CVS HEALTH CORP (CVS) Stock Fundamental Analysis

NYSE:CVS • US1266501006

77.93 USD
+0.91 (+1.18%)
At close: Feb 12, 2026
77.93 USD
0 (0%)
After Hours: 2/12/2026, 4:16:38 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

3

Taking everything into account, CVS scores 3 out of 10 in our fundamental rating. CVS was compared to 102 industry peers in the Health Care Providers & Services industry. Both the profitability and financial health of CVS have multiple concerns. CVS is valued correctly, but it does not seem to be growing. Finally CVS also has an excellent dividend rating.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

  • In the past year CVS was profitable.
  • CVS had a positive operating cash flow in the past year.
  • Of the past 5 years CVS 4 years were profitable.
  • Of the past 5 years CVS 4 years had a positive operating cash flow.
CVS Yearly Net Income VS EBIT VS OCF VS FCFCVS Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B

1.2 Ratios

  • With a Return On Assets value of 0.18%, CVS perfoms like the industry average, outperforming 48.04% of the companies in the same industry.
  • Looking at the Return On Equity, with a value of 0.64%, CVS is in line with its industry, outperforming 52.94% of the companies in the same industry.
  • CVS has a Return On Invested Capital of 4.90%. This is comparable to the rest of the industry: CVS outperforms 56.86% of its industry peers.
  • CVS had an Average Return On Invested Capital over the past 3 years of 6.22%. This is below the industry average of 9.04%.
Industry RankSector Rank
ROA 0.18%
ROE 0.64%
ROIC 4.9%
ROA(3y)2.35%
ROA(5y)2.72%
ROE(3y)7.68%
ROE(5y)8.81%
ROIC(3y)6.22%
ROIC(5y)6.35%
CVS Yearly ROA, ROE, ROICCVS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 10 15

1.3 Margins

  • The Profit Margin of CVS (0.12%) is comparable to the rest of the industry.
  • In the last couple of years the Profit Margin of CVS has declined.
  • CVS has a Operating Margin (2.73%) which is comparable to the rest of the industry.
  • In the last couple of years the Operating Margin of CVS has declined.
  • CVS has a worse Gross Margin (13.88%) than 65.69% of its industry peers.
  • In the last couple of years the Gross Margin of CVS has declined.
Industry RankSector Rank
OM 2.73%
PM (TTM) 0.12%
GM 13.88%
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-4.91%
CVS Yearly Profit, Operating, Gross MarginsCVS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 10 15

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. Health

2.1 Basic Checks

  • CVS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • There is no outstanding debt for CVS. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
CVS Yearly Shares OutstandingCVS Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B
CVS Yearly Total Debt VS Total AssetsCVS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 50B 100B 150B 200B 250B

2.2 Solvency

  • CVS has an Altman-Z score of 2.25. This is not the best score and indicates that CVS is in the grey zone with still only limited risk for bankruptcy at the moment.
  • CVS has a Altman-Z score (2.25) which is comparable to the rest of the industry.
  • The Debt to FCF ratio of CVS is 10.46, which is on the high side as it means it would take CVS, 10.46 years of fcf income to pay off all of its debts.
  • CVS has a Debt to FCF ratio (10.46) which is comparable to the rest of the industry.
  • CVS has a Debt/Equity ratio of 0.85. This is a neutral value indicating CVS is somewhat dependend on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 0.85, CVS is in line with its industry, outperforming 47.06% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.85
Debt/FCF 10.46
Altman-Z 2.25
ROIC/WACC0.61
WACC8.02%
CVS Yearly LT Debt VS Equity VS FCFCVS Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 20B 40B 60B

2.3 Liquidity

  • CVS has a Current Ratio of 0.83. This is a bad value and indicates that CVS is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 0.83, CVS is doing worse than 81.37% of the companies in the same industry.
  • A Quick Ratio of 0.63 indicates that CVS may have some problems paying its short term obligations.
  • The Quick ratio of CVS (0.63) is worse than 80.39% of its industry peers.
Industry RankSector Rank
Current Ratio 0.83
Quick Ratio 0.63
CVS Yearly Current Assets VS Current LiabilitesCVS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 20B 40B 60B 80B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • CVS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.54%, which is quite impressive.
  • CVS shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.11% yearly.
EPS 1Y (TTM)24.54%
EPS 3Y-8.11%
EPS 5Y-2.11%
EPS Q2Q%-8.4%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%8.17%

