#2 - CVS Health (NYSE:CVS)
Another defensive stock to help combat inflation is CVS Health (NYSE:CVS). The company is the largest U.S. pharmacy health care provider. The company reported its first-quarter earnings in early May and had a 10% YOY beat in both EPS and revenue. This was the third consecutive quarter that the company posted a YOY beat on EPS.
CVS has been growing its FCF at an impressive pace for the last four years. In 2021, the company posted a record of over $15 billion in FCF. As the company’s fiscal year came to a close it announced an increase in its dividend. That means investors may have to wait a few quarters for a dividend increase. But with a healthy pile of cash on hand, the existing dividend looks quite safe. Analysts tracked by MarketBeat give the stock a consensus price target of $116.53 which leaves about 21% upside for investors.
About CVS Health
CVS Health Corporation provides health solutions in the United States. It operates through Health Care Benefits, Health Services, and Pharmacy & Consumer Wellness segments. The Health Care Benefits segment offers traditional, voluntary, and consumer-directed health insurance products and related services.
Read More - Current Price
- $44.36
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 13 Buy Ratings, 6 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $69.12 (55.8% Upside)
