Saturday, April 8, 2017

I'm Adding CVS Health To My DivGro Portfolio


CVS Health Corporation (CVS) ranked third in the March edition of my 10 Dividend Growth Stocks series of articles on Seeking Alpha.

The stock is trading down more than 30% from an all-time high price of $113.45, recorded in July 2015. As a result, CVS is trading at a 5-year high yield.

In this article, I explain why I'm adding CVS to DivGro. The article provides a full stock analysis and includes some risk factors, too.

About CVS Health

Founded in 1892 and headquartered in Woonsocket, Rhode Island, CVS provides integrated pharmacy health care services. The company offers a range of products and services, including advising patients on their medications at CVS Pharmacy locations; providing cost control programs through CVS Caremark; delivering care to patients with conditions through CVS Specialty; and pharmacy care for the senior community through Omnicare.

CVS is a Dividend Contender with a track record of 14 consecutive years of dividend increases and an impressive 10-year dividend growth rate of 27%. The stock pays quarterly dividends of 50¢ per share in the months of February, May, August, and November.

To see my stock analysis and to learn why I added CVS to DivGro, please read this article at Seeking Alpha.

Feel free to comment on this article either here or at Seeking Alpha.

2 comments :

  1. Hi Ferdi , retail is tough business , CVS 's net profit margin at 3% is even lower then WMT's . What is your point ?

    ReplyDelete
    Replies
    1. I guess I'm not quite sure how to respond to your question. Did you read the article at Seeking Alpha? If it doesn't provide the case for a long-term investment in CVS for the DGI, I guess I can't convince you. Take care.

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