CVS Health Corp (CVS)vsHumana Inc (HUM)
CVS
CVS Health Corp
$71.48
-0.53%
HEALTHCARE · Cap: $90.94B
HUM
Humana Inc
$169.90
+2.07%
HEALTHCARE · Cap: $20.49B
Smart Verdict
WallStSmart Research — data-driven comparison
CVS Health Corp generates 208% more annual revenue ($399.83B vs $129.66B). HUM leads profitability with a 92.0% profit margin vs 44.0%. CVS appears more attractively valued with a PEG of 0.21. CVS earns a higher WallStSmart Score of 65/100 (C+).
CVS
Buy65
out of 100
Grade: C+
HUM
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-18.4%
Fair Value
$65.05
Current Price
$71.48
$6.43 premium
Margin of Safety
-156.9%
Fair Value
$68.27
Current Price
$169.90
$101.63 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Reasonable price relative to book value
Keeps 44 of every $100 in revenue as profit
Earnings expanding 76.6% YoY
Large-cap with strong market position
Generating 2.6B in free cash flow
Reasonable price relative to book value
Keeps 92 of every $100 in revenue as profit
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Attractively priced relative to earnings
Areas to Watch
ROE of 2.3% — below average capital efficiency
Operating margin of 1.6%
Elevated debt levels
Premium valuation, high expectations priced in
ROE of 7.0% — below average capital efficiency
Earnings declined 59.3%
Negative free cash flow — burning cash
Operating margin of -1.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : CVS
The strongest argument for CVS centers on PEG Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 44.0% and operating margin at 1.6%. PEG of 0.21 suggests the stock is reasonably priced for its growth.
Bull Case : HUM
The strongest argument for HUM centers on Price/Book, Profit Margin, Altman Z-Score. Profitability is solid with margins at 92.0% and operating margin at -1.8%. Revenue growth of 11.3% demonstrates continued momentum.
Bear Case : CVS
The primary concerns for CVS are Return on Equity, Operating Margin, Debt/Equity. A P/E of 51.4x leaves little room for execution misses.
Bear Case : HUM
The primary concerns for HUM are Return on Equity, EPS Growth, Free Cash Flow.
Key Dynamics to Monitor
CVS carries more volatility with a beta of 0.46 — expect wider price swings.
HUM is growing revenue faster at 11.3% — sustainability is the question.
CVS generates stronger free cash flow (2.6B), providing more financial flexibility.
Monitor HEALTHCARE PLANS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
CVS scores higher overall (65/100 vs 58/100), backed by strong 44.0% margins. Both earn "Buy" and "Buy" 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 →Humana Inc
HEALTHCARE · HEALTHCARE PLANS · USA
Humana Inc. is a for-profit American health insurance company based in Louisville, Kentucky.
Visit Website →Compare with Other HEALTHCARE PLANS Stocks
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