Current Ratios

Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 1.44 1.75 0.82 1.34
2013 1.64 1.71 0.64 1.33
2014 1.37 1.71 0.62 1.23
2015 1.31 1.7 0.7 1.24
2016 1.18 1.52 0.75 1.15
Quick Ratios
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 0.57 0.45 0.63 0.55
2013 0.84 0.41 0.45 0.57
2014 0.64 0.43 0.46 0.51
2015 0.62 0.44 0.58 0.55
2016 0.6 0.57 0.62 0.60

Inventory Turnover Ratio

Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 9.67 6.14 84.99 33.60
2013 9.45 5.74 54.33 23.17
2014 9.92 5.92 46.66 20.83
2015 9.78 6.45 45.14 20.46
2016 10.34 8.21 46.04 21.53

DSO
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 18.56 13.83 14.38 15.59
2013 21.89 13.96 16.66 17.50
2014 24.12 13.43 18.09 18.55
2015 25.69 13.28 22.78 20.58
2016 24.73 15.33 25.08 21.71

Fixed Asset Turnover Ratio

Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 14.4 13.25 91.55 39.73
2013 14.7 13.37 63.22 30.43
2014 15.96 13.25 62.22 30.48
2015 16.4 13.10 70.78 33.43
2016 17.72 14.16 78.20 36.69
Total Assets Turnover Ratio
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 1.89 3.50 2.55 2.65
2013 1.84 3.52 1.86 2.41
2014 1.91 3.64 1.88 2.48
2015 1.83 3.36 1.9 2.36
2016 1.89 3.05 1.91 2.28
Debt Ratio
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 0.36 1.35 0.6 0.77
2013 0.40 1.35 0.59 0.78
2014 0.43 1.31 0.63 0.79
2015 0.54 0.99 0.67 0.73
2016 0.57 0.95 0.69 0.74

TIE Ratio
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 12.98 0.31 4.58 5.96
2013 15.79 1.25 6.41 7.82
2014 14.67 1.7 6.49 7.62
2015 11.28 2.11 9.13 7.51
2016 9.77 1.7 7.7 6.39

PM on Sale %
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 3.15 -1.41 1.42 1.05
2013 3.62 0.47 1.8 1.96
2014 3.33 0.98 2.02 2.11
2015 3.42 7.95 2.47 4.61
2016 3 0.54 3.42 2.32

BEP %
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 9.6 -0.53 3.77 4.28
2013 10.52 0.11 5.66 5.43
2014 10.34 3.6 5.76 6.57
2015 9.21 4.82 7.26 7.10
2016 9.14 2.47 8.56 6.72

ROA %
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 5.93 -4.86 3.55 1.54
2013 6.68 1.64 3.3 3.87
2014 6.37 3.57 3.74 4.56
2015 6.24 26.76 4.63 12.54
2016 5.64 1.65 6.47 4.59

ROE %
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 10.21 15.36 10.13 11.9
2013 12.14 -4.68 8.16 5.21
 2014 12.24 -10.91 9.58 3.64
2015 13.94 -205.11 13.23 -59.31
2016 14.33 51.97 20.2 28.83

P/E Ratio
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 16.01 -3.23 29.51 14.10
2013 19.14 13.67 31.08 21.30
2014 24.32 31.38 31.95 29.22
2015 21.07 3.84 24.42 16.44
2016 16.07 49.69 12.76 26.17

Price/cash flow
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 9.28 5.57 8.44 7.76
2013 15.16 1.87 12.13 9.72
2014 13.84 9.14 14.14 12.37
2015 13.09 12.47 12.54 12.70
2016 8.46 8.29 8.83 8.53

M/B
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 1.58 -0.54 1.89 0.98
2013 2.23 -0.58 2.49 1.38
2014 2.89 -3.05 3.07 0.97
2015 2.89 133 3.41 46.43
2016 2.27 14.21 2.57 6.35

BVPS
Years CVS Health Corp. Rite Aid Corp. Express ScriptIndustry Avg.
2012 30.63 -2.88 28.58 18.78
2013 32.15 -2.72 28.23 19.22
2014 33.3 -2.18 27.62 19.58
2015 33.78 0.06 25.67 19.84
2016 34.71 0.55 26.81 20.69

Du Pont Analysis CVS

Years PM X TAT X EM
2012 3.15% X 1.87 X 1.75
2013 3.62% X 1.77 X 1.89
2014 3.33% X 1.88 X 1.96
2015 3.42% X 1.64 X 2.52
2016 3.00% X 1.88 X 2.56
Du Pont Analysis RAD
Years PM X TAT X EM
2012 -1.41% X 3.55 X -2.85
2013 0.47% X 3.59 X -2.88
2014 0.98% X 3.68 X -3.29
2015 7.95% X 2.99 X 15.13
2016 0.54% X 2.73 X 19.40

