CVS Corp Stock Valuation

CVS
 Stock
  

USD 93.94  1.28  1.38%   

How much is CVS Corp worth today? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as CVS Corp, is its stock price multiplied by the total number of shares outstanding, calculating CVS Corp's enterprise value requires a different approach. It uses CVS Corp's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
As of 07/03/2022, Free Cash Flow is likely to drop to about 12.8 B. In addition to that, Enterprise Value is likely to drop to about 177.7 B.
CVS Corp shows a prevailing Real Value of $103.33 per share. The current price of the firm is $93.94. At this time, the firm appears to be undervalued. Our model approximates the value of CVS Corp from analyzing the firm fundamentals such as return on equity of 10.99 %, and Profit Margin of 2.68 % as well as examining its technical indicators and Probability Of Bankruptcy. In general, we favor buying undervalued instruments and selling overvalued instruments since, at some point future time, asset prices and their ongoing real values will blend.
  
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CVS Corp Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as CVS Corp's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

CVS Corp Most Recent Valuation Data

Price Book
1.68
Price Sales
0.41
Forward Annual Dividend Yield
0.0234
EBITDA
18.7 B
Dividend Share
2.05
Ex Dividend Date
2022-04-21
Beta
0.77
Undervalued
Today 93.94
Please note that CVS Corp's price fluctuation is very steady at this time. Calculation of the real value of CVS Corp is based on 3 months time horizon. Increasing CVS Corp's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for CVS Corp is useful when determining the fair value of the CVS Corp stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of CVS Corp. Since CVS Corp is currently traded on the exchange, buyers and sellers on that exchange determine the market value of CVS Corp Stock. However, CVS Corp's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
103.33
Real Value
105.10
Upside
Estimating the potential upside or downside of CVS Corp helps investors to forecast how CVS Corp stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of CVS Corp more accurately as focusing exclusively on CVS Corp's fundamentals will not take into account other important factors:
Earnings
Estimates (4)
LowProjected EPSHigh
8.368.368.37
Details
Hype
Prediction
LowEstimated ValueHigh
92.1893.9595.72
Details
Potential
Annual Dividend
LowIncome Per ShareHigh
0.820.830.85
Details
18 Analysts
Consensus
LowTarget PriceHigh
80.00111.00125.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use CVS Corp's intrinsic value based on its ongoing forecasts of CVS Corp's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against CVS Corp's closest peers. When choosing an evaluation method for CVS Corp, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

CVS Corp Investments

28.21 Billion

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CVS Corp Valuation Drivers Correlation

Many accounts on the financial statements of CVS Corp are highly interrelated and sometimes correlated. Consequently, when conducting CVS Corp's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of CVS Corp
Click cells to compare fundamentals

CVS Corp Valuation Trend

Knowing CVS Corp's actual value is paramount for traders to make sound investment determinations. CVS Corp's real value is not only important for the investor to make better decisions but also for a more accurate overall view of CVS Corp's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both CVS Corp's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

CVS Corp Market Cap

CVS Corp is number one stock in market capitalization category among related companies. Market capitalization of Healthcare Plans industry is currently estimated at about 1.92 Trillion. CVS Corp holds roughly 122.41 Billion in market capitalization claiming about 6% of equities under Healthcare Plans industry.
Capitalization  Valuation  Total debt  Revenue  Workforce

CVS Corp Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining CVS Corp's current stock value. Our valuation model uses many indicators to compare CVS Corp value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across CVS Corp competition to find correlations between indicators driving CVS Corp's intrinsic value. More Info.
CVS Corp is number one stock in price to book category among related companies. It is number one stock in beta category among related companies totaling about  0.47  of Beta per Price to Book. The ratio of Price to Book to Beta for CVS Corp is roughly  2.14 . Comparative valuation analysis is a catch-all model that can be used if you cannot value CVS Corp by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for CVS Corp's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the CVS Corp's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates CVS Corp's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in CVS Corp and how it compares across the competition.

About CVS Corp Valuation

The equity valuation mechanism determines the current worth of CVS Corp on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of CVS Corp. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of CVS Corp based exclusively on its fundamental and basic technical indicators. By analyzing CVS Corp's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of CVS Corp's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of CVS Corp. We calculate exposure to CVS Corp's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to CVS Corp's related companies.
Last ReportedProjected for 2022
Gross Profit52 B46 B
Profit Margin 0.0243  0.0246 
CVS Health Corporation provides health services in the United States. CVS Health Corporation was founded in 1963 and is headquartered in Woonsocket, Rhode Island. CVS Corp operates under Healthcare Plans classification in the United States and is traded on New York Stock Exchange. It employs 216000 people.

CVS Corp Quarterly Enterprise Value

199.43 Billion

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CVS Corp's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether CVS Corp's value is low or high relative to the company's performance and growth projections. Determining the market value of CVS Corp can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of CVS Corp represents a small ownership stake in the entity. As a stockholder of CVS Corp, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

CVS Corp Dividends Analysis For Valuation

As of 07/03/2022, Dividend Yield is likely to grow to 0.0215, while Payment of Dividends and Other Cash Distributions is likely to drop (2.8 B). . As of 07/03/2022, Price to Earnings Ratio is likely to grow to 18.55, while Accumulated Retained Earnings Deficit are likely to drop slightly above 50.8 B.
Last ReportedProjected for 2022
Payment of Dividends and Other Cash Distributions-2.6 B-2.8 B
Dividend Yield 0.019  0.0215 
Dividends per Basic Common Share 2.30  2.07 
There are various types of dividends CVS Corp can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of CVS Corp shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from CVS Corp directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When CVS Corp pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of CVS Corp by the value of the dividends paid out.

CVS Corp Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as CVS Corp does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio0.54
Earnings Quarterly Growth4.00%
Revenue Growth11.40%
Payout Ratio34.11%
Enterprise Value To Ebitda9.85
Earnings Growth3.60%
Enterprise Value To Revenue0.62

CVS Corp Current Valuation Indicators

Valuation refers to the process of determining the present value of CVS Corp and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value CVS Corp we look at many different elements of the entity such as CVS Corp's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. CVS Corp's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final CVS Corp's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as CVS Corp, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use CVS Corp's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes CVS Corp's worth.
Continue to Trending Equities. Note that the CVS Corp information on this page should be used as a complementary analysis to other CVS Corp's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Global Correlations module to find global opportunities by holding instruments from different markets.

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When running CVS Corp price analysis, check to measure CVS Corp's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy CVS Corp is operating at the current time. Most of CVS Corp's value examination focuses on studying past and present price action to predict the probability of CVS Corp's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move CVS Corp's price. Additionally, you may evaluate how the addition of CVS Corp to your portfolios can decrease your overall portfolio volatility.
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Is CVS Corp's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of CVS Corp. If investors know CVS Corp will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about CVS Corp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.036
Market Capitalization
123.2 B
Quarterly Revenue Growth YOY
0.11
Return On Assets
0.0386
Return On Equity
0.11
The market value of CVS Corp is measured differently than its book value, which is the value of CVS Corp that is recorded on the company's balance sheet. Investors also form their own opinion of CVS Corp's value that differs from its market value or its book value, called intrinsic value, which is CVS Corp's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because CVS Corp's market value can be influenced by many factors that don't directly affect CVS Corp's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between CVS Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine CVS Corp value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, CVS Corp's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.