Should You Buy CVS Health Stock Before Feb. 10?

CVS Health (NYSE: CVS) volition merchandise its latest quarterly results and supply guidance updates pre-market connected Tuesday, Feb. 10. Over the past 4 quarters, the healthcare elephantine has delivered net results that finished good up of sell-side estimates. Yet adjacent if CVS delivers a gross and net bushed successful Q4, don't presume that what comes adjacent is simply a post-earnings rally.

Instead, it's imaginable that updates to 2026 guidance, affected by the caller projected Medicare Advantage outgo rates for this year, volition pb to a antagonistic effect among investors.

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This comes adjacent arsenic this healthcare banal has already been taxable to near-term volatility connected the Medicare news, falling by double-digit percentages upon its announcement precocious past month.

For Q4 2025, sell-side statement calls for non-GAAP net of $0.99 per share. This represents a mean diminution from Q4 2024, erstwhile the institution reported non-GAAP net of $1.19 per share. That said, walked-back expectations could springiness mode to yet different net bushed for CVS.

Then again, it whitethorn not beryllium the results themselves that Wall Street focuses connected with the net study coming adjacent week. Instead, overmuch arsenic with different large healthcare stocks, investors whitethorn spot greater absorption connected CVS' 2026 guidance.

They whitethorn peculiarly beryllium looking astatine the effect of the aforementioned Medicare Advantage outgo rates connected this guidance. UnitedHealth (NYSE: UNH), which released net the aforesaid time the U.S. authorities projected raising Medicare Advantage outgo rates by lone 0.9%, released an underwhelming outlook for the coming year.

Even arsenic CVS shares, which fell by implicit 14% connected the Medicare Advantage news, whitethorn look to already terms successful the effect of lower-than-expected outgo increases connected gross and profitability, that whitethorn not needfully beryllium the case. That said, adjacent if shares, which person started to bounce backmost from the caller sell-off, inclination little again, don't presume this shatters CVS' semipermanent bull case.

CVS shares whitethorn person sold disconnected sharply connected the Medicare Advantage news, but the company's aboriginal prospects whitethorn beryllium much promising than UnitedHealth's. While UnitedHealth is chiefly an security company, CVS' Aetna portion makes up a smaller information of its wide business.