- CVS Health's Aetna unit faces allegations from the Department of Justice concerning discriminatory practices in Medicare Advantage plans.
- Analysts forecast a potential upside for CVS stock, suggesting value growth opportunities.
- GuruFocus metrics indicate a significant upside based on historical and projected performance.
The Department of Justice has leveled serious accusations against CVS Health's (CVS, Financial) Aetna unit, alleging a scheme to discriminate against disabled seniors within their Medicare Advantage plans. The complaint highlights how brokers were allegedly discouraged from enrolling disabled individuals, using kickbacks to manipulate enrollments to enhance profitability.
Analyst Price Targets and Recommendations
According to data from 24 analysts, the average one-year price target for CVS Health Corp (CVS, Financial) stands at $74.84. This target reflects a potential high estimate of $90.00 and a low estimate of $60.00. Given the current stock price of $69.92, this average target price suggests a potential upside of 7.04%. Investors can explore more comprehensive estimate data on the CVS Health Corp (CVS) Forecast page.
The consensus recommendation from 29 brokerage firms rates CVS Health Corp (CVS, Financial) at an average of 2.2, indicating an "Outperform" status. The rating system interprets a score of 1 as a Strong Buy and a score of 5 as a Sell, positioning CVS as a favorable consideration for investors.
GuruFocus Value Estimates
Leveraging GuruFocus estimates, the projected GF Value for CVS Health Corp (CVS, Financial) is estimated at $88.14 within the coming year. This translates to a promising upside of 26.06% from the current price of $69.92. The GF Value metric is derived from historical trading multiples, previous business growth patterns, and future business performance expectations. For more in-depth data, visit the CVS Health Corp (CVS) Summary page.