3.2 Future

  • The Earnings Per Share is expected to grow by 9.08% on average over the next years. This is quite good.
  • Based on estimates for the next years, CVS will show a small growth in Revenue. The Revenue will grow by 4.26% on average per year.
EPS Next Y7.28%
EPS Next 2Y10.96%
EPS Next 3Y11.47%
EPS Next 5Y9.08%
Revenue Next Year2.59%
Revenue Next 2Y3.98%
Revenue Next 3Y5.31%
Revenue Next 5Y4.26%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
CVS Yearly Revenue VS EstimatesCVS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 100B 200B 300B 400B 500B
CVS Yearly EPS VS EstimatesCVS Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5 10 15

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Find the best growth stocksShow best growing peers

6

4. Valuation

4.1 Price/Earnings Ratio

  • CVS is valuated reasonably with a Price/Earnings ratio of 11.55.
  • 86.27% of the companies in the same industry are more expensive than CVS, based on the Price/Earnings ratio.
  • Compared to an average S&P500 Price/Earnings ratio of 28.18, CVS is valued rather cheaply.
  • The Price/Forward Earnings ratio is 10.76, which indicates a very decent valuation of CVS.
  • Based on the Price/Forward Earnings ratio, CVS is valued cheaply inside the industry as 87.25% of the companies are valued more expensively.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.01, CVS is valued rather cheaply.
Industry RankSector Rank
PE 11.55
Fwd PE 10.76
CVS Price Earnings VS Forward Price EarningsCVS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Price/Free Cash Flow ratio, CVS is valued a bit cheaper than the industry average as 76.47% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 15.72
EV/EBITDA N/A
CVS Per share dataCVS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 100 200 300

4.3 Compensation for Growth

  • CVS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.59
PEG (5Y)N/A
EPS Next 2Y10.96%
EPS Next 3Y11.47%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

7

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 3.51%, CVS has a reasonable but not impressive dividend return.
  • Compared to an average industry Dividend Yield of 0.48, CVS pays a better dividend. On top of this CVS pays more dividend than 97.06% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.80, CVS pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.51%

5.2 History

  • The dividend of CVS has a limited annual growth rate of 5.72%.
  • CVS has been paying a dividend for at least 10 years, so it has a reliable track record.
  • CVS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.72%
Div Incr Years3
Div Non Decr Years28
CVS Yearly Dividends per shareCVS Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1 1.5 2 2.5

5.3 Sustainability

  • 722.81% of the earnings are spent on dividend by CVS. This is not a sustainable payout ratio.
  • CVS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP722.81%
EPS Next 2Y10.96%
EPS Next 3Y11.47%
CVS Yearly Income VS Free CF VS DividendCVS Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B
CVS Dividend Payout.CVS Dividend Payout, showing the Payout Ratio.CVS Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

CVS HEALTH CORP

NYSE:CVS (2/12/2026, 4:16:38 PM)

After market: 77.93 0 (0%)

