Is CVS HEALTH Corp (CVS) undervalued?
CVS HEALTH Corp trades on a P/E of 68.71 against earnings growth of -24.7% a year over the last 3 years, giving a PEG ratio of —.
Earnings figures are measured from CVS’s filed annual accounts, not estimated. PEG compares price to earnings growth alone — it says nothing about debt, cash generation, or what an acquirer would pay. Read it alongside the figures below rather than on its own.
Not available — requires positive earnings and a growth estimate.
What it would cost to buy CVS
Enterprise value is what it would cost to take the whole company: every share at today’s price, plus the debt an acquirer assumes, less the cash they receive. For CVS HEALTH Corp that is $172.22B.
Every term below is a line item from a filed statement. The numbers beside each one open the filing it came from — balance-sheet figures arrive already scaled, so there is no “in thousands” to catch you out.
1.28B shares · 10-Q cover page
| Measure | Value |
|---|---|
| Diluted earnings per shareto 2025-12-31 | $1.39 |
| P/E ratioto 2025-12-31 | 68.7 |
| Earnings growth (3-year CAGR)to 2025-12-31 | −24.7% |
| PEG ratio | — |
| Market capitalisationto 2026-07-29 | $122.14B |
| Total debtto 2026-06-30 | $61.41B |
| Net debtto 2026-06-30 | $47.45B |
| Enterprise valueto 2026-06-30 | $172.22B |
| EBITDAto 2025-12-31 | $9.27B |
| Free cash flowto 2025-12-31 | $7.81B |
| EV / EBITDAto 2025-12-31 | 18.6× |
| EV / Salesto 2025-12-31 | 0.4× |
| Free cash flow yieldto 2025-12-31 | 6.4% |
| Net debt / EBITDAto 2025-12-31 | 5.1× |
| Return on capital employedto 2025-12-31 | 3.3% |
Earnings growth is measured across CVS HEALTH Corp’s own filed annual accounts. PEG conventionally uses forecast growth from analyst estimates; filings contain only history, so this is trailing growth and will read differently from a PEG quoted elsewhere.
Not shown, and why
- PEG ratio
- earnings shrank over the period measured, so dividing the P/E by growth has no meaning.
Against the sector
No sector comparison: fewer than four companies in the reference set share CVS’s industry classification.
Market ratios
Price-based ratios from market data. Anything drawn from a filed statement is in the enterprise-value section above, with its source.
| Metric | Value |
|---|---|
| Price | $95.50 |
| PEGY ratio | — |
| Dividend yield | 2.79% |
| Price / book | — |
| Price / sales | — |
| Return on equity | 6.2% |
| Profit margin | — |
| Operating margin | — |
| Debt / equity | 77.05 |
| Current ratio | — |
| Beta | 0.58 |
| 52-week range | $69.51 – $110.68 |
Not reported for CVS: pegy ratio, price / book, price / sales, profit margin, operating margin, current ratio. A dash means the figure was not available from the source, not that it is zero.
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About CVS’s valuation
- What is the PEG ratio for CVS HEALTH Corp (CVS)?
- CVS HEALTH Corp has a PEG ratio of —, from a P/E of 68.71 and earnings growth of -24.7% a year measured across 3 years of filed accounts. Note that PEG is conventionally quoted against forecast growth; this uses reported history, so it will differ from a PEG you see elsewhere.
- Is CVS undervalued right now?
- That depends on the measure. On PEG, CVS reads —. The PEG ratio compares price to earnings growth alone — it ignores debt, cash generation and asset backing, so it is a starting point rather than a conclusion. The enterprise-value measures above account for debt and cash; they often tell a different story.
- What is the PEGY ratio for CVS?
- The PEGY ratio for CVS HEALTH Corp is —. PEGY adds the dividend yield of 2.79% to the growth rate in the denominator, which gives a fairer reading of companies returning cash as income rather than growth.
- Where do these CVS figures come from?
- Market price and capitalisation come from live market data; earnings, growth and dividend figures come from CVS HEALTH Corp's published financial statements. Every derived ratio on this page shows the arithmetic that produced it.
This page describes published financial data. It is not investment advice and makes no recommendation to buy or sell CVS.