Centene Corp (CNC)vsCVS Health Corp (CVS)
CNC
Centene Corp
$66.42
+1.56%
HEALTHCARE · Cap: $31.90B
CVS
CVS Health Corp
$94.66
-0.66%
HEALTHCARE · Cap: $121.07B
Smart Verdict
WallStSmart Research — data-driven comparison
CVS Health Corp generates 129% more annual revenue ($412.64B vs $180.30B). CVS leads profitability with a 1.2% profit margin vs -2.8%. CVS appears more attractively valued with a PEG of 0.22. CVS earns a higher WallStSmart Score of 67/100 (B-).
CNC
Buy56
out of 100
Grade: C
CVS
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+84.8%
Fair Value
$265.86
Current Price
$66.42
$199.44 discount
Margin of Safety
+45.4%
Fair Value
$141.12
Current Price
$94.66
$46.46 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Growing faster than its price suggests
Generating 4.2B in free cash flow
Growing faster than its price suggests
Earnings expanding 188.8% YoY
Large-cap with strong market position
Reasonable price relative to book value
Generating 5.7B in free cash flow
Areas to Watch
4.6% revenue growth
Operating margin of 3.8%
ROE of -22.6% — below average capital efficiency
Currently unprofitable
Moderate valuation
ROE of 6.2% — below average capital efficiency
1.2% margin — thin
Operating margin of 3.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : CNC
The strongest argument for CNC centers on Price/Book, PEG Ratio, Free Cash Flow. PEG of 0.81 suggests the stock is reasonably priced for its growth.
Bull Case : CVS
The strongest argument for CVS centers on PEG Ratio, EPS Growth, Market Cap. PEG of 0.22 suggests the stock is reasonably priced for its growth.
Bear Case : CNC
The primary concerns for CNC are Revenue Growth, Operating Margin, Return on Equity.
Bear Case : CVS
The primary concerns for CVS are P/E Ratio, Return on Equity, Profit Margin. Thin 1.2% margins leave little buffer for downturns.
Key Dynamics to Monitor
CNC profiles as a turnaround stock while CVS is a value play — different risk/reward profiles.
CNC carries more volatility with a beta of 1.11 — expect wider price swings.
CVS is growing revenue faster at 7.1% — sustainability is the question.
CVS generates stronger free cash flow (5.7B), providing more financial flexibility.
Bottom Line
CVS scores higher overall (67/100 vs 56/100). CNC offers better value entry with a 84.8% margin of safety. Both earn "Strong 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.
Centene Corp
HEALTHCARE · HEALTHCARE PLANS · USA
Centene Corporation is a large publicly traded company and a multi-line managed care enterprise that serves as a major intermediary for both government-sponsored and privately insured health care programs. It is a healthcare insurer that focuses on managed care for uninsured, underinsured, and low-income individuals.
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.
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