CVS Caremark predicts 2014 earnings growth

SHARE CVS Caremark predicts 2014 earnings growth

CVS Caremark Corp. expects earnings per share to grow more than 10 percent next year, and the drugstore chain plans to return some money to its shareholders through a higher dividend.

The Woonsocket, R.I., company said it expects adjusted earnings of between $4.36 and $4.50 per share in 2014. Analysts surveyed by FactSet expect, on average, earnings of $4.46 per share.

CVS Caremark runs the second-largest drugstore chain in the United States after Walgreen Co., and its Caremark unit also is one of the nation’s largest pharmacy benefits managers.

The company said its forecast assumes the completion of $4 billion in share buybacks next year and the second-half launch of a recently announced joint venture with prescription drug distributor Cardinal Health to buy generic drugs.

CVS Caremark also said its board approved a 5-cent increase in its quarterly dividend, to 27.5 cents per share. The higher payout will be made Feb. 3 to shareholders of record on Jan. 23.

The company’s board also approved a new stock buyback program for up to $6 billion in shares. That is expected to be completed over several years.

via The Associated Press

The Latest
Altmyer threw a touchdown pass and ran for another and Isaiah Williams caught eight passes for 120 yards to lead Illinois to a 23-17 victory.
“By a mile, what we’ve done off the field [is what I’ll be most proud of,]” Rapinoe said. “That has made a lasting impact.”
The Lions stayed perfect and became IHSA playoff-eligible by shutting out Senn 28-0 Saturday at Winnemac Stadium.
Until Merryweather was able to escape his bases-loaded jam, sealing a scoreless inning in an eventual 6-3 win, the litany of reliever injury updates Saturday were top of mind.
Stroman allowed three runs in three innings in his first start back from the IL.