We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
CVS Health (CVS) Stock Falls Amid Market Uptick: What Investors Need to Know
Read MoreHide Full Article
The most recent trading session ended with CVS Health (CVS - Free Report) standing at $73.92, reflecting a -0.61% shift from the previouse trading day's closing. The stock fell short of the S&P 500, which registered a gain of 1.25% for the day. On the other hand, the Dow registered a gain of 0.97%, and the technology-centric Nasdaq increased by 1.3%.
The drugstore chain and pharmacy benefits manager's stock has dropped by 8.05% in the past month, falling short of the Retail-Wholesale sector's loss of 0.11% and the S&P 500's gain of 1.58%.
The investment community will be closely monitoring the performance of CVS Health in its forthcoming earnings report. The company is scheduled to release its earnings on February 7, 2024. The company's upcoming EPS is projected at $2, signifying a 0.5% increase compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $90.46 billion, indicating a 7.89% increase compared to the same quarter of the previous year.
Investors should also note any recent changes to analyst estimates for CVS Health. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.16% higher. CVS Health presently features a Zacks Rank of #3 (Hold).
Looking at its valuation, CVS Health is holding a Forward P/E ratio of 8.72. This represents a premium compared to its industry's average Forward P/E of 6.88.
One should further note that CVS currently holds a PEG ratio of 2.06. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Retail - Pharmacies and Drug Stores stocks are, on average, holding a PEG ratio of 1.72 based on yesterday's closing prices.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 110, placing it within the top 44% of over 250 industries.
The Zacks Industry Rank gauges the strength of our 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
CVS Health (CVS) Stock Falls Amid Market Uptick: What Investors Need to Know
The most recent trading session ended with CVS Health (CVS - Free Report) standing at $73.92, reflecting a -0.61% shift from the previouse trading day's closing. The stock fell short of the S&P 500, which registered a gain of 1.25% for the day. On the other hand, the Dow registered a gain of 0.97%, and the technology-centric Nasdaq increased by 1.3%.
The drugstore chain and pharmacy benefits manager's stock has dropped by 8.05% in the past month, falling short of the Retail-Wholesale sector's loss of 0.11% and the S&P 500's gain of 1.58%.
The investment community will be closely monitoring the performance of CVS Health in its forthcoming earnings report. The company is scheduled to release its earnings on February 7, 2024. The company's upcoming EPS is projected at $2, signifying a 0.5% increase compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $90.46 billion, indicating a 7.89% increase compared to the same quarter of the previous year.
Investors should also note any recent changes to analyst estimates for CVS Health. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.16% higher. CVS Health presently features a Zacks Rank of #3 (Hold).
Looking at its valuation, CVS Health is holding a Forward P/E ratio of 8.72. This represents a premium compared to its industry's average Forward P/E of 6.88.
One should further note that CVS currently holds a PEG ratio of 2.06. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Retail - Pharmacies and Drug Stores stocks are, on average, holding a PEG ratio of 1.72 based on yesterday's closing prices.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 110, placing it within the top 44% of over 250 industries.
The Zacks Industry Rank gauges the strength of our 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.