Contract WinsCVS Caremark wins contract from OptumRx, providing outpatient prescription drug benefits for approximately 587K members enrolled in Basic or Medicare HMO and PPO plans.
Growth OpportunitiesSignificant embedded earnings power is seen in CVS's MA turnaround, suggesting untapped potential for growth.
Market PositionThe CalPERS contract win is a clear positive for CVS as it introduces some early momentum into 2026 and positions the company to exceed Street expectations next year.
Strategic MovesThe acquisition of new store locations in areas where CVS is under-represented geographically is seen as a strategic move.