CVS Health Corporation CVS · Stock Open CVS Health Corporation in new tab

CVS shares fell 12.5% despite higher 2026 guidance, suggesting investors focused on the uncertainty and execution risks around the announced separation into two companies. The excerpt also flags healthcare cost trends that remain elevated, though management said they were broadly in line with expectations.

• CVS reported $108 billion in quarterly revenue, $4.2 billion in adjusted operating income, and adjusted EPS of $2.09, up more than 30% year over year.
• Management raised 2026 adjusted EPS guidance to at least $8.20, from a prior range of $7.90–$8.10, and cash flow from operations guidance to at least $15.5 billion.
• Healthcare Benefits generated $900 million in adjusted operating income; its 91.3% medical benefit ratio improved about 150 basis points year over year. Medical cost trends remained above historical levels.
• Health Services adjusted operating income rose nearly 3% to $2.1 billion, while Pharmacy and Consumer Wellness operating income increased more than 10% to over $1.6 billion.
• CVS announced plans to separate into a healthcare solutions company and a retail pharmacy and community healthcare company; the call excerpt does not specify the separation’s timeline or financial implications.