WallStSmart

CVS Health Corp (CVS)vsVisa Inc. Class A (V)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

CVS Health Corp generates 843% more annual revenue ($405.62B vs $43.03B). V leads profitability with a 51.7% profit margin vs 0.7%. CVS appears more attractively valued with a PEG of 0.23. V earns a higher WallStSmart Score of 72/100 (B).

CVS

Buy

65

out of 100

Grade: C+

Growth: 7.3Profit: 4.0Value: 8.0Quality: 5.0
Piotroski: 4/9Altman Z: 2.11

V

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 10.0Value: 5.0Quality: 5.5
Piotroski: 4/9Altman Z: 1.84
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CVSUndervalued (+77.8%)

Margin of Safety

+77.8%

Fair Value

$346.58

Current Price

$90.55

$256.03 discount

UndervaluedFair: $346.58Overvalued

Intrinsic value data unavailable for V.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CVS5 strengths · Avg: 9.0/10
PEG RatioValuation
0.2310/10

Growing faster than its price suggests

EPS GrowthGrowth
63.1%10/10

Earnings expanding 63.1% YoY

Market CapQuality
$111.47B9/10

Large-cap with strong market position

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$3.40B8/10

Generating 3.4B in free cash flow

V6 strengths · Avg: 9.3/10
Market CapQuality
$610.99B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
60.4%10/10

Every $100 of equity generates 60 in profit

Profit MarginProfitability
51.7%10/10

Keeps 52 of every $100 in revenue as profit

Operating MarginProfitability
67.3%10/10

Strong operational efficiency at 67.3%

Revenue GrowthGrowth
17.1%8/10

17.1% revenue growth

EPS GrowthGrowth
35.5%8/10

Earnings expanding 35.5% YoY

Areas to Watch

CVS4 concerns · Avg: 3.3/10
P/E RatioValuation
38.3x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
3.8%3/10

ROE of 3.8% — below average capital efficiency

Profit MarginProfitability
0.7%3/10

0.7% margin — thin

Operating MarginProfitability
4.1%3/10

Operating margin of 4.1%

V4 concerns · Avg: 4.0/10
PEG RatioValuation
1.714/10

Expensive relative to growth rate

P/E RatioValuation
28.0x4/10

Moderate valuation

Price/BookValuation
15.9x4/10

Trading at 15.9x book value

Altman Z-ScoreHealth
1.844/10

Grey zone — moderate risk

Comparative Analysis Report

WallStSmart Research

Bull Case : CVS

The strongest argument for CVS centers on PEG Ratio, EPS Growth, Market Cap. PEG of 0.23 suggests the stock is reasonably priced for its growth.

Bull Case : V

The strongest argument for V centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 51.7% and operating margin at 67.3%. Revenue growth of 17.1% demonstrates continued momentum.

Bear Case : CVS

The primary concerns for CVS are P/E Ratio, Return on Equity, Profit Margin. Thin 0.7% margins leave little buffer for downturns.

Bear Case : V

The primary concerns for V are PEG Ratio, P/E Ratio, Price/Book.

Key Dynamics to Monitor

CVS profiles as a value stock while V is a growth play — different risk/reward profiles.

V carries more volatility with a beta of 0.78 — expect wider price swings.

V is growing revenue faster at 17.1% — sustainability is the question.

CVS generates stronger free cash flow (3.4B), providing more financial flexibility.

Bottom Line

V scores higher overall (72/100 vs 65/100), backed by strong 51.7% margins and 17.1% revenue growth. CVS offers better value entry with a 77.8% 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.

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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Visa Inc. Class A

FINANCIAL SERVICES · CREDIT SERVICES · USA

Visa Inc. is an American multinational financial services corporation headquartered in Foster City, California, United States. It facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards, debit cards and prepaid cards. Visa is one of the world's most valuable companies.

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