NEW YORK (TheStreet) -- Shares of CVS Health (CVS) were gaining 0.3% to $86.07 Monday ahead of the drugstore operator's third-quarter earnings report scheduled for release before the market opens on Tuesday.
Analysts expect CVS to report earnings of $1.13 a share and revenue of $34.74 billion for the third quarter. The company's most recent estimates call for earnings of $1.11 to $1.14 a share for the quarter.
During its second quarter earnings call the company said it expects front store sales to drop between 400 and 500 basis points in the third quarter.
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CVS stopped selling tobacco products in its drugstores on Oct. 1, the day after the end of its third quarter.
TheStreet Ratings team rates CVS HEALTH CORP as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:
"We rate CVS HEALTH CORP (CVS) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. 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 low profit margins."