KBC Group NV has reduced its stake in CVS Health Corporation (NYSE: CVS) by 18.2%, selling 52,312 shares during the second quarter. As of the latest filing with the Securities and Exchange Commission, KBC Group now holds a total of 235,844 shares, valued at approximately $16.27 million. This strategic move comes as several other hedge funds have adjusted their positions in CVS Health.
During the same period, Jupiter Asset Management Ltd. entered the CVS market with a new investment valued at $7.51 million. Similarly, the National Pension Service increased its holdings by 23.1%, acquiring an additional 728,036 shares. This brings their total ownership to 3,880,433 shares, estimated at $267.67 million. In another significant move, Simplify Asset Management Inc. raised its stake by a remarkable 415.8%, now owning 46,966 shares worth around $3.24 million.
Other firms have also made noteworthy investments in CVS Health. Boston Partners has acquired shares valued at approximately $3.32 million, while Weil Company Inc. purchased a stake valued at around $200,000. Currently, institutional investors own about 80.66% of CVS Health’s stock.
Director’s Share Sale and Stock Performance
In related news, CVS Health Director Anne A. Finucane sold 7,500 shares on August 20, 2023, at an average price of $71.02, totaling $532,650. Post-sale, Finucane holds 22,156 shares valued at approximately $1.57 million, marking a 25.29% decrease in her ownership. This transaction was documented in a filing with the Securities and Exchange Commission.
CVS Health’s stock opened at $79.32 on Friday. The company’s performance metrics include a 50-day moving average price of $77.61 and a 200-day moving average of $69.81. The market capitalisation stands at $100.69 billion, with a price-to-earnings (P/E) ratio of 208.74 and a beta of 0.60. Over the past year, CVS Health has experienced a low of $43.56 and a high of $85.15.
Recent Earnings and Dividend Announcement
CVS Health released its earnings results on October 29, 2023, reporting earnings per share (EPS) of $1.60, surpassing the consensus estimate of $1.36 by $0.24. The company’s revenue for the quarter reached $102.87 billion, exceeding expectations of $98.85 billion. This marks a 7.8% increase compared to the same quarter last year, when the EPS was $1.09.
Looking ahead, CVS Health has set its fiscal year 2025 guidance at an EPS range of $6.55 to $6.65. Analysts project that CVS Health will achieve an average EPS of $5.89 for the current fiscal year.
In addition, CVS Health declared a quarterly dividend of $0.665 per share, paid on November 3, 2023. The annualized dividend totals $2.66, resulting in a yield of 3.4%. The dividend payout ratio currently stands at an exceptionally high 700.00%.
CVS Health Corporation, based in the United States, operates through three main segments: Health Care Benefits, Health Services, and Pharmacy & Consumer Wellness. It provides a range of health insurance products and related services to a diverse clientele.
