CVS Health Corp (CVS)

Like many retailers, they struggle with theft. Home healthcare at these US chains was supposed to prosper, but it didn't. Low margins and low barriers to entry.

It is so large now and a conglomerate with many divisions. The big pharmacies like Walgreen and CVS are in some difficulty and staffs are worn out. There are better opportunities elsewhere.

Very large acquisition in health clinics. Pharmacy side of business struggling. Becoming a major healthcare provider in USA. Trading at 8x earnings. Cash flow excellent. Good for long term investors. Will continue to hold. Strong management team. 

Likes their diversity within US healthcare: insurance, pharmacy benefits and of course drug stores. They bought Signify and Oak Street which will be additive. CVS will definitely perform. Trades at a very low PE of under 8x and produces a ton of cash. Be patient with CVS.

Insider selling earlier this year. One of its insurers pulled back on commitments. Very strong brand in the US, one of the largest, which puts a moat around it. Aging population will need more healthcare. Too cheap to ignore right now.

Diversified into a vertically integrated healthcare colossus. Aetna business is weighing them down, but could be temporary. Compelling 8x earnings, very cheap, well capitalized, nice dividend. As long as Americans need healthcare, CVS will be part of that.

They can't control their theft problem.

Very positive on company.
Integrated healthcare company.
Demand for healthcare rising steadily.
Current share price under valued.
Good for long term investors.
Untapped franchise potential.
Expecting 10-12% share price growth.

Best-run, widest healthcare business in the US. In so many areas. Free cashflow generator. Debt is manageable, and it's being reduced. 8x earnings. Foot traffic and consumer spending are down. Competitive pressures, but he expects them to gain more business than they're losing (as from Blue Shield). Yield is 3.68%.

Not good news, can't sugar-coat it. Often there's an overreaction to these situations. He's waiting for follow-up comments. Market's waiting to see how it deals with all the disruption. Trash-bin multiple of 7x. Expects over $8 EPS this year, more than in 2015 when stock hit highs.

It is a pharmaceutical company with an insurance division as well. There is a regulatory overhang on pharmaceutical companies that can limit profit. He doesn't know where the the next growth catalyst is so doesn't own.

Down around 20% YOY. Really likes the vertically integrated healthcare business model. Very low valuation with high free cashflow yield. Concern is always regulation. Acquisition integration is challenged short term, but should come online longer term just fine.

They've had a terrible 9 months. A downgrade, taking on debt and lowering earnings estimates on 2 acquisitions (Signify, Oak Street). They're sandbagged. There will be good results next week. Good valuation. Sentiment has changed.