Jim Cramer Highlighted 12 Stocks and Tariff Panic

Page 9 of 11

3. CVS Health Corporation (NYSE:CVS)

Number of Hedge Fund Holders: 74

Cramer commented on CVS Health Corporation (NYSE:CVS) and said:

“The health insurers are all roaring too. Why? Because they’re domestic, very hard to tariff and they can go much higher if you want to avoid the tariff shroud. CVS, which owns Aetna, moved up against Cigna’s running.”

CVS Health (NYSE:CVS) provides various healthcare services, such as insurance, pharmacy management, and pharmaceutical products. It also offers consulting services to healthcare organizations. Hotchkis & Wiley stated the following regarding CVS Health Corporation (NYSE:CVS) in its Q4 2024 investor letter:

“CVS Health Corporation (NYSE:CVS) is a diversified healthcare company operating a Pharmacy Benefits Manager, health insurer, and retail stores and pharmacies. CVS underperformed in Q4 largely because of underperformance in the Aetna business due to unexpectedly higher costs, as well as the aforementioned decline in valuations across the peer group. Health insurance is a business that reprices yearly, so CVS should be able to recover its higher costs and restore margins within a year or two.”

Page 9 of 11