{"id":107603,"date":"2025-07-31T13:08:11","date_gmt":"2025-07-31T13:08:11","guid":{"rendered":"https:\/\/www.europesays.com\/us\/107603\/"},"modified":"2025-07-31T13:08:11","modified_gmt":"2025-07-31T13:08:11","slug":"cvs-health-hikes-2025-forecast-again-boosted-by-insurance-pharmacy-businesses","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/us\/107603\/","title":{"rendered":"CVS Health hikes 2025 forecast again, boosted by insurance, pharmacy businesses"},"content":{"rendered":"\n<p class=\"yf-1090901\">CVS Health topped Wall Street expectations for the second quarter and hiked its <a href=\"https:\/\/apnews.com\/article\/cvs-health-medicare-guidance-hike-20ca85f02992a5371beb2ab56deeffec\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:full-year forecast again;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">full-year forecast again<\/a>, as the health care giant continued to rally under new management from a forgettable 2024.<\/p>\n<p class=\"yf-1090901\">The company said Thursday that it filled more prescriptions at its drugstores and an improving health insurance business fueled its quarterly performance.<\/p>\n<p class=\"yf-1090901\">CVS Health now expects adjusted 2025 earnings to range between $6.30 and $6.40 this year after previously hiking the forecast in May.<\/p>\n<p class=\"yf-1090901\">Analysts predict annual earnings of $6.12 per share, according to the data firm FactSet.<\/p>\n<p class=\"yf-1090901\">CVS Health Corp., based in Woonsocket, Rhode Island, runs one of the nation\u2019s largest drugstore chains and a huge pharmacy benefit management business that operates prescription drug coverage for employers, insurers and other big clients. It also covers nearly 27 million people through its Aetna insurance arm.<\/p>\n<p class=\"yf-1090901\">The company saw revenue growth of 10% or more in all three business segments. But adjusted operating income dropped more than 17% in its biggest business, the pharmacy benefit management side, due partly to pharmacy client price cuts.<\/p>\n<p class=\"yf-1090901\">Income from the health insurance side jumped jumped more than 39% due to changes in risk adjustment estimates for individual insurance and improvements in its government business. That includes Medicaid and Medicare coverage.<\/p>\n<p class=\"yf-1090901\">The company also said there was some pressure from rising care use. Several health insurance companies <a href=\"https:\/\/apnews.com\/article\/unitedhealth-second-quarter-health-insurers-4189fae975e4ee1c0aac88ed11b8dcf4\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:reported disappointing second quarter earnings;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">reported disappointing second quarter earnings<\/a>, in part due to care use spikes that turned out higher than anticipated when rates were set.<\/p>\n<p class=\"yf-1090901\">CVS Health also said it saw a 4% increase in prescriptions filled from its drugstores during the quarter.<\/p>\n<p class=\"yf-1090901\">Overall, the company reported adjusted earnings of $1.81 per share as revenue grew 8% to $98.9 billion.<\/p>\n<p class=\"yf-1090901\">Analysts had been looking for earnings of $1.46 per share on $94.51 billion.<\/p>\n<p class=\"yf-1090901\">Net income slid 42% to $1.02 billion, as the company booked $833 million in litigation charges.<\/p>\n<p class=\"yf-1090901\">Last year, CVS Health cut its forecast several times before <a href=\"https:\/\/apnews.com\/article\/cvs-health-ceo-lynch-joyner-56ad4f6c4fed7a293b841f7037bd71a8\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:former CEO Karen Lynch stepped down;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">former CEO Karen Lynch stepped down<\/a> in the fall. David Joyner replaced her and added new executives to the company&#8217;s leadership.<\/p>\n<p class=\"yf-1090901\">Company shares jumped nearly 8%, or $4.81, to $67.12 in premarket trading Thursday.<\/p>\n<p class=\"yf-1090901\">The stock had already advanced 39% so far this year, as of Wednesday\u2019s close. The Standard &amp; Poor\u2019s 500 index has grown 8% over the same span.<\/p>\n","protected":false},"excerpt":{"rendered":"CVS Health topped Wall Street expectations for the second quarter and hiked its full-year forecast again, as the&hellip;\n","protected":false},"author":3,"featured_media":107604,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[68856,66324,210,1141,3168,1142,68857,67,132,68],"class_list":{"0":"post-107603","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-health-care","8":"tag-aetna-insurance","9":"tag-cvs-health","10":"tag-health","11":"tag-health-care","12":"tag-health-insurance","13":"tag-healthcare","14":"tag-pharmacy-benefit-management","15":"tag-united-states","16":"tag-unitedstates","17":"tag-us"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/114948007686957868","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/107603","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=107603"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/107603\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/107604"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=107603"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=107603"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=107603"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}