.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 182, which puts it in the bottom 28% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.