TD Cowen flags Star rating risk for CVS Health stock
Published on 10/09/2026 at 15:49 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSKey points in brief
- TD Cowen estimates weaker 2027 Medicare Advantage Star Ratings could reduce CVS adjusted earnings by USD 0.41 per share in 2028.
- CVS Health stock was trading at EUR 79.15 at Lang & Schwarz on October 9, 2026, plus 4.68 percent versus the prior close.
- Second-quarter 2026 revenue reached USD 106.10 billion, while adjusted earnings per share came to USD 2.58.
- CVS Health raised its fiscal 2026 adjusted earnings per share guidance to USD 7.90-8.10 from USD 7.30-7.50.
CVS Health Corp. (US1266501006) was trading at EUR 79.15 at Lang & Schwarz on October 9, 2026, while TD Cowen flagged weaker Medicare Advantage Star Ratings as a potential earnings pressure. As Stocktwits reported on October 9, 2026, TD Cowen expects 70.00 percent of CVS Medicare Advantage members to be in plans rated at least four stars, down from 82.00 percent in 2026.
Three dated earnings signals
On August 5, 2026, CVS reported second-quarter adjusted earnings per share of USD 2.58 against a USD 1.87 consensus estimate, while revenue reached USD 106.10 billion, according to MarketBeat. On September 9, 2026, Yahoo Finance reported that CVS raised fiscal 2026 adjusted earnings per share guidance to USD 7.90-8.10 from USD 7.30-7.50. On October 9, 2026, TD Cowen estimated that weaker ratings could reduce adjusted earnings by USD 0.41 per share in 2028, according to Stocktwits.
What does the rating risk mean?
The pressure is concentrated in the insurance business, where bonus payments depend on plan quality ratings. TD Cowen expects the share of members in plans rated at least 4.50 stars to fall to 35.00 percent from 63.00 percent, giving investors a concrete earnings sensitivity rather than a broad concern.
The counterweight is the improved near-term operating picture. The second-quarter revenue increase of 7.30 percent and the guidance range of USD 7.90-8.10 for adjusted earnings per share show that management entered the rating setback with higher full-year expectations.
Analyst targets remain above the quote
MarketBeat reported on October 6, 2026, that 22 of 23 analysts rated CVS a Buy and one rated it a Hold, with an average 12-month price target of USD 107.24. The rating split leaves the Medicare Advantage data as the main test for whether that optimism can coexist with the earnings sensitivity identified by TD Cowen.
CVS Health stock rises in trading
At 3:40 p.m. CEST, CVS Health stock was trading at EUR 79.15 at Lang & Schwarz on October 9, 2026, up 4.68 percent versus the prior close of EUR 75.61 on October 8, 2026.
The further course of trading is shown by the continuously updated real-time quote of CVS Health stock.
CVS Health stock facts
- Company: CVS Health Corp.
- ISIN: US1266501006
- Ticker: CVS
- Primary exchange: NYSE
- Price Lang & Schwarz (as of October 9, 2026, 3:40 p.m. CEST): EUR 79.15
- Change versus prior close: plus 4.68 percent
- Prior close Lang & Schwarz (October 8, 2026): EUR 75.61
- Market capitalization: USD 112.2 billion (as of October 9, 2026)
- 52-week range: USD 69.51-110.68 (as of October 9, 2026)
- Sector / Industry: Healthcare / Medical - Healthcare Plans
- Index membership: S&P 100
Market context: Market report S&P 500.
