CVS HEALTH CORP (1CVS.MI) Stock Fundamental Analysis
Europe - BIT:1CVS - US1266501006 - Common Stock
70 EUR
+1.63 (+2.38%)
We assign a fundamental rating of 3 out of 10 to 1CVS. 1CVS was compared to 31 industry peers in the Health Care Providers & Services industry. Both the profitability and financial health of 1CVS have multiple concerns. 1CVS is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year 1CVS was profitable.
1CVS had a positive operating cash flow in the past year.
1CVS had positive earnings in each of the past 5 years.
In the past 5 years 1CVS always reported a positive cash flow from operatings.
1.2 Ratios
1CVS's Return On Assets of 1.75% is on the low side compared to the rest of the industry. 1CVS is outperformed by 64.52% of its industry peers.
1CVS has a Return On Equity of 5.86%. This is comparable to the rest of the industry: 1CVS outperforms 41.94% of its industry peers.
With a Return On Invested Capital value of 4.57%, 1CVS perfoms like the industry average, outperforming 48.39% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1CVS is in line with the industry average of 6.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.75% | ||
| ROE | 5.86% | ||
| ROIC | 4.57% |
ROA(3y)2.35%
ROA(5y)2.72%
ROE(3y)7.68%
ROE(5y)8.81%
ROIC(3y)6.22%
ROIC(5y)6.35%
1.3 Margins
Looking at the Profit Margin, with a value of 1.17%, 1CVS is doing worse than 61.29% of the companies in the same industry.
1CVS's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 2.65%, 1CVS is not doing good in the industry: 70.97% of the companies in the same industry are doing better.
1CVS's Operating Margin has declined in the last couple of years.
1CVS has a worse Gross Margin (13.82%) than 61.29% of its industry peers.
In the last couple of years the Gross Margin of 1CVS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.65% | ||
| PM (TTM) | 1.17% | ||
| GM | 13.82% |
OM growth 3Y-19.77%
OM growth 5Y-11.12%
PM growth 3Y-23.26%
PM growth 5Y-13.69%
GM growth 3Y-8.24%
GM growth 5Y-18.43%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 1CVS is destroying value.
The number of shares outstanding for 1CVS has been reduced compared to 1 year ago.
Compared to 5 years ago, 1CVS has less shares outstanding
Compared to 1 year ago, 1CVS has a worse debt to assets ratio.
2.2 Solvency
1CVS has an Altman-Z score of 2.23. This is not the best score and indicates that 1CVS is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.23, 1CVS is in line with its industry, outperforming 58.06% of the companies in the same industry.
The Debt to FCF ratio of 1CVS is 13.91, which is on the high side as it means it would take 1CVS, 13.91 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 13.91, 1CVS is doing worse than 61.29% of the companies in the same industry.
1CVS has a Debt/Equity ratio of 0.78. This is a neutral value indicating 1CVS is somewhat dependend on debt financing.
The Debt to Equity ratio of 1CVS (0.78) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 13.91 | ||
| Altman-Z | 2.23 |
ROIC/WACC0.6
WACC7.6%
2.3 Liquidity
1CVS has a Current Ratio of 0.80. This is a bad value and indicates that 1CVS is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.80, 1CVS is not doing good in the industry: 67.74% of the companies in the same industry are doing better.
1CVS has a Quick Ratio of 0.80. This is a bad value and indicates that 1CVS is not financially healthy enough and could expect problems in meeting its short term obligations.
1CVS's Quick ratio of 0.62 is on the low side compared to the rest of the industry. 1CVS is outperformed by 70.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.62 |
3. Growth
3.1 Past
The earnings per share for 1CVS have decreased strongly by -15.13% in the last year.
The Earnings Per Share has been decreasing by -5.20% on average over the past years.
The Revenue has been growing slightly by 6.44% in the past year.
The Revenue has been growing slightly by 7.74% on average over the past years.
