Evaluating CVS Health – Beyond Technicals, Dive into Fundamentals!

By Scott Lee • Tuesday, December 05 18:47 • Permanent Link

Large-cap Consumer Staples company CVS Health has moved 3.7% so far today on a volume of 14,705,759, compared to its average of 7,308,155. In contrast, the S&P 500 index moved -0.0%.

CVS Health trades -18.2% away from its average analyst target price of $86.82 per share. The 22 analysts following the stock have set target prices ranging from $74.0 to $104.0, and on average have given CVS Health a rating of buy.

Anyone interested in buying CVS should be aware of the facts below:

CVS Health's current price is -25.6% below its Graham number of $95.42, which implies the stock has a margin of safety
CVS Health has moved -29.0% over the last year, and the S&P 500 logged a change of 17.0%
Based on its trailing earnings per share of 6.53, CVS Health has a trailing 12 month Price to Earnings (P/E) ratio of 10.9 while the S&P 500 average is 15.97
CVS has a forward P/E ratio of 8.3 based on its forward 12 month price to earnings (EPS) of $8.51 per share
The company has a price to earnings growth (PEG) ratio of 1.99 — a number near or below 1 signifying that CVS Health is fairly valued compared to its estimated growth potential
Its Price to Book (P/B) ratio is 1.23 compared to its sector average of 4.12
CVS Health Corporation provides health services in the United States.
Based in Woonsocket, the company has 219,000 full time employees and a market cap of $91.4 Billion. CVS Health currently returns an annual dividend yield of 3.5%.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.