4-Star Stocks Poised to Pop: CVS Caremark

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, drugstore and pharmacy benefits giant CVS Caremark (NYS: CVS) has earned a respected four-star ranking.

With that in mind, let's take a closer look at CVS Caremark's business and see what CAPS investors are saying about the stock right now.

CVS facts

Headquarters (Founded)

Woonsocket, R.I. (1892)

Market Cap

$56.0 billion


Drug retail

Trailing-12-Month Revenue

$104.0 billion


CEO Larry Merlo (since 2011)
CFO David Denton (since 2010)

Return on Equity (Average, Past 3 Years)



$1.7 billion / $10.8 billion

Dividend Yield



Rite Aid

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 96% of the 1,688 members who have rated CVS believe the stock will outperform the S&P 500 going forward.

Last year, one of those bulls, DeeFool33, tapped CVS as a particularly clear opportunity:

I'm a fan of Peter Lynch's "buy what you know" and I am IN these stores all the time. CVS is always busy -- and I mean always at the many locations I frequent in [Massachusetts]. Rite-Aid, well, I rarely see more than 6 cars in the parking lot, ever. CVS is targeting its customer base with coupons, incentives all the time. They are always trying to attract business. Walgreens -- not sure where that it heading -- seems middle of the road to me right now.

If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, CVS may not be your top choice.

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Want to see how well (or not so well) the stocks in this series are performing? Follow the newTrackPoisedToCAPS account.

At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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