EPS 1Y (TTM)-15.13%
EPS 3Y-13.62%
EPS 5Y-5.2%
EPS Q2Q%-1.09%
Revenue 1Y (TTM)6.44%
Revenue growth 3Y8.47%
Revenue growth 5Y7.74%
Sales Q2Q%8.42%
3.2 Future
1CVS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.91% yearly.
Based on estimates for the next years, 1CVS will show a small growth in Revenue. The Revenue will grow by 4.71% on average per year.
EPS Next Y18.7%
EPS Next 2Y15.58%
EPS Next 3Y14.55%
EPS Next 5Y10.91%
Revenue Next Year6.16%
Revenue Next 2Y5%
Revenue Next 3Y5.09%
Revenue Next 5Y4.71%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 12.82, 1CVS is valued correctly.
1CVS's Price/Earnings ratio is rather cheap when compared to the industry. 1CVS is cheaper than 80.65% of the companies in the same industry.
1CVS is valuated cheaply when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 11.23, the valuation of 1CVS can be described as reasonable.
Based on the Price/Forward Earnings ratio, 1CVS is valued a bit cheaper than 74.19% of the companies in the same industry.
1CVS is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.82 | ||
| Fwd PE | 11.23 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, 1CVS is valued a bit more expensive than 64.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.57 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as 1CVS's earnings are expected to grow with 14.55% in the coming years.
PEG (NY)0.69
PEG (5Y)N/A
EPS Next 2Y15.58%
EPS Next 3Y14.55%
5. Dividend
5.1 Amount
1CVS has a Yearly Dividend Yield of 3.28%.
Compared to an average industry Dividend Yield of 2.44, 1CVS pays a better dividend. On top of this 1CVS pays more dividend than 90.32% of the companies listed in the same industry.
1CVS's Dividend Yield is a higher than the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.28% |
5.2 History
The dividend of 1CVS has a limited annual growth rate of 5.72%.
Dividend Growth(5Y)5.72%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
74.62% of the earnings are spent on dividend by 1CVS. This is not a sustainable payout ratio.
1CVS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP74.62%
EPS Next 2Y15.58%
EPS Next 3Y14.55%
BIT:1CVS (10/15/2025, 7:00:00 PM)
70
+1.63 (+2.38%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners88.11%
Inst Owner ChangeN/A
Ins Owners0.99%
Ins Owner ChangeN/A
Market Cap88.78B
Revenue(TTM)386.64B
Net Income(TTM)4.53B
Analysts80
Price Target69.65 (-0.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.28% |
Yearly Dividend2.28
Dividend Growth(5Y)5.72%
DP74.62%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)26.87%
Min EPS beat(2)22.99%
Max EPS beat(2)30.76%
EPS beat(4)3
Avg EPS beat(4)13.15%
Min EPS beat(4)-28.4%
Max EPS beat(4)30.76%
EPS beat(8)6
Avg EPS beat(8)5.23%
EPS beat(12)10
Avg EPS beat(12)4.69%
EPS beat(16)14
Avg EPS beat(16)4.93%
Revenue beat(2)2
Avg Revenue beat(2)1.83%
Min Revenue beat(2)0.02%
Max Revenue beat(2)3.64%
Revenue beat(4)3
Avg Revenue beat(4)1.27%
Min Revenue beat(4)-0.46%
Max Revenue beat(4)3.64%
Revenue beat(8)5
Avg Revenue beat(8)0.67%
Revenue beat(12)9
Avg Revenue beat(12)2.1%
