Q4 Preview: CVS (CVS) Quarter Should Be Telegraphed But Investors Will Want Details
CVS Hot Sheet
Rating Summary:7 Buy, 6 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 0 | Down: 0 | New: 0
Shares of CVS Caremark Corp. (NYSE: CVS) are trading down roughly 0.25 percent Tuesday ahead of the release of its fourth-quarter results, expected out before the opening bell on February 8th.
The Wall Street quarterly consensus for CVS Caremark Corp. is $0.89 per share in earnings on $28.12 billion in sales. During the fourth quarter of last year, the company reported earnings of $0.80 per share on $24.77 billion in total sales.
For the full year 2011, analysts on the Street are currently estimating $2.80 per share in earnings on $107.26 billion in total sales.
CVS reaffirmed FY11 guidance and offered FY12 guidance on December 20th.
The fourth quarter conference call is scheduled for 8:30 am ET on February 8, 2012.
According to data from Bloomberg, shares of CVS Caremark Corp. have 23 Buy ratings, two Hold ratings and one Sell ratings. The average price target on shares of CVS is $46.50 with a range from $43 to $51.
Analyst Comments:
Goldman Sachs reaffirmed a Buy rating and $46 price target going into the release as the firm still believes in CVS's long-term positioning. Since the company updated its guidance back on December 20th, the firm said the quarterly results shouldn’t be surprising.
An analyst at Goldman commented, “we like the mail order business; view margin advances as sustainable; expect it to benefit from pending PBM consolidation; and, see no downside for it in the WAG/ESRX dispute. In addition, CVS talked to innovative enhancements to Maintenance Choice, and reinforced its ability to interact with prospective customers – from individuals to major institutional payors – with outsized credibility and flexibility given the resources of its dual platform. At the same time, because the stock now trades toward the high end of the sector’s valuation, and “good news” has been pre-released, for trading-oriented investors, we do not see a compelling risk/reward profile into the print.”
CVS is JPMorgan’s top pick within its coverage universe and believes the company’s solid 2012 guidance, which was announced during its Analyst Meeting in December, will be improved throughout the year. The firm reiterated its Overweight rating on the stock going into the release.
Discover Wall Street's best ratings calls with the pros - Ratings Insider Elite. Free Trial!
The Wall Street quarterly consensus for CVS Caremark Corp. is $0.89 per share in earnings on $28.12 billion in sales. During the fourth quarter of last year, the company reported earnings of $0.80 per share on $24.77 billion in total sales.
For the full year 2011, analysts on the Street are currently estimating $2.80 per share in earnings on $107.26 billion in total sales.
CVS reaffirmed FY11 guidance and offered FY12 guidance on December 20th.
The fourth quarter conference call is scheduled for 8:30 am ET on February 8, 2012.
According to data from Bloomberg, shares of CVS Caremark Corp. have 23 Buy ratings, two Hold ratings and one Sell ratings. The average price target on shares of CVS is $46.50 with a range from $43 to $51.
Analyst Comments:
Goldman Sachs reaffirmed a Buy rating and $46 price target going into the release as the firm still believes in CVS's long-term positioning. Since the company updated its guidance back on December 20th, the firm said the quarterly results shouldn’t be surprising.
An analyst at Goldman commented, “we like the mail order business; view margin advances as sustainable; expect it to benefit from pending PBM consolidation; and, see no downside for it in the WAG/ESRX dispute. In addition, CVS talked to innovative enhancements to Maintenance Choice, and reinforced its ability to interact with prospective customers – from individuals to major institutional payors – with outsized credibility and flexibility given the resources of its dual platform. At the same time, because the stock now trades toward the high end of the sector’s valuation, and “good news” has been pre-released, for trading-oriented investors, we do not see a compelling risk/reward profile into the print.”
CVS is JPMorgan’s top pick within its coverage universe and believes the company’s solid 2012 guidance, which was announced during its Analyst Meeting in December, will be improved throughout the year. The firm reiterated its Overweight rating on the stock going into the release.
Discover Wall Street's best ratings calls with the pros - Ratings Insider Elite. Free Trial!
You May Also Be Interested In
- UPDATE: Bristow Group (BRS) Reports Better-Than-Expected Q4 Results; Offers FY13 Outlook
- UBS Raises Price Target and Estimates on Williams-Sonoma (WSM); Positive Momentum Is Beginning To Pick Up
- Barclays Cuts PT and Estimates on Dell (DELL); Apple's (AAPL) Momentum Proves Disrupting
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS View, EarningsRelated Entities
JPMorgan, Dividend, EarningsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
