CVS Health will split into two companies, dividing its retail pharmacies from its insurance and pharmacy-benefit operations, according to reports from the Wall Street Journal and Bloomberg.
The potential reorganization would see one company retain the CVS Health name and continue to manage insurance and pharmacy-benefit services.
A reversal of integrated healthcare strategy
A breakup would change the company's direction. For years, CVS has pursued a strategy of building an integrated healthcare business through major acquisitions. This included a roughly $78 billion purchase of the health insurer Aetna in 2018.
Under the proposed split, the retail pharmacy division—which currently operates nearly 9,000 pharmacies—would be separated from the insurance and pharmacy-benefit manager, Caremark.
Shares rose following news of the potential split
Following news of the potential split on Tuesday, November 3, 2026, shares of the company rose in extended trading. Bloomberg reported that shares jumped as much as 3.7% in after-hours trading, while Reuters noted an increase of 1.2% in extended trading.
The company’s market value reached approximately $117 billion following a rebound under the current leadership. Financial records show that CVS reported record revenue of $402.1 billion in 2025, which was a 7.8% increase from the previous year. While the company has closed hundreds of retail locations in recent years, it remains the largest drugstore chain in the country. The reorganization would mark the end of an era for the organization, which expanded from a single store in Lowell, Massachusetts, into one of the largest companies in the US by revenue.
Previous exploration of corporate restructuring
The current discussions follow earlier reports from 2024 suggesting the company had explored various options, including a potential breakup, as it managed challenges across its different business segments. CVS Health, which is scheduled to report quarterly results on Wednesday, did not immediately respond to requests for comment from Reuters or other media outlets. A representative for CVS also did not immediately respond to a request for comment following the Financial Times report.