CVS health stock: analysts' suggestions

Analysts recommend a "purchase"

Most badysts who cover the CVS Health (CVS) stock continue to recommend the purchase. The company's low valuation multiples, the expected improvement in its adjusted earnings and the strong growth rate in sales will likely lead to a rise in long-term CVS equities. With the acquisition of Aetna, CVS Health's revenue is expected to grow rapidly to double digits. Growth in prescription volumes should support growth in net sales.

Strong sales and margin growth should contribute to CVS Health's profitability. However, the pressure of repayments and the increase in the number of shares outstanding should weigh on the company's earnings in the short term. Short-term earnings pressures determine the direction of CVS stock and limit the rise.

Rating and target price

Of the 27 badysts providing ratings and a target price on CVS Health shares, 17 recommended a "buy", while ten had a "neutral" outlook. Analysts have maintained a consensus target of 68.48 USD per share on CVS Health, which suggests a potential upside of 28.3% on the basis of the closing price of 53.39 USD on 3 June.

Analysts have recommended to "suspend" the actions of Walgreens Boots Alliance (WBA). The net results of Walgreens should remain under pressure in the coming quarters, leaving badysts on the sidelines.