77.93

+0.91 (+1.18%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)02-10
Earnings (Next)04-29
Inst Owners89.6%
Inst Owner Change-1.15%
Ins Owners0.99%
Ins Owner Change-1.15%
Market Cap98.93B
Revenue(TTM)N/A
Net Income(TTM)469.00M
Analysts80
Price Target95.66 (22.75%)
Short Float %1.49%
Short Ratio2.26
Dividend
Industry RankSector Rank
Dividend Yield 3.51%
Yearly Dividend2.65
Dividend Growth(5Y)5.72%
DP722.81%
Div Incr Years3
Div Non Decr Years28
Ex-Date01-22
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.34%
Min EPS beat(2)15.69%
Max EPS beat(2)22.99%
EPS beat(4)4
Avg EPS beat(4)24.17%
Min EPS beat(4)15.69%
Max EPS beat(4)30.76%
EPS beat(8)6
Avg EPS beat(8)6.87%
EPS beat(12)10
Avg EPS beat(12)5.67%
EPS beat(16)14
Avg EPS beat(16)5.3%
Revenue beat(2)2
Avg Revenue beat(2)3.34%
Min Revenue beat(2)3.04%
Max Revenue beat(2)3.64%
Revenue beat(4)3
Avg Revenue beat(4)1.56%
Min Revenue beat(4)-0.46%
Max Revenue beat(4)3.64%
Revenue beat(8)5
Avg Revenue beat(8)0.97%
Revenue beat(12)9
Avg Revenue beat(12)1.97%
Revenue beat(16)13
Avg Revenue beat(16)2.12%
PT rev (1m)0.16%
PT rev (3m)10.57%
EPS NQ rev (1m)0.21%
EPS NQ rev (3m)3.18%
EPS NY rev (1m)0.04%
EPS NY rev (3m)2.01%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)1.09%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.52%
Valuation
Industry RankSector Rank
PE 11.55
Fwd PE 10.76
P/S 0.25
P/FCF 15.72
P/OCF 10.86
P/B 1.36
P/tB N/A
EV/EBITDA N/A
EPS(TTM)6.75
EY8.66%
EPS(NY)7.24
Fwd EY9.29%
FCF(TTM)4.96
FCFY6.36%
OCF(TTM)7.18
OCFY9.21%
SpS310.44
BVpS57.45
TBVpS-30.36
PEG (NY)1.59
PEG (5Y)N/A
Graham Number93.41
Profitability
Industry RankSector Rank
ROA 0.18%
ROE 0.64%
ROCE 6.61%
ROIC 4.9%
ROICexc 5.26%
ROICexgc 19.51%
OM 2.73%
PM (TTM) 0.12%
GM 13.88%
FCFM 1.6%
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-4.91%
F-Score6
Asset Turnover1.54
Health
Industry RankSector Rank
Debt/Equity 0.85
Debt/FCF 10.46
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales 0.71%
Interest Coverage -3.53
Cash Conversion N/A
Profit Quality 1341.79%
Current Ratio 0.83
Quick Ratio 0.63
Altman-Z 2.25
F-Score6
WACC8.02%
ROIC/WACC0.61
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)24.54%
EPS 3Y-8.11%
EPS 5Y-2.11%
EPS Q2Q%-8.4%
EPS Next Y7.28%
EPS Next 2Y10.96%
EPS Next 3Y11.47%
EPS Next 5Y9.08%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%8.17%
Revenue Next Year2.59%
Revenue Next 2Y3.98%
Revenue Next 3Y5.31%
Revenue Next 5Y4.26%
EBIT growth 1Y-3.81%
EBIT growth 3Y-12.98%
EBIT growth 5Y-4.24%
EBIT Next Year46.78%
EBIT Next 3Y19.74%
EBIT Next 5Y17.54%
FCF growth 1Y-44.32%
FCF growth 3Y-26.21%
FCF growth 5Y-9.45%
OCF growth 1Y-35.44%
OCF growth 3Y-20.7%
OCF growth 5Y-6.65%

CVS HEALTH CORP / CVS FAQ

What is the fundamental rating for CVS stock?

ChartMill assigns a fundamental rating of 4 / 10 to CVS.


What is the valuation status of CVS HEALTH CORP (CVS) stock?

ChartMill assigns a valuation rating of 7 / 10 to CVS HEALTH CORP (CVS). This can be considered as Undervalued.


What is the profitability of CVS stock?

CVS HEALTH CORP (CVS) has a profitability rating of 3 / 10.


Can you provide the expected EPS growth for CVS stock?

The Earnings per Share (EPS) of CVS HEALTH CORP (CVS) is expected to grow by 7.28% in the next year.


Can you provide the dividend sustainability for CVS stock?

The dividend rating of CVS HEALTH CORP (CVS) is 7 / 10 and the dividend payout ratio is 722.81%.