WallStSmart

CVS Health Corp (CVS)vsParker-Hannifin Corporation (PH)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

CVS Health Corp generates 1805% more annual revenue ($399.83B vs $20.99B). PH leads profitability with a 16.6% profit margin vs 0.4%. CVS appears more attractively valued with a PEG of 0.24. CVS earns a higher WallStSmart Score of 65/100 (C+).

CVS

Buy

65

out of 100

Grade: C+

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

PH

Buy

55

out of 100

Grade: C-

Growth: 4.7Profit: 8.0Value: 3.7Quality: 5.8
Piotroski: 5/9Altman Z: 2.78
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CVSUndervalued (+77.4%)

Margin of Safety

+77.4%

Fair Value

$340.13

Current Price

$86.86

$253.27 discount

UndervaluedFair: $340.13Overvalued

Intrinsic value data unavailable for PH.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CVS5 strengths · Avg: 9.4/10
PEG RatioValuation
0.2410/10

Growing faster than its price suggests

Price/BookValuation
1.5x10/10

Reasonable price relative to book value

EPS GrowthGrowth
76.6%10/10

Earnings expanding 76.6% YoY

Market CapQuality
$105.21B9/10

Large-cap with strong market position

Free Cash FlowQuality
$2.61B8/10

Generating 2.6B in free cash flow

PH3 strengths · Avg: 8.7/10
Market CapQuality
$111.35B9/10

Large-cap with strong market position

Return on EquityProfitability
24.8%9/10

Every $100 of equity generates 25 in profit

Operating MarginProfitability
21.5%8/10

Strong operational efficiency at 21.5%

Areas to Watch

CVS4 concerns · Avg: 3.0/10
Return on EquityProfitability
2.3%3/10

ROE of 2.3% — below average capital efficiency

Profit MarginProfitability
0.4%3/10

0.4% margin — thin

Operating MarginProfitability
1.6%3/10

Operating margin of 1.6%

Debt/EquityHealth
1.243/10

Elevated debt levels

PH3 concerns · Avg: 2.7/10
P/E RatioValuation
32.6x4/10

Premium valuation, high expectations priced in

PEG RatioValuation
3.582/10

Expensive relative to growth rate

EPS GrowthGrowth
-4.2%2/10

Earnings declined 4.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : CVS

The strongest argument for CVS centers on PEG Ratio, Price/Book, EPS Growth. PEG of 0.24 suggests the stock is reasonably priced for its growth.

Bull Case : PH

The strongest argument for PH centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 16.6% and operating margin at 21.5%. Revenue growth of 10.6% demonstrates continued momentum.

Bear Case : CVS

The primary concerns for CVS are Return on Equity, Profit Margin, Operating Margin. A P/E of 59.1x leaves little room for execution misses. Thin 0.4% margins leave little buffer for downturns.

Bear Case : PH

The primary concerns for PH are P/E Ratio, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

CVS profiles as a value stock while PH is a mature play — different risk/reward profiles.

PH carries more volatility with a beta of 1.25 — expect wider price swings.

PH is growing revenue faster at 10.6% — sustainability is the question.

CVS generates stronger free cash flow (2.6B), providing more financial flexibility.

Bottom Line

CVS scores higher overall (65/100 vs 55/100). 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.

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Parker-Hannifin Corporation

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Parker-Hannifin Corporation, originally Parker Appliance Company, usually referred to as just Parker, is an American corporation specializing in motion and control technologies. Its corporate headquarters are in Mayfield Heights, Ohio, in Greater Cleveland.

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