Street View: CVS Health's recovery slow and steady after forecast lift

Healthcare conglomerate CVS Health CVS.N on Thursday raised its full-year profit forecast and disclosed plans to exit Obamacare market in 2026

Under the leadership of CEO David Joyne, CVS is navigating one of the most challenging periods in its six-decade history

Median PT of 29 brokerages covering the stock is $74, according to data compiled by LSEG

POSITIVE SIGNS

Leerink Partners ("outperform" PT: $83) says CVS is set for "slow and steady win" for its earnings and first-quarter results don't impact its ongoing "power recovery" or 2026 results

J.P.Morgan ("overweight") says CVS is taking a "prudent stance" for the full year, but there seems to be early positive signs such as "slightly better than expected" demand trends in Medicare Advantage plans

Says CVS' partnership with Novo Nordisk NOVOb.CO is not reflected in the company's annual forecast and will be a "notable area to watch"

Oppenheimer ("perform") says while the move to exit Obamacare business was a "little surprising," CVS management said it did not see a near- or long-term way to improve its position in that market

Mizuho (outperform, PT: $76) says that a key issue for investors is CVS' exposure to increased tariffs via its retail pharmacy segment