Revenue beat(16)13
Avg Revenue beat(16)2.16%
PT rev (1m)-0.44%
PT rev (3m)0.26%
EPS NQ rev (1m)-0.11%
EPS NQ rev (3m)-5.25%
EPS NY rev (1m)0.09%
EPS NY rev (3m)3.84%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)1.33%
Revenue NY rev (1m)0.3%
Revenue NY rev (3m)1.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.82 | ||
| Fwd PE | 11.23 | ||
| P/S | 0.27 | ||
| P/FCF | 21.57 | ||
| P/OCF | 13.62 | ||
| P/B | 1.33 | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)5.46
EY7.8%
EPS(NY)6.24
Fwd EY8.91%
FCF(TTM)3.25
FCFY4.64%
OCF(TTM)5.14
OCFY7.34%
SpS262.52
BVpS52.54
TBVpS-27.19
PEG (NY)0.69
PEG (5Y)N/A
Graham Number80.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.75% | ||
| ROE | 5.86% | ||
| ROCE | 6.23% | ||
| ROIC | 4.57% | ||
| ROICexc | 5% | ||
| ROICexgc | 21.47% | ||
| OM | 2.65% | ||
| PM (TTM) | 1.17% | ||
| GM | 13.82% | ||
| FCFM | 1.24% |
ROA(3y)2.35%
ROA(5y)2.72%
ROE(3y)7.68%
ROE(5y)8.81%
ROIC(3y)6.22%
ROIC(5y)6.35%
ROICexc(3y)6.76%
ROICexc(5y)6.87%
ROICexgc(3y)25.87%
ROICexgc(5y)25.07%
ROCE(3y)8.35%
ROCE(5y)8.51%
ROICexgc growth 3Y-10.65%
ROICexgc growth 5Y-1.15%
ROICexc growth 3Y-14.28%
ROICexc growth 5Y-4.08%
OM growth 3Y-19.77%
OM growth 5Y-11.12%
PM growth 3Y-23.26%
PM growth 5Y-13.69%
GM growth 3Y-8.24%
GM growth 5Y-18.43%
F-Score5
Asset Turnover1.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 13.91 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 0.72% | ||
| Interest Coverage | -3.41 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 105.5% | ||
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.62 | ||
| Altman-Z | 2.23 |
F-Score5
WACC7.6%
ROIC/WACC0.6
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)0.81%
Cap/Sales(5y)0.84%
Profit Quality(3y)191.23%
Profit Quality(5y)191.5%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.13%
EPS 3Y-13.62%
EPS 5Y-5.2%
EPS Q2Q%-1.09%
EPS Next Y18.7%
EPS Next 2Y15.58%
EPS Next 3Y14.55%
EPS Next 5Y10.91%
Revenue 1Y (TTM)6.44%
Revenue growth 3Y8.47%
Revenue growth 5Y7.74%
Sales Q2Q%8.42%
Revenue Next Year6.16%
Revenue Next 2Y5%
Revenue Next 3Y5.09%
Revenue Next 5Y4.71%
EBIT growth 1Y-20.52%
EBIT growth 3Y-12.98%
EBIT growth 5Y-4.24%
EBIT Next Year40.75%
EBIT Next 3Y19.75%
EBIT Next 5Y18.23%
FCF growth 1Y-72.95%
FCF growth 3Y-26.21%
FCF growth 5Y-9.45%
OCF growth 1Y-63.11%
OCF growth 3Y-20.7%
OCF growth 5Y-6.65%
CVS HEALTH CORP / 1CVS.MI FAQ
What is the fundamental rating for 1CVS stock?
ChartMill assigns a fundamental rating of 3 / 10 to 1CVS.MI.
Can you provide the valuation status for CVS HEALTH CORP?
ChartMill assigns a valuation rating of 5 / 10 to CVS HEALTH CORP (1CVS.MI). This can be considered as Fairly Valued.
What is the profitability of 1CVS stock?
CVS HEALTH CORP (1CVS.MI) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for 1CVS stock?
The Price/Earnings (PE) ratio for CVS HEALTH CORP (1CVS.MI) is 12.82 and the Price/Book (PB) ratio is 1.33.
Can you provide the expected EPS growth for 1CVS stock?
The Earnings per Share (EPS) of CVS HEALTH CORP (1CVS.MI) is expected to grow by 18.7% in the next year.