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CVS Health (CVS) Stock Moves -0.57%: What You Should Know

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The latest trading session saw CVS Health (CVS - Free Report) ending at $59.57, denoting a -0.57% adjustment from its last day's close. The stock's performance was ahead of the S&P 500's daily loss of 0.71%. On the other hand, the Dow registered a loss of 0.93%, and the technology-centric Nasdaq decreased by 0.81%.

Heading into today, shares of the drugstore chain and pharmacy benefits manager had lost 1.79% over the past month, lagging the Retail-Wholesale sector's loss of 0.03% and the S&P 500's gain of 1.08% in that time.

Market participants will be closely following the financial results of CVS Health in its upcoming release. The company plans to announce its earnings on August 7, 2024. The company is forecasted to report an EPS of $1.76, showcasing a 20.36% downward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $91.62 billion, reflecting a 3.03% rise from the equivalent quarter last year.

CVS's full-year Zacks Consensus Estimates are calling for earnings of $7.02 per share and revenue of $368.96 billion. These results would represent year-over-year changes of -19.68% and +3.12%, respectively.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for CVS Health. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. At present, CVS Health boasts a Zacks Rank of #3 (Hold).

In terms of valuation, CVS Health is currently trading at a Forward P/E ratio of 8.54. For comparison, its industry has an average Forward P/E of 7.85, which means CVS Health is trading at a premium to the group.

It's also important to note that CVS currently trades at a PEG ratio of 0.57. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Pharmacies and Drug Stores industry currently had an average PEG ratio of 0.68 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 238, which puts it in the bottom 6% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow CVS in the coming trading sessions, be sure to utilize Zacks.com.


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