CVS Health Corp (CVS)vsTE Connectivity Ltd (TEL)
CVS
CVS Health Corp
$86.86
+7.65%
HEALTHCARE · Cap: $105.21B
TEL
TE Connectivity Ltd
$216.17
+4.46%
TECHNOLOGY · Cap: $59.92B
Smart Verdict
WallStSmart Research — data-driven comparison
CVS Health Corp generates 2039% more annual revenue ($399.83B vs $18.70B). TEL leads profitability with a 15.5% profit margin vs 0.4%. CVS appears more attractively valued with a PEG of 0.24. TEL earns a higher WallStSmart Score of 76/100 (B+).
CVS
Buy65
out of 100
Grade: C+
TEL
Strong Buy76
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+77.4%
Fair Value
$340.13
Current Price
$86.86
$253.27 discount
Margin of Safety
-60.4%
Fair Value
$142.48
Current Price
$216.17
$73.69 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Reasonable price relative to book value
Earnings expanding 76.6% YoY
Large-cap with strong market position
Generating 2.6B in free cash flow
Earnings expanding 7150.0% YoY
Large-cap with strong market position
Every $100 of equity generates 23 in profit
Strong operational efficiency at 20.3%
Areas to Watch
ROE of 2.3% — below average capital efficiency
0.4% margin — thin
Operating margin of 1.6%
Elevated debt levels
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull 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 : TEL
The strongest argument for TEL centers on EPS Growth, Market Cap, Return on Equity. Profitability is solid with margins at 15.5% and operating margin at 20.3%. Revenue growth of 14.5% 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 : TEL
No major red flags identified for TEL, but monitor valuation.
Key Dynamics to Monitor
CVS profiles as a value stock while TEL is a mature play — different risk/reward profiles.
TEL carries more volatility with a beta of 1.18 — expect wider price swings.
TEL is growing revenue faster at 14.5% — sustainability is the question.
CVS generates stronger free cash flow (2.6B), providing more financial flexibility.
Bottom Line
TEL scores higher overall (76/100 vs 65/100), backed by strong 15.5% margins and 14.5% revenue growth. CVS offers better value entry with a 77.4% 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.
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 →TE Connectivity Ltd
TECHNOLOGY · ELECTRONIC COMPONENTS · USA
TE Connectivity is an American Swiss-domiciled technology company that designs and manufactures connectors and sensors for several industries, such as automotive, industrial equipment, data communication systems, aerospace, defense, medical, oil and gas, consumer electronics and energy.
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