Patient Capital Management LLC has decreased its stake in CVS Health Corporation (NYSE: CVS) by 6.3% during the second quarter of 2023. According to a recent filing with the Securities and Exchange Commission (SEC), the institutional investor now holds 1,241,924 shares after selling 83,714 shares within the quarter. CVS Health represents 3.9% of Patient Capital Management LLC’s portfolio, making it the firm’s ninth largest position, valued at approximately $85.67 million.
Several other institutional investors have also adjusted their positions in CVS Health. Cantor Fitzgerald Investment Advisors L.P. increased its holdings by 1.6%, acquiring an additional 6,615 shares during the same period, bringing its total to 409,735 shares valued at $28.26 million. Brandywine Global Investment Management LLC raised its stake by 20.1% in the first quarter, now owning 3,421,519 shares worth $231.81 million after purchasing an additional 572,533 shares.
Other notable movements include Holderness Investments Co., which initiated a new stake valued at $300,000, and Red Mountain Financial LLC, which acquired a position worth $293,000. Additionally, Vanguard Group Inc. increased its holdings by 0.8%, now owning 118,335,394 shares valued at $8.02 billion after acquiring an extra 969,027 shares. Currently, hedge funds and other institutional investors own approximately 80.66% of CVS Health’s stock.
Analysts Raise Price Targets for CVS Health
Recent analyst reports indicate a positive outlook for CVS Health. Leerink Partners raised their price target from $86.00 to $95.00, maintaining an “outperform” rating as of October 16, 2023. Similarly, UBS Group increased their target from $79.00 to $96.00, issuing a “buy” rating on October 24, 2023. Wells Fargo & Company slightly decreased their price target from $103.00 to $102.00 while maintaining an “overweight” rating.
Weiss Ratings reiterated a “hold (c-)” rating, while Barclays increased their price target from $80.00 to $87.00, also assigning an “overweight” rating. Currently, two analysts have issued a Strong Buy rating, twenty-one recommend Buy, and four have assigned a Hold rating, resulting in a consensus rating of “Moderate Buy” with an average price target of $89.41, according to MarketBeat.com.
CVS Health Stock Performance and Financial Highlights
As of the latest trading session, CVS Health shares opened at $79.88. The company maintains a debt-to-equity ratio of 0.83 and a current ratio of 0.83, with a quick ratio of 0.62. Over the past twelve months, CVS Health has seen a low of $43.56 and a high of $85.15, reflecting a market capitalization of $101.40 billion. The stock’s price-to-earnings ratio stands at 210.22, with a price-to-earnings-growth ratio of 0.87 and a beta of 0.60. The 50-day moving average is $78.53, and the 200-day moving average is $70.59.
CVS Health recently reported its quarterly earnings on October 29, 2023. The company announced earnings per share (EPS) of $1.60, surpassing the consensus estimate of $1.36 by $0.24. Revenue for the quarter reached $102.87 billion, exceeding analyst expectations of $98.85 billion. The company reported a net margin of 0.12% and a return on equity of 11.45%, reflecting a 7.8% increase in quarterly revenue compared to the same period last year, where the EPS was $1.09. CVS Health has projected its fiscal year 2025 EPS guidance between $6.550 and $6.650, while analysts expect the company to report $5.89 EPS for the current year.
Additionally, CVS Health announced a quarterly dividend of $0.665 per share, which was paid to shareholders on November 3, 2023. This dividend translates to an annualized payout of $2.66 and a yield of 3.3%. The ex-dividend date was October 23, 2023, and CVS Health’s current payout ratio is 700.00%.
CVS Health Corporation operates across various segments, including Health Care Benefits, Health Services, and Pharmacy & Consumer Wellness, providing comprehensive health solutions throughout the United States.
