CVS stock price dives 14% after CMS Medicare Advantage rate proposal; what investors watch next
CVS Health shares dropped about 14% to $72 in after-hours trading Tuesday after a proposed 2027 Medicare Advantage payment update signaled minimal rate increases. The Centers for Medicare & Medicaid Services projected a 0.09% average hike, sparking warnings from insurers about possible benefit cuts. UnitedHealth and Humana shares also fell sharply. CVS reports earnings Feb. 10; CMS’s final decision is due in April.