WallStSmart

CVS Health Corp (CVS)vsDevon Energy Corporation (DVN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

CVS Health Corp generates 2435% more annual revenue ($405.62B vs $16.00B). DVN leads profitability with a 14.2% profit margin vs 0.7%. CVS appears more attractively valued with a PEG of 0.28. CVS earns a higher WallStSmart Score of 65/100 (C+).

CVS

Buy

65

out of 100

Grade: C+

Growth: 7.3Profit: 4.0Value: 8.0Quality: 5.0
Piotroski: 4/9Altman Z: 2.11

DVN

Hold

44

out of 100

Grade: D

Growth: 2.0Profit: 6.0Value: 4.0Quality: 5.0
Piotroski: 3/9Altman Z: 1.99
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CVSUndervalued (+45.3%)

Margin of Safety

+45.3%

Fair Value

$140.72

Current Price

$95.93

$44.79 discount

UndervaluedFair: $140.72Overvalued
DVNSignificantly Overvalued (-63.1%)

Margin of Safety

-63.1%

Fair Value

$27.78

Current Price

$46.00

$18.22 premium

UndervaluedFair: $27.78Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CVS5 strengths · Avg: 9.0/10
PEG RatioValuation
0.2810/10

Growing faster than its price suggests

EPS GrowthGrowth
63.1%10/10

Earnings expanding 63.1% YoY

Market CapQuality
$128.46B9/10

Large-cap with strong market position

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$3.40B8/10

Generating 3.4B in free cash flow

DVN3 strengths · Avg: 8.3/10
Market CapQuality
$52.26B9/10

Large-cap with strong market position

P/E RatioValuation
12.6x8/10

Attractively priced relative to earnings

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Areas to Watch

CVS4 concerns · Avg: 3.0/10
Return on EquityProfitability
3.8%3/10

ROE of 3.8% — below average capital efficiency

Profit MarginProfitability
0.7%3/10

0.7% margin — thin

Operating MarginProfitability
4.1%3/10

Operating margin of 4.1%

Debt/EquityHealth
1.013/10

Elevated debt levels

DVN4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.994/10

Grey zone — moderate risk

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.932/10

Expensive relative to growth rate

Revenue GrowthGrowth
-0.8%2/10

Revenue declined 0.8%

Comparative Analysis Report

WallStSmart Research

Bull Case : CVS

The strongest argument for CVS centers on PEG Ratio, EPS Growth, Market Cap. PEG of 0.28 suggests the stock is reasonably priced for its growth.

Bull Case : DVN

The strongest argument for DVN centers on Market Cap, P/E Ratio, Price/Book.

Bear Case : CVS

The primary concerns for CVS are Return on Equity, Profit Margin, Operating Margin. A P/E of 44.2x leaves little room for execution misses. Thin 0.7% margins leave little buffer for downturns.

Bear Case : DVN

The primary concerns for DVN are Altman Z-Score, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

CVS profiles as a value stock while DVN is a declining play — different risk/reward profiles.

CVS carries more volatility with a beta of 0.62 — expect wider price swings.

CVS is growing revenue faster at 6.1% — sustainability is the question.

CVS generates stronger free cash flow (3.4B), providing more financial flexibility.

Bottom Line

CVS scores higher overall (65/100 vs 44/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

CVS Health Corp

HEALTHCARE · HEALTHCARE PLANS · USA

CVS Health (previously CVS Corporation and CVS Caremark Corporation) is an American healthcare company that owns CVS Pharmacy, a retail pharmacy chain; CVS Caremark, a pharmacy benefits manager; Aetna, a health insurance provider, among many other brands. The company's headquarters is in Woonsocket, Rhode Island.

Visit Website →

Devon Energy Corporation

ENERGY · OIL & GAS E&P · USA

Devon Energy Corporation is an American energy company engaged in hydrocarbon exploration in the American market.

Want to dig deeper into these stocks?