CVS Health
38 named things its latest annual report says its results depend on, each in the company's own words. 18 of them are also named by other companies we've read.
Customers
U.S. federal government
earns from · approximately 20% of the Company’s consolidated total revenuesnamed as a riskHealth Care Benefits segment revenues from the federal government accounted for approximately 20% of the Company’s consolidated total revenues in 2025, 2024 and 2023.Business (Item 1)
Also named by ACN, ADSK, AKAM, AMRC, APG, CACI, CBRE, CI and 25 more
U.S. Centers for Medicare & Medicaid Services (CMS)
earns from · approximately 79%, 74% and 73%, respectively, of the Company’s consolidated revenues from the federal governmentnamed as a riskContracts with CMS for coverage of Medicare-eligible individuals in the Health Care Benefits segment accounted for approximately 79%, 74% and 73%, respectively, of the Company’s consolidated revenues from the federal government in 2025, 2024 and 2023.Business (Item 1)
Also named by A, ABT, AMGN, AXGN, BAX, BWIN, CNC, COO and 23 more
Medicare Advantage health plans (Signify Health IHE customers)
earns from · approximately 85% of its total IHE volumenamed as a riskThe Company’s IHE operations customers are primarily Medicare Advantage health plans, making up approximately 85% of its total IHE volume.Business (Item 1)
Suppliers
Prescription drug suppliers (mail order and specialty)
depends onnamed as a riskWe acquire a substantial amount of our mail order and specialty pharmacies’ prescription drug supply from a limited number of suppliers.Risk factors (Item 1A)
Pharmaceutical manufacturers (rebates)
depends onnamed as a riskIf we lose our relationship with one or more drug manufacturers, or if the discounts or rebates provided by drug manufacturers decline, our operating results, cash flows and/or prospects could be adversely affected.Risk factors (Item 1A)
Partners and platforms
Cardinal Health, Inc.
50% ownershipUnder this arrangement, the Company and Cardinal contributed their sourcing and supply chain expertise to Red Oak and agreed to source and negotiate generic pharmaceutical supply contracts for both companies through Red Oak.Business (Item 1)
Also named by ABBV, AMGN, BAX, COR, GILD, HROW, LLY, MCK and 1 more
Red Oak Sourcing, LLC
depends on · 50% ownershipThe Company and Cardinal Health, Inc. (“Cardinal”) each have a 50% ownership in Red Oak Sourcing, LLC (“Red Oak”), a generic pharmaceutical sourcing entity.Business (Item 1)
Also named by CAH
Target Corporation
operates inPharmacy includes sales in pharmacies within Target Corporation (“Target”) and other retail stores.Business (Item 1)
Also named by ULTA
Other companies
Oak Street Health
concentrated in · 246 centers across 27 statesnamed as a riskdependence on a significant portion of revenue from Medicare or Medicare Advantage plans, which subjects Oak Street Health to reductions in Medicare reimbursement rates or changes in the rules governing the Medicare program;Risk factors (Item 1A)
Opioid and talc litigation
hundreds of litigation proceedingsnamed as a riskFor example, we are a defendant in hundreds of litigation proceedings relating to opioids and the sale of products containing talc.Risk factors (Item 1A)
Omnicare, LLC
named as a riskPharmacy also includes revenues associated with long-term care pharmacy (“LTC”) operations prior to the deconsolidation of Omnicare, LLC (“Omnicare”) and associated subsidiaries in September 2025.Business (Item 1)
Competitors
Walgreens
competes withIn the areas it serves, the Company competes with other drugstore chains (e.g., Walgreens), supermarkets, discount retailers (e.g., Walmart), independent pharmacies, restrictive pharmacy networks, online retailers (e.g., Amazon), membership clubs, infusion pharmacies, as well as mail order dispensing pharmacies.Business (Item 1)
Express Scripts (Cigna Corporation)
competes withThe Health Services segment has a significant number of competitors offering PBM services, including large, national PBM companies (e.g., Prime Therapeutics and MedImpact), PBMs owned by large national health plans (e.g., the Express Scripts business of Cigna Corporation and the Optum Rx business of UnitedHealth Group) and smaller standalone PBMs.Business (Item 1)
Also named by AMGN
Optum Rx (UnitedHealth Group)
competes withThe Health Services segment has a significant number of competitors offering PBM services, including large, national PBM companies (e.g., Prime Therapeutics and MedImpact), PBMs owned by large national health plans (e.g., the Express Scripts business of Cigna Corporation and the Optum Rx business of UnitedHealth Group) and smaller standalone PBMs.Business (Item 1)
