CVS Health Raises 2026 EPS Guidance to $7.30–$7.50 After Strong Q1 Results
CVS Health reported Q1 revenue of $100.43 billion, up 6.2% year-over-year, and adjusted EPS rose 14.2% to $2.57. The company raised its full-year 2026 EPS guidance to $7.30–$7.50 and RBC Capital lifted its stock price target to $107 from $90.
1. Q1 Financial Performance
CVS Health generated $100.43 billion in Q1 revenue, a 6.2% increase over the prior year, driven by an 11% rise in its Health Services segment and 3.3% growth in Healthcare Benefits. Adjusted EPS climbed 14.2% to $2.57, reflecting tighter cost controls and strong pharmacy management results.
2. Analyst Forecast Upgrades
RBC Capital reiterated an Outperform rating and raised its price target to $107 from $90, citing the robust revenue beat and EPS growth. Multiple analysts have since increased earnings forecasts and price targets following the stronger-than-expected quarterly performance.
3. Updated 2026 Guidance
The company lifted its full-year 2026 EPS outlook to a range of $7.30–$7.50 per share, driven by improved medical cost management and continued strength in pharmacy operations. Operating income surged 38.7% to $4.68 billion, underpinning the confident guidance update.