CVS Health (CVS) Stock Moves -1.52%: What You Should Know
In the latest trading session, CVS Health (CVS) closed at $74.41, marking a -1.52% move from the previous day. This change was narrower than the S&P 500's daily loss of 1.65%. Meanwhile, the Dow lost 1.63%, and the Nasdaq, a tech-heavy index, lost 6.65%.
Coming into today, shares of the drugstore chain and pharmacy benefits manager had lost 13.76% in the past month. In that same time, the Retail-Wholesale sector lost 1.62%, while the S&P 500 gained 0.3%.
Investors will be hoping for strength from CVS Health as it approaches its next earnings release. On that day, CVS Health is projected to report earnings of $2.12 per share, which would represent a year-over-year decline of 4.5%. Meanwhile, our latest consensus estimate is calling for revenue of $81.41 billion, up 5.97% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $8.84 per share and revenue of $333.43 billion. These totals would mark changes of +1.73% and +3.4%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for CVS Health. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. CVS Health currently has a Zacks Rank of #3 (Hold).
Investors should also note CVS Health's current valuation metrics, including its Forward P/E ratio of 8.55. This represents a premium compared to its industry's average Forward P/E of 7.45.
It is also worth noting that CVS currently has a PEG ratio of 1.17. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Retail - Pharmacies and Drug Stores stocks are, on average, holding a PEG ratio of 1.33 based on yesterday's closing prices.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 20, putting it in the top 8% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
CVS Health Corporation (CVS) : Free Stock Analysis Report
