CVS Health (CVS) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
CVS Health said it will restore coverage of Eli Lilly's blockbuster weight loss injection Zepbound and start covering its new obesity pill on its standard drug plans. The move supports Lilly's efforts to maintain its dominance over Novo Nordisk in the blockbuster weight loss drug market, as it puts the two drugmakers on equal footing on major drug plans.
CVS Health (CVS) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
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A bankruptcy court has approved the sale of CVS Health's underperforming Omnicare long-term care pharmacy network to GenieRx in a deal valued at $250 million.
Whether you're a value, growth, or momentum investor, finding strong stocks becomes easier with the Zacks Style Scores, a top feature of the Zacks Premium research service.
Whether you're a value, growth, or momentum investor, finding strong stocks becomes easier with the Zacks Style Scores, a top feature of the Zacks Premium research service.
CVS Health Corporation remains deeply undervalued despite persistent headwinds and an 11-year correction, with intrinsic value estimates well above current prices. Q1 2026 results showed 6.2% revenue growth and a 63.1% EPS increase, prompting management to raise full-year guidance for revenue, cash flow, and earnings. Margins and the medical benefit ratio are showing early signs of recovery, supporting management's and analysts' renewed optimism for double-digit EPS growth.
CVS Health NYSE: CVS raised its full-year 2026 adjusted earnings outlook after reporting stronger first-quarter results, with management citing improved performance at Aetna, continued execution at Caremark and resilient pharmacy operations.
The +2.48% YoY payment hike for 2027 Medicare Advantage plans and Aetna's higher star rating support CVS Health's recovery prospects toward 2028 target margins. This is significantly aided by the prior premium re-pricing and the ongoing operational efficiencies, as observed in their FQ1 '26 MBR of 84.6% nearing 2019 levels. Readers must not forget their vertically integrated PBM and pharmacy capabilities, allowing them to drive lower medical costs and improved operational efficiencies.
CVS Health Corporation delivered a strong Q1, with revenues of $100.4bn and adjusted EPS up ~14% to $2.57, surpassing expectations. CVS raised 2026 guidance: revenue to $405bn, adjusted EPS to $7.4, and cash flow from operations to $9.5bn, reflecting renewed operational momentum. Improvement in the medical benefit ratio to 84.6% and robust health insurance segment profitability signal a turnaround in CVS's core business.
CVS Health Corporation (CVS) Q1 2026 Earnings Call Transcript