Savvy Trades and Investments

[researcher59]

CVS (68.48) hikes dividend and guides for EPS of $8.50 in 2024 -

DJ -

CVS Health stock was rising Tuesday after the retail pharmacy provided
fiscal 2024 revenue guidance above estimates, and announced plans to improve
its pharmacy business.
CVS said Tuesday it is expecting fiscal 2024 earnings of $8.50 a share on
revenue of $366 billion. Analysts surveyed by FactSet had expected fiscal
2024 earnings of $8.51 a share on revenue of $344.5 billion.
CVS also increased its quarterly dividend by 10% to 66.5 cents, payable
Feb. 1 to shareholders of record on Jan. 22.
This upbeat revenue guidance and higher dividend comes as the company
also announced updates to its pharmacy business. This includes the
introduction of CVS CostVantage, an update of the traditional
pharmacy-reimburse model, and TrueCost, which is intended to simplify the
cost of drug prescriptions. Both are expected to launch in 2025.
CVS stock was rising 3% in premarket trading Tuesday to $70.50. Coming
into the session, the stock has dropped 27% this year.