Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
CVS HealthCVS -0.66%75 Cash Ratio is 0.14 as of Mar. 2026, which is 13% below its 10-year median of 0.16. GuruFocus rates CVS with a GF Score™ of 75/100 and a GF Value™ of $77.71 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 15 Healthcare Plans companies, CVS Health ranks worse than 100% on this metric.
CVS Health has a Cash Ratio of 0.14. It indicates that there are more current liabilities than Cash, Cash Equivalents, Marketable Securities, and the company does not have sufficient cash on hand to pay off its short-term debt.
The historical rank and industry rank for CVS Health's Cash Ratio or its related term are showing as below:
CVS'
s Cash Ratio Range Over the Past 10 Years
Min: 0.05 Med: 0.16 Max: 1.42
Current: 0.14
During the past 13 years, CVS Health's highest Cash Ratio was 1.42. The lowest was 0.05. And the median was 0.16.
CVS's Cash Ratio is ranked worse than 100% of 15
companies
in the Healthcare Plans industry
Industry Median: 0.73
vs CVS: 0.14
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
CVS Health Cash Ratio Related Terms
CVS Health Cash Ratio Historical Data
* Premium members only.
The historical data trend for CVS Health's Cash Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Healthcare Plans subindustry, CVS Health's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
CVS Health Cash Ratio vs Healthcare Plans Industry
For the Healthcare Plans industry and Healthcare sector, CVS Health's Cash Ratio distribution charts can be found below:
* The bar in red indicates where CVS Health's Cash Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
CVS Health (CVS) has a Cash Ratio of 0.14 as of Mar. 2026. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on CVS Health and its competitors. This is 13% below median its historical median of 0.16. Over the past decade, CVS Health's Cash Ratio has ranged from 0.05 to 1.42. According to the industry distribution chart, CVS Health ranks #15 out of 15 companies in the Healthcare Plans industry.
Is CVS Health's Cash Ratio too high?
CVS Health's current Cash Ratio of 0.14 is 13% below median its 10-year median of 0.16. Over the past 10 years, this metric has ranged from a low of 0.05 to a high of 1.42. The Healthcare Plans industry median Cash Ratio is 0.73. CVS Health's value of 0.14 is 80.8% below this industry median. Based on the distribution chart, CVS Health ranks #15 out of 15 companies in the Healthcare Plans industry, which is in the bottom quartile relative to peers. Overall, CVS Health has a GF Score™ of 75/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does CVS Health's Cash Ratio compare to ELV and CI?
According to the Healthcare Plans industry distribution chart, CVS Health ranks #15 out of 15 companies for Cash Ratio. This places CVS Health in the lower half of its industry. The industry median Cash Ratio is 0.73. CVS Health's value of 0.14 is 80.8% below this benchmark. Historically, CVS Health's own Cash Ratio has ranged from 0.05 to 1.42 over the past decade. While the company's 10-year median is 0.16 vs. the industry median of 0.73, CVS Health has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Ratio for a Healthcare Plans company?
The median Cash Ratio among Healthcare Plans companies is 0.73, based on 15 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. CVS Health's current Cash Ratio of 0.14 is 80.8% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on CVS Health and its competitors. For the Healthcare Plans industry, the median Cash Ratio is 0.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CVS Health's current Cash Ratio is 0.14, which is 13% below median its own 10-year median of 0.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CVS Health stock overvalued right now?
Based on GuruFocus' analysis, CVS Health (CVS) is currently considered Significantly Overvalued. The stock's GF Value™ is $77.71, compared to a current price of $105.22 — trading 35.4% above its estimated fair value. The current Cash Ratio is 0.14, which is 13% below median its 10-year median of 0.16 and 80.8% below the Healthcare Plans industry median of 0.73. CVS Health's overall GF Score™ is 75/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For CVS Health (CVS), the current Cash Ratio is 0.14 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is CVS Health (CVS) Overvalued in 2026?
Based on GuruFocus' analysis, CVS Health stock appears to be overvalued.
The current stock price of $105.22 is trading 35.4% above its estimated GF Value™ of $77.71.
GuruFocus considers CVS Health to be Significantly Overvalued.
Key valuation signals for CVS:
Cash Ratio: 0.14 (13% below median its 10-year median of 0.16)
GF Value™: $77.71 vs. price of $105.22 (35.4% above fair value)
Industry Position: 80.8% below the Healthcare Plans median (#15 of 15)
No single metric tells the full story. See the CVS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
CVS Health offers a diverse set of healthcare services. Its roots are in its retail pharmacy operations, where it operates around 9,000 stores primarily in the US. CVS is also a large pharmacy benefit manager (acquired through Caremark), processing about 2 billion adjusted claims annually. It operates a top-tier health insurer (acquired through Aetna) through which it serves about 27 million medical members. The acquisition of Oak Street Health added primary care services to the mix, which could have significant synergies with all existing business lines.
75GF Score
Get the complete analysis for CVS
Cash Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
CVS has been successfully added to your 
