CVS Health (CVS - Free Report) closed at $78.91 in the latest trading session, marking a -0.77% move from the prior day. This change was narrower than the S&P 500's 3.24% loss on the day. Elsewhere, the Dow lost 3.1%, while the tech-heavy Nasdaq lost 3.8%.
Prior to today's trading, shares of the drugstore chain and pharmacy benefits manager had gained 8.8% over the past month. This has outpaced the Retail-Wholesale sector's gain of 2.95% and the S&P 500's gain of 2.73% in that time.
Wall Street will be looking for positivity from CVS as it approaches its next earnings report date. This is expected to be February 14, 2019. On that day, CVS is projected to report earnings of $2.13 per share, which would represent year-over-year growth of 10.94%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $50.38 billion, up 4.13% from the year-ago period.
CVS's full-year Zacks Consensus Estimates are calling for earnings of $7.03 per share and revenue of $189.54 billion. These results would represent year-over-year changes of +19.15% and +2.59%, respectively.
Any recent changes to analyst estimates for CVS should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.31% lower. CVS is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note CVS's current valuation metrics, including its Forward P/E ratio of 11.31. This valuation marks a discount compared to its industry's average Forward P/E of 13.11.
Meanwhile, CVS's PEG ratio is currently 1.14. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Pharmacies and Drug Stores was holding an average PEG ratio of 1.15 at yesterday's closing price.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 68, which puts it in the top 26% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.