CVS Health(US:CVS) ZACKS·2025-10-15 14:18Core Insights - CVS Health has shown strong stock performance, with an 8.4% increase over the past month and a 77.5% gain since the start of the year, outperforming the Zacks Medical sector and the Zacks Medical Services industry [1][2] Financial Performance - CVS Health reported an EPS of $1.81 in its last earnings report, exceeding the consensus estimate of $1.47, and beat the revenue estimate by 5.54% [2] - For the current fiscal year, CVS Health is expected to post earnings of $6.36 per share on revenues of $392.28 billion, reflecting a 17.34% change in EPS and a 5.22% change in revenues [3] - For the next fiscal year, the company is projected to earn $7.16 per share on revenues of $415.1 billion, indicating a year-over-year change of 12.47% in EPS and 5.82% in revenues [3] Valuation Metrics - CVS Health has a Value Score of A, with Growth and Momentum Scores of C, resulting in a VGM Score of A [6] - The stock trades at 12.5X current fiscal year EPS estimates, below the peer industry average of 17.1X, and at 8.8X trailing cash flow compared to the peer group's average of 10.5X [7] - The PEG ratio stands at 0.88, positioning CVS Health favorably among value investors [7] Zacks Rank - CVS Health holds a Zacks Rank of 2 (Buy), supported by a solid earnings estimate revision trend [8] - The stock aligns with the recommendation for investors to select stocks with Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, indicating potential for future growth [8] Industry Comparison - Labcorp Holdings Inc. is a notable peer with a Zacks Rank of 2 (Buy) and solid financial performance, expected to post earnings of $16.30 per share on revenue of $14 billion for the current fiscal year [9][10] - The Medical Services industry is performing well, ranking in the top 39% of all industries, suggesting favorable conditions for both CVS Health and Labcorp Holdings Inc. [11]