Cvs Health Corp Stock Probability of Future Stock Price Finishing Over 64.68

CVS Stock  USD 79.43  0.11  0.14%   
CVS Health's implied volatility is one of the determining factors in the pricing options written on CVS Health Corp. Implied volatility approximates the future value of CVS Health based on the option's current value. Options with high implied volatility have higher premiums and can be used to hedge the downside of investing in CVS Health Corp over a specific time period. For example, 2024-03-28 CALL at $79.0 is a CALL option contract on CVS Health's common stock with a strick price of 79.0 expiring on 2024-03-28. The contract was last traded on 2024-03-27 at 15:59:58 for $0.68 and, as of today, has 0 days remaining before the expiration. The option is currently trading at a bid price of $0.67, and an ask price of $0.7. The implied volatility as of the 28th of March is 26.09. View All CVS options

Closest to current price CVS long CALL Option Payoff at Expiration

CVS Health's future price is the expected price of CVS Health instrument. It is based on its current growth rate as well as the projected cash flow expected by the investors. This tool provides a mechanism to make assumptions about the upside potential and downside risk of CVS Health Corp performance during a given time horizon utilizing its historical volatility. Check out CVS Health Backtesting, CVS Health Valuation, CVS Health Correlation, CVS Health Hype Analysis, CVS Health Volatility, CVS Health History as well as CVS Health Performance.
  
At this time, CVS Health's Price To Operating Cash Flows Ratio is comparatively stable compared to the past year. Price To Free Cash Flows Ratio is likely to gain to 10.25 in 2024, whereas Price To Sales Ratio is likely to drop 0.27 in 2024. Please specify CVS Health's target price for which you would like CVS Health odds to be computed.

CVS Health Target Price Odds to finish over 64.68

The tendency of CVS Stock price to converge on an average value over time is a known aspect in finance that investors have used since the beginning of the stock market for forecasting. However, many studies suggest that some traded equity instruments are consistently mispriced before traders' demand and supply correct the spread. One possible conclusion to this anomaly is that these stocks have additional risk, for which investors demand compensation in the form of extra returns.
Current PriceHorizonTarget PriceOdds to stay above $ 64.68  in 90 days
 79.43 90 days 64.68 
close to 99
Based on a normal probability distribution, the odds of CVS Health to stay above $ 64.68  in 90 days from now is close to 99 (This CVS Health Corp probability density function shows the probability of CVS Stock to fall within a particular range of prices over 90 days) . Probability of CVS Health Corp price to stay between $ 64.68  and its current price of $79.43 at the end of the 90-day period is about 91.68 .
Considering the 90-day investment horizon CVS Health Corp has a beta of -0.0805 suggesting as returns on benchmark increase, returns on holding CVS Health are expected to decrease at a much lower rate. During the bear market, however, CVS Health Corp is likely to outperform the market. Additionally CVS Health Corp has an alpha of 0.0366, implying that it can generate a 0.0366 percent excess return over NYSE Composite after adjusting for the inherited market risk (beta).
   CVS Health Price Density   
       Price  

Predictive Modules for CVS Health

There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as CVS Health Corp. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of CVS Health's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Hype
Prediction
LowEstimatedHigh
78.1879.4480.70
Details
Intrinsic
Valuation
LowRealHigh
78.4879.7481.00
Details
Naive
Forecast
LowNextHigh
81.7483.0184.27
Details
28 Analysts
Consensus
LowTargetHigh
82.0590.16100.08
Details
Please note, it is not enough to conduct a financial or market analysis of a single entity such as CVS Health. Your research has to be compared to or analyzed against CVS Health's peers to derive any actionable benefits. When done correctly, CVS Health's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in CVS Health Corp.

