Everyone fears Amazon for no reason. The cash paying customers shopping for discounts on their medication were already going to Walmart and costco. Even with goodrx cvs, Walgreens, and rite aid are expensive (hence more profitable). Whenever cvs is doing well, some Amazon related news releases putting a damper on our stock. A year from now cvs shareholders will look back at this as nothing more than a buying opportunity!
Bullish
S
CVS up sharply with heavy volume - Could AMZN be buying up to 5% shares and then make a buyout offer? CVS should not sell for anything less than $120.
P
Haven Health - Amazon's joint venture with JPM and Berkshire, was to provide affordable healthcare to its employees. It was a fail. Amazon has about 1.3 million employees and growing. It has a vested interest to reduce its healthcare costs. AMZN employees are spread out throughout the US. IMHO it would be in the best interest for CVS and AMZN to work together. CVS has nearly 10,000 locations and 76% of the US population lives within 5 miles of a CVS. CVS is continuing to roll out its HealthHubs making healthcare local for its Aetna insurance members. Enough said.
G
From a technical standpoint CVS looks to be correcting to the downside as indicated by the chart metrics mentioned earlier. It has near term declivity vectors pulling toward a 1st settlement range of $81-83. This remains a high quality equity for a long term hold, but it may be too early to go in on this dip.
Why is the stock up after this gross negligence???
E
Boycott Amazon, it’s monopoly is bad for the economy
H
RBC takes its price target north of 100. Average EPS estimate is 8.24 for 2022.
J
Is this stock drifting back to the same-old same-old It's-always-something driftwood performance? Based on Q1 results I was convinced that it would finally get traction and move on up to $100 or more in the coming months. Was I wrong? A $6 drop from the Q1 spike is not encouraging.
S
Before announcing that he is leaving AMZN, Bezos said that one day Amazon will fail. I think the time is coming fast: Their joint health care venture with JPM and Berkshire shutdown; their on-line pharmacy is not doing well; their grocery business has hardly made a dent and Walmart and Supermarkets are thriving; AMZN Basics is in news - their electronic products are exploding or catching fire (FTC is investigating). Walmart on-line business is growing fast giving AMZN stiff competition. AMZN is desperate and now want to get into physical pharmacies - they could acquire one of retail pharmacy chains (just like they acquired Whole Foods).
S
Twice I received OTC drugs from Amazon with expiry date of just a few months (I thought the law says it must be at least one year). I stopped buying drugs from Amazon, especially if they are offered by a third-party over which Amazon has very little control.
S
JPM, Berkshire, Amazon formed a joint venture for health care but soon found out it's not easy to enter this market and they shut down their joint company. Amazon announced on-line pharmacy with great fanfare but it fizzled. Market overreacts anytime someone announces new initiative in health care. CVS is well established company with solid store locations and customer base supported by Aetna - but its stock so undervalued when compared to UNH and others in terms of PE and dividend yield. CVS should revisit 115 again (last time it hit that mark in 2015).
C
Trading patterns have owned this stock since late 2014. 6 plus years and the pattern, once begun, performs the same; again, again and again. The GREAT CLONE found that pattern amongst several funds and institutions. She got out at $70 from $113 and played UNH to $325. Shorted CVS to $53 and got out at $62 shorting to $40 but got caught in the Aetna fiasco holding a short too long. Covered at $79. Lost big but gained more. When CVS hit $88 recently the GREAT ONE SAID SHORT TO $69 then jump into UNH. The Great Clone says inflation and rising interest rates will devastate CVS IN NEXT 24 MONTHS as will AMAZON jumping into brick through RAD.
G
Right now CVS looks to be in the possible latter stages of forming a head and shoulders pattern since late April. But the weak volume of the past few sessions makes it suspect as a strong indicator- it could go either way. But it’s rapid rise over the past 6 months might give good reason to anticipate a correction soon to the $80-$82 range.
W
Just completed paying down $2.4B in debt today for the second quarter. Paid off $3.05B in Q1 and a combined $12.75B in the last 4 quarters. Not too shabby! Also refinanced $6B to avg. 1.75% from avg. of 4% in back half of last year. No more scheduled debt maturities until 7/1/2022...more than a full year. Bring on the tender offers over the next 4 quarters! They will easily be able to pay off $5-$8B depending on whether or not they want to refinance upwards of $10B in debt due in 2038/2045/2048. They can pay off $5B if they decide to refinance and $8B if they decide not to. Translates to share repurchase resumption in late Q2 or late Q4 depending on what they decide to do. Either way they are on pace to do $6B in repurchase annually along with a 50% increase in the divvy (total of $4B annually). Oh.....and pay down avg $2.5B in debt annually too for the next 10 years. Investor Day on December 9th is gonna be a highly anticipated event and will provide a springboard for the share price.
n
When is the next ex dividend date?
L
Buying opportunity!
j
CVS maybe down to $42 per share, p/e=6,because it's too much debt and front view not good, gasoline prices raise, inflation and Amazon maybe open pharmacy,and covid19 strong down will make CVS lose customers.
C
STILL UNDERPERFORMING PER TODAYS ARTICLE: HO HO HO——SIX YEARS IN A ROW, “ “Over the past year, shares of this Zacks Rank #3 (Hold) company have gained 24.4% compared with the industry’s 28.1% rise. The S&P 500 rose 34.1% during the same period.”
W
He/She - Awesome call today! Your use of pre-market activity was prescient. I had a couple of questions since you are so on the ball. With all these under performances and being the worst MCO in the industry, please espouse your wisdom on why the stock went from $55 to $87 (58% move) in just over 6 months? Could you also let us know how the stock moves back down to $69.20 in 17 more trading days as you've promised a few days ago? Would love to hear more about the very meaningful prior 6 years and SSDD to back your always so accurate proclamations.
This remains a high quality equity for a long term hold, but it may be too early to go in on this dip.
Why is the stock up after this gross negligence???
When CVS hit $88 recently the GREAT ONE SAID SHORT TO $69 then jump into UNH. The Great Clone says inflation and rising interest rates will devastate CVS IN NEXT 24 MONTHS as will AMAZON jumping into brick through RAD.
“
“Over the past year, shares of this Zacks Rank #3 (Hold) company have gained 24.4% compared with the industry’s 28.1% rise. The S&P 500 rose 34.1% during the same period.”