Microsoft Excel LibreOffice Calc

CVS Health Corp. (CVS)

Long-term (Investment) Activity Analysis

Difficulty: Beginner

Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.

Ratios (Summary)

CVS Health Corp., long-term (investment) activity ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Net fixed asset turnover 17.09 17.95 17.45 15.55 15.76
Total asset turnover 0.99 1.94 1.88 1.64 1.88
Equity turnover 3.33 4.90 4.82 4.12 3.67

Based on: 10-K (filing date: 2019-02-28), 10-K (filing date: 2018-02-14), 10-K (filing date: 2017-02-09), 10-K (filing date: 2016-02-09), 10-K (filing date: 2015-02-10).

Ratio Description The company
Net fixed asset turnover An activity ratio calculated as total revenue divided by net fixed assets. CVS Health Corp.’s net fixed asset turnover improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018.
Total asset turnover An activity ratio calculated as total revenue divided by total assets. CVS Health Corp.’s total asset turnover improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018.
Equity turnover An activity ratio calculated as total revenue divided by shareholders’ equity. CVS Health Corp.’s equity turnover improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018.

Net Fixed Asset Turnover

CVS Health Corp., net fixed asset turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Selected Financial Data (USD $ in millions)
Revenues from customers 193,919  184,765  177,526  153,290  139,367 
Property and equipment, net 11,349  10,292  10,175  9,855  8,843 
Ratio
Net fixed asset turnover1 17.09 17.95 17.45 15.55 15.76
Benchmarks
Net Fixed Asset Turnover, Competitors
Walgreens Boots Alliance Inc. 9.46 8.67 8.19 6.87 6.23
Net Fixed Asset Turnover, Sector
Food & Drug Retailers 12.88 12.66 12.03 10.30 10.23
Net Fixed Asset Turnover, Industry
Consumer Services 3.92 3.85 3.84 3.93 3.75

Based on: 10-K (filing date: 2019-02-28), 10-K (filing date: 2018-02-14), 10-K (filing date: 2017-02-09), 10-K (filing date: 2016-02-09), 10-K (filing date: 2015-02-10).

2018 Calculations

1 Net fixed asset turnover = Revenues from customers ÷ Property and equipment, net
= 193,919 ÷ 11,349 = 17.09

Ratio Description The company
Net fixed asset turnover An activity ratio calculated as total revenue divided by net fixed assets. CVS Health Corp.’s net fixed asset turnover improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018.

Total Asset Turnover

CVS Health Corp., total asset turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Selected Financial Data (USD $ in millions)
Revenues from customers 193,919  184,765  177,526  153,290  139,367 
Total assets 196,456  95,131  94,462  93,657  74,252 
Ratio
Total asset turnover1 0.99 1.94 1.88 1.64 1.88
Benchmarks
Total Asset Turnover, Competitors
Walgreens Boots Alliance Inc. 1.93 1.79 1.61 1.50 2.05
Total Asset Turnover, Sector
Food & Drug Retailers 1.23 1.88 1.76 1.58 1.94
Total Asset Turnover, Industry
Consumer Services 1.20 1.31 1.30 1.41 1.42

Based on: 10-K (filing date: 2019-02-28), 10-K (filing date: 2018-02-14), 10-K (filing date: 2017-02-09), 10-K (filing date: 2016-02-09), 10-K (filing date: 2015-02-10).

2018 Calculations

1 Total asset turnover = Revenues from customers ÷ Total assets
= 193,919 ÷ 196,456 = 0.99

Ratio Description The company
Total asset turnover An activity ratio calculated as total revenue divided by total assets. CVS Health Corp.’s total asset turnover improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018.

Equity Turnover

CVS Health Corp., equity turnover calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Selected Financial Data (USD $ in millions)
Revenues from customers 193,919  184,765  177,526  153,290  139,367 
Total CVS Health shareholders’ equity 58,225  37,691  36,830  37,196  37,958 
Ratio
Equity turnover1 3.33 4.90 4.82 4.12 3.67
Benchmarks
Equity Turnover, Competitors
Walgreens Boots Alliance Inc. 5.06 4.30 3.93 3.35 3.73
Equity Turnover, Sector
Food & Drug Retailers 3.86 4.65 4.42 3.77 3.69
Equity Turnover, Industry
Consumer Services 4.23 4.19 4.02 4.23 3.87

Based on: 10-K (filing date: 2019-02-28), 10-K (filing date: 2018-02-14), 10-K (filing date: 2017-02-09), 10-K (filing date: 2016-02-09), 10-K (filing date: 2015-02-10).

2018 Calculations

1 Equity turnover = Revenues from customers ÷ Total CVS Health shareholders’ equity
= 193,919 ÷ 58,225 = 3.33

Ratio Description The company
Equity turnover An activity ratio calculated as total revenue divided by shareholders’ equity. CVS Health Corp.’s equity turnover improved from 2016 to 2017 but then deteriorated significantly from 2017 to 2018.