Hazards
Influenza
named as a riskFor example, the length and severity of the influenza season can have an impact on health care and other benefit costs.Risk factors (Item 1A)
Commodities and inputs
Average wholesale price (AWP) and wholesale acquisition cost (WAC) benchmarks
exposed to its pricenamed as a riskFuture changes to the use of AWP, WAC or to other published pricing benchmarks used to establish drug pricing, including changes in the basis for calculating reimbursement by federal and state health care programs and/or other payors, could impact the reimbursement we receive from Medicare and Medicaid programs, the reimbursement we receive from our PBM clients and other payors and/or our ability to negotiate rebates and/or discounts with drug manufacturers, wholesalers, PBMs and retail pharmacies.Risk factors (Item 1A)
National Average Drug Acquisition Cost (NADAC)
exposed to its pricenamed as a riskIn addition, CMS also publishes the National Average Drug Acquisition Cost (“NADAC”) for certain drugs; NADAC pricing, which has exhibited recent volatility, is being adopted in an increasing number of states.Risk factors (Item 1A)
Regulators
U.S. Department of Justice (DOJ)
subject tonamed as a riskThe Company also has received Civil Investigative Demands (“CIDs”) from, and provided documents and information to, the Civil Division of the DOJ in connection with investigations of the Company’s identification and/or submission of diagnosis codes related to risk adjustment payments, including patient chart review processes, under Parts C and D of the Medicare program.Business (Item 1)
Also named by AAPL, ACN, AMAT, ASO, BEN, BSX, CAH, CDNA and 21 more
U.S. Office of Personnel Management (OPM)
subject tonamed as a riskThe Company’s subsidiaries contract with the Office of Personnel Management (the “OPM”) to provide managed health care services under the FEHB program in their service areas.Business (Item 1)
Laws and programs
Medicaid
earns from · 15 statesnamed as a riskThe Company offered these services on an Insured or ASC basis in 15 states in 2025.Business (Item 1)
Also named by ABBV, ABT, ARE, ARWR, BAX, BMY, BSX, CHE and 39 more
Medicare Advantage
earns from · 44 states and Washington, D.C.named as a riskThe Company offered network-based HMO and/or PPO plans in 44 states and Washington, D.C. in 2025.Business (Item 1)
Also named by BWIN, CDNA, CHE, CNC, DGX, DOC, DVA, ELV and 3 more
Medicare Advantage star ratings
subject to · more than 81% of the Company’s Medicare Advantage membersnamed as a riskBased on the Company’s membership as of December 2025, more than 81% of the Company’s Medicare Advantage members were in plans with 2026 star ratings of at least 4.0 stars, compared to 88% of the Company’s Medicare Advantage members being in plans with 2025 star ratings of at least 4.0 stars based on the Company’s membership as of December 2024.Business (Item 1)
Also named by UNH
Medicare Drug Negotiation Program
subject to · up to 100 total Part B and D drugsnamed as a riskIn addition, the prices for the first ten drugs in the Medicare Drug Negotiation Program (the “Negotiation Program”) take effect in 2026, and the program will grow over time as additional drugs are negotiated by the government each year, with up to 100 total Part B and D drugs selected for the Negotiation Program by 2031.Business (Item 1)
Medicare Advantage payment rates (CMS rate notice)
exposed to its price · 0.09%named as a riskWithout including the risk score trend increase, the advance 2027 rates will result in an expected average increase in revenue for the Medicare Advantage industry of 0.09%, though the rates may vary widely depending on the provider group and patient demographics.Business (Item 1)
Affordable Care Act (ACA) minimum medical loss ratio
subject to · 85%named as a riskIt is possible that certain Medicare Advantage contracts may not meet the 85% MLR for consecutive years.Business (Item 1)
Public Exchanges (ACA individual market)
$448 millionnamed as a riskFor example, during the first quarter of 2025, we recorded a premium deficiency reserve of $448 million related to our individual exchange product line and during the second quarter of 2025, we recorded a premium deficiency reserve of $471 million related to our Group Medicare Advantage product line within the Health Care Benefits segment, primarily related to anticipated losses for the remainder of the 2025 coverage year.Risk factors (Item 1A)
