CVS Health Target of Unusually Large Options Trading (NYSE:CVS)

CVS Health Co. (NYSE:CVS) saw some unusual options trading activity on Wednesday. Investors purchased 92,977 put options on the stock. This is an increase of approximately 121% compared to the typical volume of 42,006 put options.

CVS Health Stock Down 1.0 %

Shares of NYSE:CVS traded down $0.54 during midday trading on Wednesday, hitting $55.20. 8,298,834 shares of the stock were exchanged, compared to its average volume of 11,829,027. The company has a market capitalization of $69.30 billion, a PE ratio of 9.71, a P/E/G ratio of 0.88 and a beta of 0.56. CVS Health has a 52-week low of $53.70 and a 52-week high of $83.25. The company has a debt-to-equity ratio of 0.78, a quick ratio of 0.61 and a current ratio of 0.81. The business’s fifty day simple moving average is $71.95 and its two-hundred day simple moving average is $73.09.

CVS Health (NYSE:CVS) last announced its quarterly earnings results on Wednesday, May 1st. The pharmacy operator reported $1.31 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.69 by ($0.38). The firm had revenue of $88.44 billion for the quarter, compared to analyst estimates of $89.33 billion. CVS Health had a net margin of 2.03% and a return on equity of 13.53%. The firm’s quarterly revenue was up 3.7% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $2.20 earnings per share. As a group, research analysts predict that CVS Health will post 7.03 earnings per share for the current fiscal year.

CVS Health Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, May 1st. Investors of record on Monday, April 22nd were paid a $0.665 dividend. This represents a $2.66 annualized dividend and a dividend yield of 4.82%. The ex-dividend date of this dividend was Friday, April 19th. CVS Health’s payout ratio is presently 46.75%.

Insider Activity

In other CVS Health news, EVP Prem S. Shah sold 29,473 shares of the company’s stock in a transaction dated Friday, February 16th. The shares were sold at an average price of $76.95, for a total value of $2,267,947.35. Following the completion of the transaction, the executive vice president now owns 39,765 shares in the company, valued at approximately $3,059,916.75. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. In other CVS Health news, EVP Prem S. Shah sold 29,473 shares of the business’s stock in a transaction on Friday, February 16th. The stock was sold at an average price of $76.95, for a total transaction of $2,267,947.35. Following the completion of the transaction, the executive vice president now owns 39,765 shares in the company, valued at approximately $3,059,916.75. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Edward J. Ludwig purchased 1,000 shares of the stock in a transaction dated Thursday, May 2nd. The shares were acquired at an average cost of $53.88 per share, for a total transaction of $53,880.00. Following the completion of the acquisition, the director now directly owns 21,630 shares of the company’s stock, valued at approximately $1,165,424.40. The disclosure for this purchase can be found here. Corporate insiders own 0.24% of the company’s stock.

Hedge Funds Weigh In On CVS Health

Hedge funds have recently bought and sold shares of the business. Atticus Wealth Management LLC increased its stake in shares of CVS Health by 149.0% in the fourth quarter. Atticus Wealth Management LLC now owns 366 shares of the pharmacy operator’s stock worth $29,000 after purchasing an additional 219 shares during the period. USA Financial Formulas increased its position in CVS Health by 573.2% during the fourth quarter. USA Financial Formulas now owns 377 shares of the pharmacy operator’s stock worth $30,000 after acquiring an additional 321 shares during the period. Cornerstone Planning Group LLC increased its holdings in shares of CVS Health by 111.5% during the 3rd quarter. Cornerstone Planning Group LLC now owns 461 shares of the pharmacy operator’s stock worth $32,000 after purchasing an additional 243 shares during the period. Ables Iannone Moore & Associates Inc. bought a new position in CVS Health during the fourth quarter valued at about $32,000. Finally, Creekmur Asset Management LLC acquired a new stake in CVS Health during the fourth quarter worth $34,000. 80.66% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several equities research analysts recently commented on CVS shares. Piper Sandler boosted their target price on CVS Health from $93.00 to $94.00 and gave the stock an “overweight” rating in a report on Friday, March 15th. UBS Group cut CVS Health from a “buy” rating to a “neutral” rating and decreased their target price for the company from $85.00 to $60.00 in a research note on Thursday, May 2nd. The Goldman Sachs Group cut their price target on shares of CVS Health from $85.00 to $74.00 and set a “buy” rating for the company in a report on Thursday, May 2nd. Cantor Fitzgerald downgraded shares of CVS Health from an “overweight” rating to a “neutral” rating and dropped their target price for the stock from $87.00 to $58.00 in a report on Wednesday, May 1st. Finally, SVB Leerink restated a “market perform” rating and issued a $60.00 price target (down previously from $87.00) on shares of CVS Health in a research report on Wednesday, May 1st. Nine analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company’s stock. Based on data from MarketBeat, CVS Health currently has a consensus rating of “Moderate Buy” and a consensus target price of $77.67.

About CVS Health

CVS Health Corporation provides health solutions in the United States. It operates through Health Care Benefits, Health Services, and Pharmacy & Consumer Wellness segments. The Health Care Benefits segment offers traditional, voluntary, and consumer-directed health insurance products and related services.