CVS Health Corporation (CVS) Sees Higher Price Target Despite PBM Pressures

Core Viewpoint - CVS Health Corporation is considered a cheap healthcare stock with potential for investment as it heads into 2026, supported by positive guidance from its Aetna business unit despite challenges in its Pharmacy Benefit Manager (PBM) segment [1][2]. Group 1: Analyst Ratings and Price Targets - Bernstein SocGen Group raised the price target for CVS Health Corporation from $77.00 to $86.00 while maintaining a 'Market Perform' rating, attributing the improved outlook to the Aetna unit [1]. - RBC Capital maintained an 'Outperform' rating with a price target of $93.00 ahead of the company's Investor Day presentation, emphasizing CVS's strong position in the evolving PBM market [4]. Group 2: Business Segments and Growth Potential - CVS operates through three segments: Health Care Benefits, Health Services, and Pharmacy & Consumer Wellness, with Aetna identified as a significant growth driver [5]. - The PBM segment is expected to see growth resume alongside an increase in drug spending, although near-term earnings growth remains uncertain due to complexities in the PBM environment [3].