CVS Health Risk Indicators

For the most part, the last 10-20 years have been a very volatile time for the stock market. CVS Health is not an exception. The market had few large corrections towards the CVS Health's value, including both sudden drops in prices as well as massive rallies. These swings have made and broken many portfolios. An investor can limit the violent swings in their portfolio by implementing a hedging strategy designed to limit downside losses. If you hold CVS Health Corp, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of CVS Health within the framework of very fundamental risk indicators.
α
Alpha over NYSE Composite
0.04
β
Beta against NYSE Composite-0.08
σ
Overall volatility
2.21
Ir
Information ratio -0.08

CVS Health Alerts and Suggestions

In today's market, stock alerts give investors the competitive edge they need to time the market and increase returns. Checking the ongoing alerts of CVS Health for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for CVS Health Corp can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.
The company has 79.39 B in debt with debt to equity (D/E) ratio of 1.0, which is OK given its current industry classification. CVS Health Corp has a current ratio of 0.92, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Debt can assist CVS Health until it has trouble settling it off, either with new capital or with free cash flow. So, CVS Health's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like CVS Health Corp sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for CVS to invest in growth at high rates of return. When we think about CVS Health's use of debt, we should always consider it together with cash and equity.
Over 83.0% of CVS Health shares are held by institutions such as insurance companies
On 1st of February 2024 CVS Health paid $ 0.665 per share dividend to its current shareholders
Latest headline from prnewswire.com: Disposition of 33402 shares by Thomas Cowhey of CVS Health at 74.31 subject to Rule 16b-3

CVS Health Price Density Drivers

Market volatility will typically increase when nervous long traders begin to feel the short-sellers pressure to drive the market lower. The future price of CVS Stock often depends not only on the future outlook of the current and potential CVS Health's investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. CVS Health's indicators that are reflective of the short sentiment are summarized in the table below.
Common Stock Shares Outstanding1.3 B
Cash And Short Term Investments11.5 B

CVS Health Technical Analysis

CVS Health's future price can be derived by breaking down and analyzing its technical indicators over time. CVS Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of CVS Health Corp. In general, you should focus on analyzing CVS Stock price patterns and their correlations with different microeconomic environments and drivers.

CVS Health Predictive Forecast Models

CVS Health's time-series forecasting models is one of many CVS Health's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models are widely used for non-stationary data. Non-stationary data are called the data whose statistical properties, e.g., the mean and standard deviation, are not constant over time, but instead, these metrics vary over time. This non-stationary CVS Health's historical data is usually called time series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the stock market movement and maximize returns from investment trading.

Things to note about CVS Health Corp

Checking the ongoing alerts about CVS Health for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for CVS Health Corp help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
The company has 79.39 B in debt with debt to equity (D/E) ratio of 1.0, which is OK given its current industry classification. CVS Health Corp has a current ratio of 0.92, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Debt can assist CVS Health until it has trouble settling it off, either with new capital or with free cash flow. So, CVS Health's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like CVS Health Corp sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for CVS to invest in growth at high rates of return. When we think about CVS Health's use of debt, we should always consider it together with cash and equity.
Over 83.0% of CVS Health shares are held by institutions such as insurance companies
On 1st of February 2024 CVS Health paid $ 0.665 per share dividend to its current shareholders
Latest headline from prnewswire.com: Disposition of 33402 shares by Thomas Cowhey of CVS Health at 74.31 subject to Rule 16b-3
When determining whether CVS Health Corp is a strong investment it is important to analyze CVS Health's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact CVS Health's future performance. For an informed investment choice regarding CVS Stock, refer to the following important reports:

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When running CVS Health's price analysis, check to measure CVS Health's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy CVS Health is operating at the current time. Most of CVS Health's value examination focuses on studying past and present price action to predict the probability of CVS Health's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move CVS Health's price. Additionally, you may evaluate how the addition of CVS Health to your portfolios can decrease your overall portfolio volatility.
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Is CVS Health's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of CVS Health. If investors know CVS will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about CVS Health listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.10)
Dividend Share
2.42
Earnings Share
6.47
Revenue Per Share
277.528
Quarterly Revenue Growth
0.12
The market value of CVS Health Corp is measured differently than its book value, which is the value of CVS that is recorded on the company's balance sheet. Investors also form their own opinion of CVS Health's value that differs from its market value or its book value, called intrinsic value, which is CVS Health's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because CVS Health's market value can be influenced by many factors that don't directly affect CVS Health's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between CVS Health's value and its price as these two are different measures arrived at by different means. Investors typically determine if CVS Health is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, CVS Health's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.