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The Research on the Investment Value of Healthcare Industry Based on Financial Analysis and Valuation Method: Case of CVS Health

Year: 2024

Type: article

Abstract: This paper analyses the value of CVS Health's investment in the healthcare industry, comparing it to industry giants such as UnitedHealth Group, Cigna and Humana through financial analysis and valuation methods. The study reveals that CVS Health has adapted to market changes through expansion strategies and efficiency gains in the face of the challenges of an aging population and the COVID-19 pandemic. The article analyses CVS Health's net profit margins, gearing ratios, and operating income growth rates in detail, suggesting that it may be undervalued in the market and has high investment potential. The findings suggest that CVS Health has enhanced its market competitiveness and financial stability through effective cost management and market expansion strategies, which are important references for the healthy development of the healthcare industry and service model innovation.

Source: Highlights in Business Economics and Management

DOI: 10.54097/p4w5vm51

Author: Junxi Qin

Institution: Hong Kong Polytechnic University

Language: English

Topic: Financial Analysis and Corporate Governance

Subfield: Accounting

Field: Business, Management and Accounting

Domain: Social Sciences

SDG: Decent work and economic growth

Open Access status: diamond

OpenAlex ID: W4401667003

FWCI:

Cites: 4

Cited by:

Related to: 10