CVS beats earnings on top and bottom lines but suffers on guidance

Looks like CVS might be the latest to fall victims to very high earnings expectations. After beating on both top and bottom lines for another consecutive quarter, the stock is trading down around 3% in premarket based on full year 2022 guidance that comes in at the lower end of analyst expectations.

I am long CVS and remain very confident in the business. They are demonstrably growing their core businesses across the board and continue to exceed analyst expectations quarter after quarter. I believe this guidance is setting them up for a full year 2022 beat.


Leave a Reply

Your email address will not be published. Required fields are marked *