CVS reported first quarter net income of $1.22 billion, or $1.14 per diluted share, an increase from the $1.13 billion the company reported in the year ago period. The company generated $36.33 billion in revenue, an 11% increase from last year.
Analysts on average were expecting the company to report earnings of $1.08 cents per share on revenue of $35.92 billion. The company said that revenue from its pharmacy benefits segment rose 18% to almost $23 billion.
For the year the company is projecting earnings between $5.08 to $5.19 per share versus analysts' $5.16 per share expectations.
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, growth in earnings per share, good cash flow from operations, solid stock price performance and increase in net income. We feel these strengths outweigh the fact that the company shows low profit margins."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- You can view the full analysis from the report here: CVS Ratings Report