CVS Health Shares Rally on Better-Than-Expected Earnings

CVS beat EPS and revenue estimates for Q2

CVS Health (NYSE:CVS) stock was up on Wednesday following the release of its earnings report for the second quarter of 2018.

Earnings per share reported by CVS Health for the second quarter of the year was $1.69. This is up from its earnings per share of $1.33 from the second quarter of 2017. It was also a blessing to CVS stock by beating out Wall Street’s earnings per share estimate of $1.61 for the quarter.

CVS Health’s earnings report for the second quarter of 2018 also includes a net loss of $2.56 billion. This is a drop from the pharmacy company’s net income of $1.10 billion from the same time last year.

CVS Health also reported an operating loss of $1.59 billion for the second quarter of the year. The company reported operating income of $2.12 billion in the second quarter of the previous year.

Revenue of $46.71 billion for the second quarter of 2018 was also good news for CVS stock. CVS Health’s revenue from the same period of the year prior was $45.69 billion. Analysts were looking for the company to report revenue of $46.34 billion for the period.

CVS Health also updated its outlook for the full year of 2018 in its most recent earnings report. The company says that it now expects earnings per share for the year to range from $6.98 to $7.08. The previous guidance from the company had 2018 earnings per share coming in between $6.87 and $7.08. Wall Street is estimating earnings per share of $7.00 for the year.

CVS stock was up 2% as of noon Wednesday.

As of this writing, William White did not hold a position in any of the aforementioned securities.

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