CVS Health Lowers 2024 Profit Forecast Due to Rising Medical Costs

CVS Health has reduced its adjusted profit forecast for 2024 due to increased medical care costs among older adults in the United States, particularly within its insurance business, Aetna. The rise in medical care, including outpatient procedures for those enrolled in Medicare Advantage plans, has led to higher costs. The company's new forecast accounts for the potential of elevated medical costs in 2024, reflecting a trend seen across the industry. Despite beating analysts' estimates for the fourth quarter, CVS Health now expects adjusted profit for 2024 to be at least $8.30 per share, down from the previously forecasted $8.50 per share.