---
title: CVS Health (CVS) — intrinsic value and fair price
canonical: https://sweetvaluelab.com/stocks/cvs
ticker: CVS
as_of: 2026-10-17
sector: Healthcare
industry: Medical - Healthcare Plans
---
# CVS Health (CVS)

CVS Health (CVS) closed at $92.36 on Oct 16, 2026, overvalued by 420% vs its model value of $17.75 (from a five-year discounted cash flow).

## Key figures

| Figure | Value |
| --- | ---: |
| Last close | $92.36 (Oct 16, 2026) |
| Model value (from a five-year discounted cash flow) | $17.75 |
| Price vs model | overvalued by 420% vs model |
| Range of that model | $17.75 – $108.43 |
| Market value | $118.1B |
| P/E (fiscal 2025) | 66.4 |
| Net margin (fiscal 2025) | 0.4% |
| Free cash flow (fiscal 2025) | $7.8B |
| Dividend yield (trailing twelve months) | 2.88% |
| Beta | 0.60 |
| Cost of capital (WACC) | 6.70% |
| Business classification | Dividend Payer (Low/slowing growth (~6% recent), Thin margins (0.4% net margin), Pays dividends, Highly cyclical earnings, Strong FCF yield (6.6%)) |

## Dividends

| Figure | Value |
| --- | ---: |
| Trailing dividend yield | 2.88% |
| Dividends per share, last 12 months | $2.66 |
| Dividends / free cash flow (fiscal 2025) | 43.5% |
| Raised | — |
| Growth over 5 years | 5.9% a year |
| Latest payment | $0.665, ex-date Jul 23, 2026, paid Aug 3, 2026 |

| Year of payments | Dividends per share |
| --- | ---: |
| To Jul 22, 2021 | $2.00 |
| To Jul 21, 2022 | $2.15 |
| To Jul 20, 2023 | $2.37 |
| To Jul 22, 2024 | $2.60 |
| To Jul 22, 2025 | $2.66 |
| Trailing twelve months (to Jul 23, 2026) | $2.66 |

## Valuation models

Each model's value per share and the role the engine gave it for this business. The headline above is one model's value; every other model is listed with its own, and each has a page of its own under the valuation. Computed Oct 17, 2026.

| Model | Role | Value per share | Low | High |
| --- | --- | ---: | ---: | ---: |
| DCF · Perpetuity growth · 5y | primary | $17.75 | $0.00 | $108.43 |
| DCF · Perpetuity growth · 10y | cross check | $21.39 | $0.00 | $118.71 |
| DCF · EBITDA exit · 5y | cross check | $56.52 | $23.53 | $95.57 |
| DCF · EBITDA exit · 10y | cross check | $54.82 | $19.59 | $102.51 |
| P/E · peers | cross check | $75.75 | $51.56 | $219.87 |
| P/E · own history | cross check | $84.73 | $73.72 | $109.25 |
| PEG | sanity check | $200.57 | $200.57 | $200.57 |
| EV/EBITDA · peers | cross check | $57.20 | $19.50 | $74.05 |
| EV/Revenue · peers | cross check | $83.29 | $46.46 | $148.98 |
| Earnings power value | cross check | $70.86 | $49.82 | $104.05 |
| Dividend discount | cross check | $61.46 | $41.40 | $105.00 |

## Insider activity (SEC Form 4)

No open-market insider buys or sales filed in the past 90 days.

| Date | Insider | Relationship | Transaction | Shares | Value |
| --- | --- | --- | --- | ---: | ---: |
| Jun 26, 2026 | Clark James David | SVP, Cont & Chief Acct Officer | Tax withholding | 454 | $41,304.9 |
| May 31, 2026 | Newman Brian | EVP, Chief Financial Officer | Tax withholding | 2,478 | $225,448.4 |
| May 31, 2026 | Compton-Phillips Amy | EVP, Chief Medical Officer | Tax withholding | 7,618 | $693,085.6 |
| May 20, 2026 | AGUIRRE FERNANDO | Director | Disposition to issuer | 30,437 | $2.9M |
| May 21, 2026 | AGUIRRE FERNANDO | Director | Disposition to issuer | 1,563 | $146,142.1 |

## Recent SEC filings

| Filed | Form | What | Filing |
| --- | --- | --- | --- |
| Aug 17, 2026 | 8-K | 5.02 Departure/Election of Directors or Officers; 7.01 Regulation FD Disclosure; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/64803/000119312526354096/d129035d8k.htm |
| Aug 5, 2026 | 10-Q | Quarterly report | https://www.sec.gov/Archives/edgar/data/64803/000006480326000098/cvs-20260630.htm |
| Aug 5, 2026 | 8-K | 2.02 Results of Operations (Earnings); 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/64803/000006480326000097/cvs-20260805.htm |
| May 22, 2026 | S-8 | Employee stock plan registration | https://www.sec.gov/Archives/edgar/data/64803/000119312526236998/d144664ds8.htm |
| May 22, 2026 | S-3ASR | Shelf registration (automatic) | https://www.sec.gov/Archives/edgar/data/64803/000119312526236988/d74214ds3asr.htm |

## Superinvestors holding it (latest 13F)

| Manager | Quarter | Shares | Value |
| --- | --- | ---: | ---: |
| Dodge & Cox | 2026-06-30 | 50,012,765 | $5.2B |
| Christopher Davis | 2026-06-30 | 11,865,916 | $1.2B |
| Richard Pzena | 2026-06-30 | 11,769,536 | $1.2B |
| Viking Global | 2026-06-30 | 3,663,361 | $379.0M |

12 tracked managers in all.

## About

CVS Health Corp. is a health solutions company, which engages in the provision of healthcare services. It operates through the following segments: Health Care Benefits, Health Services, Pharmacy and Consumer Wellness, and Corporate and Other. The Health Care Benefits segment operates as a health care benefits provider. The Health Services segment offers a full range of PBM solutions, delivers health care services in its medical clinics, virtually, and in the home. The Pharmacy & Consumer Wellness segment dispenses prescriptions in its retail pharmacies and through its infusion operations. The Corporate and Other Segment is involved in management and administrative expenses. The company was founded by Stanley P. Goldstein and Ralph Hoagland in 1963 and is headquartered in Woonsocket, RI.

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Source: https://sweetvaluelab.com/stocks/cvs (SweetValueLab, free, no account). Prices and statements from Financial Modeling Prep; filings from SEC EDGAR. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.