CVS FCF Yield Analysis
Updated 1227h ago·SEC filings & market data
Key Takeaway
CVS's free cash flow yield of 6.3% means that for every $100 invested in its stock, the company generates roughly $6.30 in annual free cash flow—the cash left after operating costs and capital spending.
Sector Performance
73th percentileCVS
6.6%
Sector Median
4.1%
Sector Avg
9.2%
Prior Period
6.3%(Aug 2026)
Deep Analysis
CVS's free cash flow yield of 6.3% means that for every $100 invested in its stock, the company generates roughly $6.30 in annual free cash flow—the cash left after operating costs and capital spending.
That is above the sector median of 4.1%, placing CVS at the 72nd percentile among peers, so its cash generation is stronger than most comparable firms. The trend is not available: both the year-over-year change and quarter-over-quarter change are listed as N/A, and there is no eight-quarter historical data to assess direction. A high level with an unknown trend provides less certainty; the attractive yield could be stable or could be eroding, so it does not reduce risk by itself. This metric supports the cautious verdict because a strong current yield is not enough to offset the lack of trend evidence and other concerns. Overall, the 6.3% FCF yield is a positive point, but the missing trend data leaves the investment risk unchanged.
Frequently Asked Questions
What does the FCF Yield tell investors about CVS?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master CVS's Valuation
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6.6%
Sector Median
4.1%
Sector Avg
9.2%
How CVS's FCF Yield compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.