Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  Nyse  >  CVS Health Corporation    CVS

CVS HEALTH CORPORATION (CVS)
Mes dernières consult.
Most popular
  Report  
SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsofficial PublicationsSector newsTweets

CVS Health : profit beats as pharmacy margins rise

share with twitter share with LinkedIn share with facebook
share via e-mail
0
05/02/2017 | 06:06pm CEST
People walk outside a CVS store in Pasadena

(Reuters) - CVS Health Corp (>> CVS Health Corp) reported a bigger-than-expected quarterly profit as higher margins in its pharmacy business helped offset the loss of major contracts last year.

(Reuters) - CVS Health Corp (>> CVS Health Corp) reported a bigger-than-expected quarterly profit as higher margins in its pharmacy business helped offset the loss of major contracts last year.

Same-store prescription volumes fell 460 basis points in the first quarter due to the loss of contracts to fill prescriptions for Tricare, a U.S. Department of Defense health care program, and for customers of pharmacy benefits manager Prime Therapeutics, to rival Walgreens Boots Alliance Inc (>> Walgreens Boots Alliance Inc).

However, higher generic drug dispensing rate and a cut back on promotions at the front-end of the store lifted gross margin in the pharmacy business by about 35 basis points to 29.4 percent.

Front-end same-store sales fell 4.9 percent in the first three months ended March 31. The company sells beauty products, snacks and over-the-counter drugs at the front-end of its nearly 9,700 stores.

Front-end same-store sales slipped for the fourth straight quarter and the company has been investing to turn around sales by improving the store layout and product assortment.

CVS reiterated its 2017 profit forecast and estimated second-quarter adjusted earnings largely below analysts' average estimate of $1.33 per share.

The company's shares were down 2 percent at $80.23 in morning trading on Tuesday. Through Monday's close, they had gained 5.4 percent since Walgreens reported a surprise drop in sales last month.

Revenue in CVS's bigger pharmacy services business rose 8.5 percent to $31.2 billion as claims increased across its network and on strong demand for its specialty pharmacy service.

The specialty pharmacy service provides expensive drugs to people with chronic conditions such as rheumatoid arthritis.

Net income attributable to CVS fell to $952 million, or 92 cents per share, in the first quarter, from $1.15 billion, or $1.04 per share, a year earlier.

Interest expenses declined 11 percent to $252 million, while the company also got $19 million in tax benefits from the adoption of new accounting guidance for share-based compensation.

Excluding items, the company earned $1.17 per share.

Revenue rose 3 percent to $44.51 billion.

Analysts on average had expected earnings of $1.10 per share on revenue of $44.20 billion, according to Thomson Reuters I/B/E/S.

(Reporting by Sruthi Ramakrishnan in Bengaluru; Editing by Saumyadeb Chakrabarty and Sriraj Kalluvila)

Stocks treated in this article : CVS Health Corp, Walgreens Boots Alliance Inc
Stocks mentioned in the article
ChangeLast1st jan.
WALGREENS BOOTS ALLIANCE 0.68% 64.79 Delayed Quote.-9.13%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on CVS HEALTH CORPORATION
05/18CVS HEALTH : AG Curtis Hill Lauds CVS Officials for Drug-Disposal Plans
AQ
05/17CVS HEALTH : AG Curtis Hill to Join CVS Officials to Discuss Drug Disposal
AQ
05/14U.S. to consider expanding Medicare drug price negotiation
RE
05/14CVS HEALTH : Thinking about buying stock in Apple, CVS Health Corp, Facebook, Sy..
PR
05/12CVS HEALTH : installs medication disposal units across the state
AQ
05/12Trump assails high drug prices, avoids direct hit on industry
RE
05/11Trump's Plan to Cut Drug Prices Leaves Industry Relieved
DJ
05/11CVS HEALTH : Foundation gives $20K to Free Clinic of Meridian
AQ
05/11CVS HEALTH : Statement on Trump Administration Initiative to Reduce Drug Costs
PR
05/09CVS HEALTH : American Lung Association's LUNG FORCE Heroes Share Their Stories t..
AQ
More news
News from SeekingAlpha
09:48a10 Dividend Growth Stocks For May 2018 
05/19Consider Selling When Your Stock Does This 
05/18A 'VALUE-ABLE' EDUCATION : My Journey In Value Investing 
05/18AMAZON GO : Stores Worth Less Than Tech 
05/15Biotechs Emerge Unscathed And Ready To Go! 
Financials ($)
Sales 2018 189 B
EBIT 2018 9 961 M
Net income 2018 5 331 M
Debt 2018 19 170 M
Yield 2018 3,08%
P/E ratio 2018 12,70
P/E ratio 2019 9,91
EV / Sales 2018 0,46x
EV / Sales 2019 0,42x
Capitalization 66 855 M
Chart CVS HEALTH CORPORATION
Duration : Period :
CVS Health Corporation Technical Analysis Chart | CVS | US1266501006 | 4-Traders
Technical analysis trends CVS HEALTH CORPORATION
Short TermMid-TermLong Term
TrendsNeutralNeutralBearish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 22
Average target price 86,4 $
Spread / Average Target 33%
EPS Revisions
Managers
NameTitle
Larry J. Merlo President, CEO & Non-Independent Director
David Wyatt Dorman Chairman
Jonathan C. Roberts Chief Operating Officer & Executive Vice President
David M. Denton Chief Financial Officer & Executive Vice President
Troyen A. Brennan Chief Medical Officer & Executive Vice President
Sector and Competitors
1st jan.Capitalization (M$)
CVS HEALTH CORPORATION-9.30%66 855
WALGREENS BOOTS ALLIANCE-9.13%65 440
EXPRESS SCRIPTS HOLDING CO0.00%42 887
MCKESSON CORPORATION-3.18%31 155
AMERISOURCEBERGEN-7.68%19 138
CARDINAL HEALTH-12.96%17 098