CVS Health (Germany) Buy Hold or Sell Recommendation
| CVS Stock | EUR 54.35 0.46 0.85% |
Assuming the 90 days horizon and your slightly conservative level of risk, our recommendation regarding CVS Health Corp is 'Sell'. Macroaxis provides CVS Health buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding CVS positions.
Check out CVS Health Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note, we conduct extensive research on individual companies such as CVS and provide practical buy, sell, or hold advice based on investors' constraints. CVS Health Corp. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
CVS |
Execute CVS Health Buy or Sell Advice
The CVS recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on CVS Health Corp. Macroaxis does not own or have any residual interests in CVS Health Corp or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute CVS Health's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Sell
Market Performance | Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Actively responds to the market | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
CVS Health Trading Alerts and Improvement Suggestions
| CVS Health Corp has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| CVS Health Corp has accumulated 50.48 B in total debt with debt to equity ratio (D/E) of 149.2, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. CVS Health Corp has a current ratio of 0.93, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist CVS Health until it has trouble settling it off, either with new capital or with free cash flow. So, CVS Health's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like CVS Health Corp sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for CVS to invest in growth at high rates of return. When we think about CVS Health's use of debt, we should always consider it together with cash and equity. | |
| Over 82.0% of CVS Health shares are held by institutions such as insurance companies |
CVS Health Returns Distribution Density
The distribution of CVS Health's historical returns is an attempt to chart the uncertainty of CVS Health's future price movements. The chart of the probability distribution of CVS Health daily returns describes the distribution of returns around its average expected value. We use CVS Health Corp price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of CVS Health returns is essential to provide solid investment advice for CVS Health.
| Mean Return | 0.11 | Value At Risk | -3.14 | Potential Upside | 3.05 | Standard Deviation | 2.70 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of CVS Health historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
CVS Health Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to CVS Health or Healthcare sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that CVS Health's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a CVS stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | -0.07 | |
β | Beta against Dow Jones | 1.71 | |
σ | Overall volatility | 2.72 | |
Ir | Information ratio | 0 |
CVS Health Volatility Alert
CVS Health Corp currently demonstrates below-average downside deviation. It has Information Ratio of 0.0 and Jensen Alpha of -0.07. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure CVS Health's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact CVS Health's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.CVS Health Fundamentals Vs Peers
Comparing CVS Health's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze CVS Health's direct or indirect competition across all of the common fundamentals between CVS Health and the related equities. This way, we can detect undervalued stocks with similar characteristics as CVS Health or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of CVS Health's fundamental indicators could also be used in its relative valuation, which is a method of valuing CVS Health by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare CVS Health to competition |
| Fundamentals | CVS Health | Peer Average |
| Return On Equity | 0.0568 | -0.31 |
| Return On Asset | 0.0418 | -0.14 |
| Profit Margin | 0.01 % | (1.27) % |
| Operating Margin | 0.05 % | (5.51) % |
| Current Valuation | 173.98 B | 16.62 B |
| Shares Outstanding | 1.28 B | 571.82 M |
| Shares Owned By Insiders | 0.41 % | 10.09 % |
| Shares Owned By Institutions | 82.27 % | 39.21 % |
| Price To Earning | 14.93 X | 28.72 X |
| Price To Book | 1.85 X | 9.51 X |
| Price To Sales | 0.39 X | 11.42 X |
| Revenue | 322.47 B | 9.43 B |
| Gross Profit | 53.46 B | 27.38 B |
| EBITDA | 12.16 B | 3.9 B |
| Net Income | 4.15 B | 570.98 M |
| Cash And Equivalents | 8.53 B | 2.7 B |
| Cash Per Share | 6.55 X | 5.01 X |
| Total Debt | 50.48 B | 5.32 B |
| Debt To Equity | 149.20 % | 48.70 % |
| Current Ratio | 0.95 X | 2.16 X |
| Book Value Per Share | 54.63 X | 1.93 K |
| Cash Flow From Operations | 16.18 B | 971.22 M |
| Earnings Per Share | 2.96 X | 3.12 X |
| Price To Earnings To Growth | 1.35 X | 4.89 X |
| Number Of Employees | 219 K | 18.84 K |
| Beta | 0.65 | -0.15 |
| Market Capitalization | 101.03 B | 19.03 B |
| Total Asset | 228.28 B | 29.47 B |
| Z Score | 2.2 | 8.72 |
| Annual Yield | 0.03 % | |
| Five Year Return | 2.11 % | |
| Net Asset | 228.28 B | |
| Last Dividend Paid | 2.2 |
CVS Health Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as CVS . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About CVS Health Buy or Sell Advice
When is the right time to buy or sell CVS Health Corp? Buying financial instruments such as CVS Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
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Additional Information and Resources on Investing in CVS Stock
When determining whether CVS Health Corp is a strong investment it is important to analyze CVS Health's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact CVS Health's future performance. For an informed investment choice regarding CVS Stock, refer to the following important reports:Check out CVS Health Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try the Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.