HighTower Advisors LLC Boosts Stake in CVS Health Corporation $CVS

HighTower Advisors LLC lifted its holdings in CVS Health Corporation (NYSE:CVS) by 3.7% during the fourth quarter, Holdings Channel reports. The institutional investor owned 276,039 shares of the pharmacy operator’s stock after purchasing an additional 9,726 shares during the quarter. HighTower Advisors LLC’s holdings in CVS Health were worth $21,906,000 at the end of the most recent reporting period.

A number of other institutional investors have also recently modified their holdings of the business. Envestnet Portfolio Solutions Inc. grew its holdings in CVS Health by 1.6% in the fourth quarter. Envestnet Portfolio Solutions Inc. now owns 51,895 shares of the pharmacy operator’s stock valued at $4,118,000 after purchasing an additional 806 shares during the last quarter. Entrust Financial LLC acquired a new stake in CVS Health in the fourth quarter valued at $55,000. Mission Wealth Management LP grew its holdings in CVS Health by 37.5% in the fourth quarter. Mission Wealth Management LP now owns 5,443 shares of the pharmacy operator’s stock valued at $432,000 after purchasing an additional 1,484 shares during the last quarter. Chase Investment Counsel Corp grew its holdings in CVS Health by 8.7% in the fourth quarter. Chase Investment Counsel Corp now owns 4,566 shares of the pharmacy operator’s stock valued at $362,000 after purchasing an additional 364 shares during the last quarter. Finally, North Dakota State Investment Board acquired a new stake in CVS Health in the fourth quarter valued at $3,479,000. 80.66% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several analysts have weighed in on CVS shares. Barclays upped their target price on CVS Health from $93.00 to $101.00 and gave the company an “overweight” rating in a report on Thursday, May 7th. Truist Financial upped their target price on CVS Health from $98.00 to $102.00 and gave the company a “buy” rating in a report on Thursday, May 7th. HSBC upped their target price on CVS Health from $83.00 to $85.00 and gave the company a “hold” rating in a report on Tuesday, May 5th. UBS Group upped their target price on CVS Health from $97.00 to $100.00 and gave the company a “buy” rating in a report on Thursday, May 7th. Finally, Wells Fargo & Company upped their price objective on CVS Health from $102.00 to $103.00 and gave the company an “overweight” rating in a research report on Friday, May 8th. Twenty-two research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $98.68.

CVS Health News Summary

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

• Positive Sentiment: Bernstein reiterated an Outperform rating and raised its price target on CVS to $106, saying the company is well positioned for a Medicare Advantage turnaround. Bernstein Sees CVS Well Positioned for Medicare Advantage Turnaround
• Positive Sentiment: Glenview Capital said CVS has delivered about an 80% total return since May 2024, reinforcing confidence in the company’s operational turnaround and long-term investment case. Glenview Capital Issues Statement on CVS Health
• Neutral Sentiment: CVS announced a collaboration with America250 to support the nation’s 250th anniversary celebration, a brand-building move that is unlikely to have a major near-term effect on earnings. CVS Health Collaborates With America250 To Support the Nation’s 250th Anniversary Celebration
• Neutral Sentiment: Recent community and philanthropic announcements, including support for military families and senior housing, add to CVS’s public-facing story but are not likely to move the shares materially on their own. CVS Health, Diocese of Camden, and The Walters Group Unite to Bring Senior Affordable Housing to Williamstown, New Jersey
• Negative Sentiment: Three major hospital systems, including affiliates tied to Mount Sinai, the University of Michigan, and the University of Kansas, sued CVS, alleging it siphoned about $250 million from the 340B drug program through reduced reimbursements. Hospitals sue CVS for allegedly siphoning $250M in 340B funds
• Negative Sentiment: Separate reports say hospital systems are expanding the 340B dispute, raising the risk of more litigation, settlement costs, and reputational pressure for CVS’s pharmacy-benefit operations. CVS Health Lawsuits Test 340B Practices And Investor Risk Assessment
• Negative Sentiment: Director Larry Robbins disclosed several large stock sales over the past few days, including a roughly $187 million sale, which can weigh on investor sentiment even though he still owns a large stake. SEC Form 4 filing

Insider Buying and Selling at CVS Health

In related news, Director Larry Robbins sold 1,983,538 shares of the company’s stock in a transaction on Tuesday, May 19th. The stock was sold at an average price of $94.45, for a total value of $187,345,164.10. Following the completion of the transaction, the director directly owned 6,213,261 shares in the company, valued at approximately $586,842,501.45. This represents a 24.20% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, EVP Tilak Mandadi sold 69,551 shares of the company’s stock in a transaction on Friday, May 8th. The shares were sold at an average price of $89.58, for a total value of $6,230,378.58. Following the completion of the transaction, the executive vice president owned 10,133 shares of the company’s stock, valued at $907,714.14. The trade was a 87.28% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 3,441,551 shares of company stock valued at $323,703,977 over the last quarter. Insiders own 0.85% of the company’s stock.

CVS Health Stock Down 0.1%

Shares of NYSE:CVS opened at $93.24 on Friday. The company has a quick ratio of 0.66, a current ratio of 0.87 and a debt-to-equity ratio of 0.78. CVS Health Corporation has a 52-week low of $58.50 and a 52-week high of $98.43. The stock’s fifty day simple moving average is $80.38 and its 200-day simple moving average is $79.08. The company has a market capitalization of $118.97 billion, a P/E ratio of 41.08, a P/E/G ratio of 0.91 and a beta of 0.60.

CVS Health (NYSE:CVS) last issued its quarterly earnings data on Wednesday, May 6th. The pharmacy operator reported $2.57 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.21 by $0.36. CVS Health had a return on equity of 11.88% and a net margin of 0.72%.The business had revenue of $100.43 billion for the quarter, compared to the consensus estimate of $94.99 billion. During the same period in the prior year, the business earned $2.25 earnings per share. The business’s revenue was up 6.2% on a year-over-year basis. CVS Health has set its FY 2026 guidance at 7.300-7.500 EPS. As a group, equities research analysts forecast that CVS Health Corporation will post 7.44 earnings per share for the current fiscal year.

CVS Health Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Monday, May 4th. Stockholders of record on Thursday, April 23rd were given a $0.665 dividend. This represents a $2.66 annualized dividend and a dividend yield of 2.9%. The ex-dividend date was Thursday, April 23rd. CVS Health’s dividend payout ratio is currently 117.18%.

About CVS Health

CVS Health Corporation is a diversified healthcare company that operates a large network of retail pharmacies, pharmacy benefit management services and health care solutions. Headquartered in Woonsocket, Rhode Island, the company traces its roots to the early 1960s and has grown into an integrated provider of prescription drugs, over?the?counter products, clinical services and health insurance offerings. Its operating model combines retail pharmacy locations and in?store clinics with broader pharmacy and health plan capabilities.

Key business activities include CVS Pharmacy retail operations, MinuteClinic walk?in medical clinics and HealthHUB locations that offer expanded clinical services.