CVS Health delivered a strong second quarter in 2025, surpassing Wall Street expectations and signaling a notable turnaround for its stock. The company reported revenues of $98.9 billion for Q2, reflecting robust 8.4% year-over-year growth across all business segments, including significant contributions from its health insurance arm, Aetna, and its pharmacy unit.

Despite this impressive top-line growth, CVS faced challenges on the profitability front. GAAP diluted earnings per share (EPS) fell to $0.80 from $1.41 a year earlier, influenced by litigation charges and increased operational expenses. Adjusted EPS came in at $1.81, only slightly down from the previous year. Still, these results exceeded analyst consensus, sparking a surge in CVS shares, which jumped over 7% in premarket trading following the report.

The company also boosted its full-year adjusted EPS outlook to a range of $6.30 to $6.40, raising confidence in its ability to maintain operational momentum. Additionally, CVS now expects to generate at least $7.5 billion in operating cash flow for 2025.

Strategically, CVS continued to advance its transformation into an integrated healthcare powerhouse. Notably, the company announced it will acquire select Rite Aid prescription files and store locations, further expanding its retail pharmacy presence. CVS also reaffirmed its $20 billion commitment over the next decade to simplify and enhance the U.S. health system.

Overall, while the quarter demonstrated some pressures—such as declining earnings from the Health Services segment and a dip in medical membership—the rebound in core businesses and an improved earnings outlook have renewed investor optimism about CVS’s long-term growth trajectory.