CVS Health Corporation $CVS Stock: Rakuten Investment Management Inc. Grows Position

Rakuten Investment Management Inc. increased its holdings in shares of CVS Health Corporation (NYSE:CVS) by 10.0% during the third quarter, HoldingsChannel.com reports. The fund owned 229,362 shares of the pharmacy operator’s stock after buying an additional 20,884 shares during the period. Rakuten Investment Management Inc.’s holdings in CVS Health were worth $19,977,000 at the end of the most recent reporting period.

Several other institutional investors have also modified their holdings of CVS. BlackRock Inc. acquired a new stake in shares of CVS Health during the 2nd quarter worth about $12,747,462,000. State Street Corp raised its stake in shares of CVS Health by 26.3% in the second quarter. State Street Corp now owns 74,927,064 shares of the pharmacy operator’s stock valued at $7,751,205,000 after acquiring an additional 15,604,883 shares in the last quarter. Wellington Management Group LLP grew its position in shares of CVS Health by 49.8% during the second quarter. Wellington Management Group LLP now owns 33,801,113 shares of the pharmacy operator’s stock worth $3,496,725,000 after buying an additional 11,233,381 shares in the last quarter. Bank of America Corp DE raised its holdings in shares of CVS Health by 148.0% in the 2nd quarter. Bank of America Corp DE now owns 23,188,670 shares of the pharmacy operator’s stock valued at $2,398,868,000 after purchasing an additional 13,836,701 shares in the last quarter. Finally, Pzena Investment Management LLC purchased a new stake in CVS Health during the 2nd quarter worth about $1,217,558,000. Hedge funds and other institutional investors own 80.66% of the company’s stock.

Key CVS Health News

Here are the key news stories impacting CVS Health this week:

• Positive Sentiment: CVS reported Q3 adjusted earnings of $2.09 per share, above the $1.65 consensus estimate, while revenue rose 5.4% year over year to $108.4 billion. Management raised its 2026 adjusted EPS outlook to at least $8.20 from a prior range of $7.90–$8.10. CVS Q3 results and guidance
• Neutral Sentiment: The company plans to separate its retail pharmacy business from its health benefits, pharmacy-benefit and care operations, creating two publicly traded companies by the first half of 2028. CVS says the businesses could gain focus and strategic flexibility, though the separation is still more than a year away. CVS breakup plan
• Negative Sentiment: The breakup announcement appears to be the main overhang: investors are reacting warily to CVS reversing its vertically integrated strategy, including the Aetna combination, despite the earnings beat. The scale and complexity of unwinding the businesses may be fueling uncertainty around execution and the value of the new structure. Market reaction to CVS split plan

CVS Health Trading Down 12.6%

Shares of CVS stock opened at $79.90 on Thursday. CVS Health Corporation has a fifty-two week low of $69.51 and a fifty-two week high of $110.68. The company has a quick ratio of 0.66, a current ratio of 0.87 and a debt-to-equity ratio of 0.74. The business has a fifty day simple moving average of $90.82 and a 200-day simple moving average of $88.86. The stock has a market cap of $102.19 billion, a P/E ratio of 21.14, a P/E/G ratio of 0.85 and a beta of 0.58.

CVS Health (NYSE:CVS) last issued its quarterly earnings data on Wednesday, November 4th. The pharmacy operator reported $2.09 earnings per share for the quarter, topping analysts’ consensus estimates of $1.65 by $0.44. The business had revenue of $108.40 billion during the quarter, compared to analysts’ expectations of $104.72 billion. CVS Health had a net margin of 1.18% and a return on equity of 13.12%. The company’s revenue was up 5.4% on a year-over-year basis. During the same period last year, the company posted $1.60 EPS. On average, analysts forecast that CVS Health Corporation will post 8.02 earnings per share for the current fiscal year.

CVS Health Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, November 2nd. Shareholders of record on Thursday, October 22nd were paid a dividend of $0.6650 per share. This represents a $2.66 annualized dividend and a dividend yield of 3.3%. The ex-dividend date of this dividend was Thursday, October 22nd. CVS Health’s dividend payout ratio (DPR) is currently 70.37%.

Analyst Ratings Changes

Several brokerages have issued reports on CVS. Argus raised their price objective on shares of CVS Health from $104.00 to $114.00 and gave the stock a “buy” rating in a research report on Wednesday, August 19th. Jefferies Financial Group reaffirmed a “buy” rating and issued a $103.00 target price on shares of CVS Health in a report on Wednesday. Truist Financial boosted their price target on shares of CVS Health from $108.00 to $118.00 and gave the stock a “buy” rating in a research note on Tuesday, July 14th. Sanford C. Bernstein reaffirmed an “outperform” rating and issued a $112.00 price objective on shares of CVS Health in a report on Wednesday, September 9th. Finally, BMO Capital Markets set a $112.00 target price on CVS Health in a research note on Wednesday, September 9th. Twenty-two equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat, CVS Health presently has an average rating of “Moderate Buy” and an average price target of $109.46.

About CVS Health

CVS Health Corporation (NYSE: CVS) is a diversified health care company that provides pharmacy, insurance and health services in the United States. Its businesses serve consumers, employers, health plans and health care providers through pharmacies, benefit programs, insurance coverage and clinical care services.

The company’s Pharmacy Services segment, led by CVS Caremark, manages prescription drug benefits for employers, insurers and government programs. CVS Pharmacy operates retail pharmacies and health-focused stores that dispense prescriptions and offer over-the-counter products, health and wellness merchandise, immunizations and related services.