Will CVS Health's Formulary Move Boost Its Weight Management Program?

Core Insights - CVS Health aims to build customer trust by enhancing access to affordable life-changing medications, specifically by adding Wegovy to its formularies while removing Zepbound [1][2][8] - CVS plans to pair GLP-1 medications with lifestyle clinical support as part of its Weight Management program, which has shown positive outcomes for clients [3][8] CVS Strategy and Market Position - CVS Caremark will include Wegovy in its largest commercial template formularies starting July 1, while discontinuing coverage for Eli Lilly's Zepbound to balance access and affordability [2][8] - The partnership with Novo Nordisk aims to expand Wegovy's reach at a more affordable price, similar to CVS's previous success with Humira biosimilars [2][3] Financial Performance - CVS Health shares have increased by 48.8% year-to-date, outperforming the industry average of a 1.3% decline, with Elevance Health gaining 1% and UnitedHealth Group experiencing a 40.7% loss [6][8] - CVS is trading at a forward price-to-sales ratio of 0.21X, which is lower than the industry average of 0.40X, indicating an attractive valuation [8][9] Earnings Estimates - The consensus estimate for CVS Health's 2025 earnings has been trending upward, while the estimates for 2026 remain mixed [10]