CVS Health
CVS (NYSE)
CVS Health is regaining momentum in the health insurance sector, with an expected 7.5% earnings growth by 2026. Currently, the company's dividend yield stands at 3.74%, providing a reliable income stream for investors. Analysts maintain a positive outlook, with a median 12-month price target of $93 and strong ratings from firms such as Bernstein and B of A Securities.
Pros:
- Regaining momentum in health insurance
- Consistent earnings growth
Cons:
- Recent volatility
- Lower Medicare payment rates
CVS Health may be a suitable investment for those seeking a combination of income through dividends and potential growth in the health insurance sector, despite its recent underperformance over a five-year period. With analysts projecting earnings growth and a positive price target outlook, it could appeal to long-term investors looking for stability in the healthcare market.