CVS Health (NYSE:CVS) Hits New 52-Week High – Should You Buy?

CVS Health Corporation (NYSE:CVS) reached a new 52-week high during trading on Tuesday . The stock traded as high as $109.28 and last traded at $108.8340, with a volume of 1067687 shares trading hands. The stock had previously closed at $107.61.

Trending Headlines about CVS Health

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

• Positive Sentiment: CVS drew unusually large options activity, with traders buying far more call contracts than normal, suggesting some investors are betting on more upside.
• Positive Sentiment: Analysts turned more constructive on CVS Health, with one outlet reporting a “Buy” upgrade and another saying the stock now carries a consensus “Moderate Buy” rating. CVS Health (NYSE:CVS) Rating Increased to Buy at Wall Street Zen
• Positive Sentiment: CVS announced that it is now filling select dog and cat prescriptions at its pharmacies nationwide, a move that could attract more store traffic and deepen customer loyalty. Pet medications now available at CVS Pharmacy®
• Positive Sentiment: CVS also highlighted community investment efforts in Massachusetts and renewed a multi-year agreement between Aetna and Memorial Healthcare System, which supports network access for Aetna members in South Florida. Memorial Healthcare System and Aetna Renew Multi-Year Agreement
• Neutral Sentiment: Brokerage coverage remains broadly favorable, with CVS receiving a consensus “Moderate Buy” rating overall, reinforcing a constructive longer-term view. CVS Health Corporation (NYSE:CVS) Receives Consensus Rating of “Moderate Buy” from Brokerages
• Negative Sentiment: Henry Ford Health sued CVS, alleging a $29 million pricing scheme tied to 340B drug pricing, creating legal and regulatory uncertainty for the company. Henry Ford Health sues CVS over alleged $29 million pricing scheme

Wall Street Analyst Weigh In

Several research firms recently commented on CVS. TD Cowen increased their price target on CVS Health from $105.00 to $110.00 and gave the company a “buy” rating in a report on Monday, May 11th. Weiss Ratings raised shares of CVS Health from a “hold (c)” rating to a “hold (c+)” rating in a research note on Monday. Mizuho raised their target price on CVS Health from $110.00 to $115.00 and gave the company an “outperform” rating in a report on Monday, June 8th. Deutsche Bank Aktiengesellschaft boosted their price target on shares of CVS Health from $88.00 to $92.00 and gave the stock a “buy” rating in a research note on Thursday, May 7th. Finally, Sanford C. Bernstein upped their target price on shares of CVS Health from $94.00 to $106.00 and gave the stock an “outperform” rating in a research note on Tuesday, May 12th. Twenty-one analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, CVS Health has a consensus rating of “Moderate Buy” and a consensus price target of $105.38.

CVS Health Stock Performance

The stock has a market cap of $137.75 billion, a PE ratio of 47.56, a P/E/G ratio of 1.08 and a beta of 0.61. The firm’s 50-day moving average is $99.78 and its 200 day moving average is $85.78. The company has a debt-to-equity ratio of 0.78, a quick ratio of 0.66 and a current ratio of 0.87.

CVS Health (NYSE:CVS) last released its quarterly earnings results on Wednesday, May 6th. The pharmacy operator reported $2.57 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.21 by $0.36. CVS Health had a return on equity of 11.88% and a net margin of 0.72%.The firm had revenue of $100.43 billion for the quarter, compared to analyst estimates of $94.99 billion. During the same quarter last year, the company posted $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, research analysts anticipate that CVS Health Corporation will post 7.46 EPS for the current year.

CVS Health Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, August 3rd. Stockholders of record on Thursday, July 23rd will be paid a $0.665 dividend. This represents a $2.66 annualized dividend and a dividend yield of 2.5%. The ex-dividend date is Thursday, July 23rd. CVS Health’s dividend payout ratio (DPR) is 117.18%.

Insider Buying and Selling

In other CVS Health news, Director Larry Robbins sold 370,462 shares of the business’s stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $93.45, for a total transaction of $34,619,673.90. Following the transaction, the director owned 4,824,799 shares in the company, valued at approximately $450,877,466.55. The trade was a 7.13% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible 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 stock was sold at an average price of $89.58, for a total value of $6,230,378.58. Following the transaction, the executive vice president directly owned 10,133 shares in the company, valued at $907,714.14. This represents a 87.28% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 3,441,551 shares of company stock worth $323,703,977 in the last ninety days. 0.85% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. increased its stake in shares of CVS Health by 1.5% during the 4th quarter. Vanguard Group Inc. now owns 120,709,530 shares of the pharmacy operator’s stock worth $9,579,508,000 after purchasing an additional 1,824,424 shares in the last quarter. State Street Corp raised its position in shares of CVS Health by 2.1% in the 4th quarter. State Street Corp now owns 60,183,743 shares of the pharmacy operator’s stock worth $4,776,182,000 after buying an additional 1,245,457 shares during the period. Capital International Investors lifted its stake in shares of CVS Health by 3.4% in the 4th quarter. Capital International Investors now owns 27,592,356 shares of the pharmacy operator’s stock valued at $2,189,793,000 after purchasing an additional 900,153 shares in the last quarter. Norges Bank purchased a new stake in CVS Health during the fourth quarter worth approximately $1,666,265,000. Finally, Morgan Stanley increased its holdings in CVS Health by 6.3% in the 4th quarter. Morgan Stanley now owns 20,373,774 shares of the pharmacy operator’s stock valued at $1,616,863,000 after purchasing an additional 1,211,631 shares in the last quarter. Hedge funds and other institutional investors own 80.66% of the company’s stock.

CVS Health Company Profile

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.