Medicare Shock... CVS Health Loses $11.2 Billion in Market Value in One Day

CVS Health Corporation, a diversified U.S. healthcare company, saw its shares plunge 13.98% on the New York Stock Exchange, closing at roughly $72.15. In a single day, its market capitalization evaporated by about $11.2 billion (approximately 16 trillion KRW), leaving it at about $91.5 billion—equivalent to roughly 130 trillion KRW at an exchange rate of 1,450 KRW/USD (exchangerates.org.uk). Trading volume reached approximately 26.5 million shares. The sharp decline followed the U.S. government’s announcement that it would effectively cap 2027 Medicare Advantage rate increases at 0.09% and revise the risk-score calculation methodology, delivering a direct blow to health insurers heavily exposed to Medicare Advantage (Barron’s).

Recently, CVS Health raised its 2025 adjusted earnings-per-share guidance and issued a 2026 outlook projecting at least $400 billion in revenue and $7.0–7.2 billion in adjusted EPS, while laying out a mid-to-long-term blueprint targeting mid-teens average annual profit growth through 2028 (NASDAQ).

CVS Health is an integrated healthcare group combining a nationwide pharmacy chain, insurer Aetna, and a healthcare services business. It is one of the leading insurers with a high share of Medicare Advantage enrollees. Since Medicare Advantage profitability is highly sensitive to government-set payment rates and regulatory changes, stocks in this segment tend to exhibit pronounced volatility whenever rate structures or risk-score methodologies are adjusted (Barron’s).