One Big Beautiful Bill Act (Working Families Tax Cut Act)
subject tonamed as a riskThe “One Big Beautiful Bill Act” also known as the “Working Families Tax Cut Act” of 2025 makes changes to Medicaid eligibility rules and financing, which will lead to reduced eligibility for Medicaid beneficiaries and reduced state funding, which will in turn impact Medicaid benefits and payment rates.Business (Item 1)
Also named by AA, ABR, ADI, ADM, ALB, AMAT, AMGN, AMKR and 121 more
Inflation Reduction Act (IRA)
subject tonamed as a riskIn addition, the Inflation Reduction Act, enacted in August 2022 contains changes to the Part D program that have and will shift more of the claim liability to plans and away from the government, including a complete redesign of the Part D standard benefit effective in 2025, which may reduce the Company’s flexibility to design competitive offerings.Business (Item 1)
Also named by AEE, AMGN, ARWR, BIIB, BKNG, BMY, CAH, CI and 26 more
U.S. import tariffs
exposed to its pricenamed as a riskAs a result, significant changes in tax or trade policies, tariffs or trade relations between the U.S. and other countries, such as the imposition of unilateral tariffs on imported products, could result in significant increases in our costs, restrict our access to suppliers, depress economic activity, and have a material adverse effect on our businesses, operating results and cash flows.Risk factors (Item 1A)
Also named by AOS, APLD, BJ, BMI, CAVA, CVLG, DKS, DTE and 18 more
340B Drug Pricing Program
subject tonamed as a riskA reduction in Covered Entities’ participation in contract pharmacy arrangements, a reduction in the use of the Company’s administrative services by Covered Entities or a reduction in drug manufacturers’ participation in the program could result from enforcement actions, rule changes or otherwise and could materially and adversely affect the Company.Business (Item 1)
Also named by ABBV, BAX, BIIB, BMY, CAH, COR, EXEL, GILD and 13 more
False Claims Act
subject tonamed as a riskIf we are convicted of fraud or other criminal conduct in the performance of a government program or if there is an adverse decision against us under the False Claims Act, we may be temporarily or permanently suspended from participating in government health care programs, including Medicare Advantage, Medicare Part D, Medicaid and dual eligible plan programs, and we also may be required to pay significant fines and/or other monetary penalties.Risk factors (Item 1A)
Also named by ACN, ASTS, CDW, CHE, CI, DGX, FLR, GE and 13 more
Medicare Part D
earns fromnamed as a riskThe Company is a national provider of drug benefits under the Medicare Part D prescription drug program.Business (Item 1)
Also named by ABBV, AMGN, BMY, CI, CNC, ELV, INCY, JNJ and 5 more
Employee Retirement Income Security Act (ERISA)
subject tonamed as a riskSignificant ERISA preemption litigation is ongoing in several other federal jurisdictions addressing a wide range of state laws regulating PBMs including laws imposing significant restrictions on the relationships between PBMs and the employee benefit plans they administer.Business (Item 1)
Medicare risk adjustment data validation (RADV) audits
subject tonamed as a riskIn May 2025, CMS announced it would audit every Medicare Advantage contract each payment year, with an expedited plan to complete audits for payment years 2018 through 2024 by early 2026.Business (Item 1)
CMS-HCC risk adjustment model version 28
subject tonamed as a riskFor example, CMS made significant changes to the structure of the hierarchical condition category model in version 28, which may impact risk adjustment factor (“RAF”) scores for a larger percentage of Medicare Advantage beneficiaries and could result in changes to beneficiary RAF scores with or without a change in the patient’s health status.Business (Item 1)
Federal Employees Health Benefits (FEHB) Program
earns fromnamed as a riskThe OPM may seek premium refunds or institute other sanctions against the Company if it fails to comply with the FEHB program requirements.Business (Item 1)
PBM state licensure laws prohibiting PBM-affiliated pharmacies
subject tonamed as a riskOne state has passed and others are considering legislation prohibiting licensure of pharmacies affiliated with a PBM.Business (Item 1)
Arkansas, Louisiana, North Dakota and Oklahoma PBM laws
subject tonamed as a riskFor example, laws in Arkansas, Louisiana, North Dakota and Oklahoma have attempted to limit PBM practices and have been subject to recent lawsuits.Risk factors (Item 1A)