CVS Health Is Soaring 75% This Year. And the Stock Still Looks Cheap.

One of the hottest healthcare stocks to own this year has undoubtedly been CVS Health (NYSE: CVS). It's up 75% while the Health Care Select Sector SPDR Fund has climbed by just 6%. The performance, does, however, warrant an asterisk as CVS is coming off a brutal year in 2024 when it crashed more than 43%. The stock was beaten down and may have appealed to value-oriented investors.Nonetheless, the company must be doing something right for investors to be significantly more bullish on the stock this year; a low valuation on its own usually isn't enough to give the stock this type of a boost. And even though the stock has rallied so much this year, CVS still doesn't look all that expensive given its level of profitability.Image source: Getty Images.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool