CVS Health Corporation (CVS) Stock Analysis
Breakout setup
Healthcare · Healthcare Plans
Sell if holding. Engine safety override at $83.28: Quality below floor (3.1 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10. Specifically: Elevated put/call ratio: 2.08; Below-average business quality.
CVS Health operates four segments—Health Care Benefits (Aetna, 37M+ members), Health Services (PBM, ~87M plan members), Pharmacy & Consumer Wellness (~9,000 retail locations), and Corporate—making it a major integrated U.S. health company. Revenue comes from insurance premiums,... Read more
Sell if holding. Engine safety override at $83.28: Quality below floor (3.1 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10. Specifically: Elevated put/call ratio: 2.08; Below-average business quality. Chart setup: Golden cross, above all MAs, RSI 62, MACD bullish. Score 5.6/10, moderate confidence.
Passes 5/7 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear). Fails on favorable risk/reward ratio and earnings proximity 6d<=7d. Suitability: moderate.
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHCustomerU.S. federal government10-K Item 1A: 'Programs funded in whole or in part by the U.S. federal government account for a significant portion of our revenues, and any disruption to funding from the U.S. federal government could adversely impact our revenues and operating results'
Material Events(8-K, last 90d)
- 2026-03-19Item 5.02LOWCVS Health board elected John E. Gallina, former Elevance Health CFO (retired May 2024), as director effective March 19, 2026. Routine non-executive board appointment; no reason cited beyond qualifications.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer
Rating Breakdown
3 floor-breakers
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Quality below the gate floor. Component breakdown shows what dragged the score down.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $83.28: Quality below floor (3.1 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10. Specifically: Elevated put/call ratio: 2.08; Below-average business quality. Chart setup: Golden cross, above all MAs, RSI 62, MACD bullish. Prior stop was $79.12. Score 5.6/10, moderate confidence.
Take-profit target: $86.92 (+4.4% upside). Prior stop was $79.12. Stop-loss: $79.12.
Concentration risk — Customer: U.S. federal government; Quality below floor (3.1 < 4.0).
CVS Health Corporation trades at a P/E of 60.4 (forward 10.3). TrendMatrix value score: 7.1/10. Verdict: Sell.
33 analysts cover CVS with a consensus score of 4.0/5. Average price target: $97.
What does CVS Health Corporation do?CVS Health operates four segments—Health Care Benefits (Aetna, 37M+ members), Health Services (PBM, ~87M plan members),...
CVS Health operates four segments—Health Care Benefits (Aetna, 37M+ members), Health Services (PBM, ~87M plan members), Pharmacy & Consumer Wellness (~9,000 retail locations), and Corporate—making it a major integrated U.S. health company. Revenue comes from insurance premiums, PBM fees, retail pharmacy dispensing, and specialty pharmacy services.