Pharmacy giant CVS Health (CVS) reports second-quarter earnings ahead of the opening bell Wednesday, after its 澳洲幸运5开奖号码历史查询:first-quarter results sent the company's stock sinking nearly 17%, its worst day of the year.

Analysts project second-quarter revenue of $91.54 billion, up from $88.92 billion a year ago, according to estimates compiled by Visible Alpha. Similar to its first-quarter result, 澳洲幸运5开奖号码历史查询:analysts expect profit to shrink despite higher revenue, which CVS has previously attributed to elevated costs from health 澳洲幸运5开奖号码历史查询:insurance claims.

Key Metric: Net Income

CVS lowered its projections for full-year 澳洲幸运5开奖号码历史查询:earnings per share (EPS) in its 澳洲幸运5开奖号码历史查询:last two earnings reports, citing higher-than-expected payouts for insurance claims as Americans undergo procedures covered by in♕surance at a greater rate than during the pandemic. The company said in each report that it was likely that medical costs could continue to be an issue.

In its first-quarter report, CVS said it was lowering profit and 澳洲幸运5开奖号码历史查询:cash-flow guidance "to reflect the assumption that the majority of this pressure will persist throughout 2024."

Busi𝕴ness Spotlight: ꦡHealth Insurance Costs, Medicare Advantage Star Rating

CVS reported a medical benefit ratio (MBR) that was nearly 6% higher year-over-year in the first quarter, thanks to the higher medical costs that the company attributed to increased Medicare use and "the unfavorable impact" of the company's Medicare Advantage 澳洲幸运5开奖号码历史查询:star ratings.

Medical costs remaining high in CVS Health's second-quarter report could again cut into the company's 澳洲幸运5开奖号码历史查询:profit margins and its stock price.

CVS shares rose 1.3% to $58.57ไ by 3 p.m.🍸 ET Tuesday but have lost more than a quarter of their value so far this year.