Resources

CVS – Given management’s confidence in their growth, generics, and HealthHUB expansion, bearish market expectations are unwarranted, and upside is likely

May 10, 2019

  • CVS Health Corporation (CVS:USA) currently trades near historical averages relative to UAFRS-based (Uniform) Earnings, with a 16.9x Uniform P/E. At these levels, markets are pricing in bearish expectations for the firm, which is unwarranted given management’s confidence in store comp sales growth, generics performance, and the potential of HealthHUB. As such, outperformance is likely justified
  • Specifically, management is confident in their front store comp sales growth, their ability to meet earnings progression expectations, improvements in generics performance, and the potential of their HealthHUB expansion project

You don’t have access to the Valens Research Premium Application.

To get access to our best content including the highly regarded Conviction Long List and Market Phase Cycle macro newsletter, please contact our Client Relations Team at 630-841-0683 or email client.relations@valens-research.com.

Please fill out the fields below so that our client relations team can contact you

Or contact our Client Relationship Team at 630-841-0683