What's the Outlook for CVS Health Stock?
CVS Health (NYSE: CVS) is one of the nation's largest pharmacy chains, and its stock is trading at a rock-bottom valuation. In fact, you could now buy the company's stock at a meager 11 times price to earnings, which is a steep discount over the market's 37 times net-income valuation. What gives?
As it turns out, the pharmacy giant is cheap for a good reason. Its entire business is ripe for disruption by healthcare start-ups or new ventures by e-commerce giants. Even its dividend yield of 3% isn't convincing enough to overshadow the long-term risks inherent with an investment. Let's find out why CVS stock's outlook is no longer as bright as it once was.
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Source Fool.com
