CVS Caremark Corp (CVS): Today's Featured Retail Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

CVS Caremark ( CVS) pushed the Retail industry higher today making it today's featured retail winner. The industry as a whole was unchanged today. By the end of trading, CVS Caremark rose 53 cents (1.1%) to $46.71 on average volume. Throughout the day, 5.8 million shares of CVS Caremark exchanged hands as compared to its average daily volume of 6.3 million shares. The stock ranged in a price between $46.16-$46.76 after having opened the day at $46.28 as compared to the previous trading day's close of $46.18. Other companies within the Retail industry that increased today were: dELiA*s ( DLIA), up 4.6%, Natural Grocers by Vitamin Cottage ( NGVC), up 4.1%, Builders FirstSource ( BLDR), up 3.9%, and Pep Boys - Manny Moe & Jack ( PBY), up 3.7%.
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CVS Caremark Corporation provides pharmacy health care services in the United States. CVS Caremark has a market cap of $57.27 billion and is part of the services sector. The company has a P/E ratio of 15.5, below the S&P 500 P/E ratio of 17.7. Shares are up 13.2% year to date as of the close of trading on Wednesday. Currently there are 16 analysts that rate CVS Caremark a buy, no analysts rate it a sell, and two rate it a hold.

TheStreet Ratings rates CVS Caremark as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, increase in net income and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

On the negative front, Coastal Contacts ( COA), down 8.3%, SUPERVALU ( SVU), down 4.8%, Gaiam Inc. Class A ( GAIA), down 4.8%, and Ascena Retail Group ( ASNA), down 4.3%, were all laggards within the retail industry with Sears Holdings Corporation ( SHLD) being today's retail industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the retail industry could consider SPDR S&P Retail ETF ( XRT) while those bearish on the retail industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

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