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CVS Health (BSP:CVSH34) Shiller PE Ratio : 10.63 (As of May. 05, 2024)


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What is CVS Health Shiller PE Ratio?

As of today (2024-05-05), CVS Health's current share price is R$28.50. CVS Health's E10 for the quarter that ended in Mar. 2024 was R$2.68. CVS Health's Shiller PE Ratio for today is 10.63.

The historical rank and industry rank for CVS Health's Shiller PE Ratio or its related term are showing as below:

BSP:CVSH34' s Shiller PE Ratio Range Over the Past 10 Years
Min: 10.42   Med: 19.63   Max: 38.92
Current: 10.42

During the past years, CVS Health's highest Shiller PE Ratio was 38.92. The lowest was 10.42. And the median was 19.63.

BSP:CVSH34's Shiller PE Ratio is ranked better than
66.67% of 12 companies
in the Healthcare Plans industry
Industry Median: 19.63 vs BSP:CVSH34: 10.42

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

CVS Health's adjusted earnings per share data for the three months ended in Mar. 2024 was R$0.438. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is R$2.68 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


CVS Health Shiller PE Ratio Historical Data

The historical data trend for CVS Health's Shiller PE 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.

* Premium members only.

CVS Health Shiller PE Ratio Chart

CVS Health Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 18.93 16.14 21.39 18.37 14.63

CVS Health Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Shiller PE Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 14.23 13.02 12.94 14.63 14.87

Competitive Comparison of CVS Health's Shiller PE Ratio

For the Healthcare Plans subindustry, CVS Health's Shiller PE Ratio, along with its competitors' market caps and Shiller PE 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's Shiller PE Ratio Distribution in the Healthcare Plans Industry

For the Healthcare Plans industry and Healthcare sector, CVS Health's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where CVS Health's Shiller PE Ratio falls into.



CVS Health Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

CVS Health's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=28.50/2.68
=10.63

* 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's E10 for the quarter that ended in Mar. 2024 is calculated as:

For example, CVS Health's adjusted earnings per share data for the three months ended in Mar. 2024 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=0.438/129.4194*129.4194
=0.438

Current CPI (Mar. 2024) = 129.4194.

CVS Health Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201406 0.237 100.560 0.305
201409 0.189 100.428 0.244
201412 0.301 99.070 0.393
201503 0.336 99.621 0.437
201506 0.349 100.684 0.449
201509 0.433 100.392 0.558
201512 0.520 99.792 0.674
201603 0.385 100.470 0.496
201606 0.294 101.688 0.374
201609 0.465 101.861 0.591
201612 0.533 101.863 0.677
201703 0.288 102.862 0.362
201706 0.353 103.349 0.442
201709 0.395 104.136 0.491
201712 1.061 104.011 1.320
201803 0.321 105.290 0.395
201806 -0.950 106.317 -1.156
201809 0.559 106.507 0.679
201812 -0.144 105.998 -0.176
201903 0.419 107.251 0.506
201906 0.574 108.070 0.687
201909 0.482 108.329 0.576
201912 0.546 108.420 0.652
202003 0.748 108.902 0.889
202006 1.173 108.767 1.396
202009 0.502 109.815 0.592
202012 0.381 109.897 0.449
202103 0.947 111.754 1.097
202106 1.056 114.631 1.192
202109 0.633 115.734 0.708
202112 0.554 117.630 0.610
202203 0.881 121.301 0.940
202206 1.156 125.017 1.197
202209 -1.358 125.227 -1.403
202212 0.918 125.222 0.949
202303 0.859 127.348 0.873
202306 0.718 128.729 0.722
202309 0.864 129.860 0.861
202312 0.774 129.419 0.774
202403 0.438 129.419 0.438

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


CVS Health  (BSP:CVSH34) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


CVS Health Shiller PE Ratio Related Terms

Thank you for viewing the detailed overview of CVS Health's Shiller PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


CVS Health (BSP:CVSH34) Business Description

Address
One CVS Drive, Woonsocket, RI, USA, 02895
CVS Health offers a diverse set of healthcare services. Its roots are in its retail pharmacy operations, where it operates over 9,000 stores primarily in the U.S. CVS is also the largest pharmacy benefit manager (acquired through Caremark), processing over 2 billion adjusted claims annually. It also operates a top-tier health insurer (acquired through Aetna) where it serves about 26 million medical members. The company's recent acquisition of Oak Street adds primary care services to the mix, which could have significant synergies with all its existing business lines.

CVS Health (BSP:CVSH34) Headlines

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