Du Pont Analysis ESRX

Years PM X TAT X EM
2012 1.42% X 1.62 X 2.48
2013 1.80% X 1.94 X 2.45
2014 2.02% X 1.88 X 2.68
2015 2.46% X 1.91 X 3.06
2016 3.42% X 1.94 X 3.19

Ratio Forecasting 2016 2017 Ind. Avg. 2016

Current Ratio 1.18 0.42 1.15
Quick Ratio 0.6 0.22 0.6
Inventory TO Ratio 10.34 12.03 21.53
DSO 24.73 25.01 21.71
Fixed Asset TO Ratio 17.72 17.44 36.39
TA TO Ratio 1.89 2.8 2.28
Debt Ratio 0.57 0.44 0.74
TIE Ratio 9.77 46.48 6.39
Profit Margin % 3 23.23 2.32
BEP % 0.1 0.70 0.09
ROA % 5.64 6.5 4.59
ROE % 14.33 13.43 28.83
= ROE
= 10.28%
= 12.10%
= 12.23%
= 14.08%
= 14.44%
= ROE
= 14.25%
= -4.80%
= -11.80%
= 360.04%
= 28.46%

= ROE
= 5.69%
= 8.57%
= 10.14%
= 14.38%
= 21.10%
 CVS Health Corporation
Pro Forma Income Statement
12/31/2016 Pro Forma 2017 With AFN
Sales 177,526,000.00 109.67% 194,692,764.20 194,692,764.20
Cost of Goods 148,669,000.00 83.74% 124,502,729.52 124,502,729.52
Gross Profit 28,857,000.00 70,190,034.68 70,190,034.68
S&A & Depr.&Amort. Exp. 18,519,000.00 10.43% 20,309,787.30 20,309,787.30
Income after Operating Exp. 10,338,000.00 49,880,247.38 49,880,247.38
Non-Opertating Income 20,000.00 0.01% 25,115.37 25,115.37
Other Gains or Losses 643,000.00 - -
Interest Exp. 1,078,000.00 0.61% 1,051,241.86 1,051,241.86
Pretax Income 8,637,000.00 48,854,120.88 48,854,120.88
Income tax 3,317,000.00 1.87% 3,637,753.90 3,637,753.90
Minority Interest - 0.00% 0 -
Investment Gains/Losses - 0.00% 0 -
Other Income/changes - 0.00% 0 -
Income from cont. operations 5,320,000.00 45,216,366.98 45,216,366.98
Extras and Discontinued Operation 1,000.00 0 -
Net Income 5,319,000.00 45,216,366.98 45,216,366.98
27.90% Dividends=(1+g)*2017 Dividend $2.17 $2.17
NI- All Dividends 45,216,364.81 45,216,364.81

Cash Dividends 1,840,000.00 76,867,823.87

Dividend Payout Ratio 1.7 1.7
Retention Ratio (1-payout) -0.7 -0.7
Additional to Retained Earning (3,723,300.00) (31,651,456.89)
Begining Retained Earning 38,983,000.00 35,259,700.00
Ending Retained Earning 35,259,700.00 3,608,243.11

Sales Growth Rate

9.67% 0.1581 0.0999 0.0994 0.0295
109.67%

long term 2016

Int. Expense 0.04 1051241.8624 25615000

long debt 2015 26267000

Dividend Growth Rate 27.90%

 CVS Health Corporation
Balance Sheet

2016 sales Percentage of Sales Pro Forma Sales

Sales $177,526,000.00 $194,697,202.35
12/31/2016 Pro-Forma 2017 Pro-Forma with AFN
Assets
Cash and Equivalents 3,371,000.00 1.90% 3,697,059.98 3,697,059.98
Receivable 12,164,000.00 6.85% 13,340,562.90 13,340,562.90
Notes Receivable 87,000.00 0.05% 95,415.08 95,415.08
Inventories 14,760,000.00 8.31% 16,187,661.00 16,187,661.00
Other Current Assets 660,000.00 0.37% 723,838.50 723,838.50
Total Curent Assets 31,042,000.00 34,044,537.45 34,044,537.45
Net Property and Equipment 10,175,000.00 5.73% 11,159,176.88 11,159,176.88
Investment and Advances - 0.00% - -
Other Non-Current Assets - 0.00% - -
Goodwill 38,249,000.00 21.55% 41,948,634.53 41,948,634.53
Intangibles 13,511,000.00 7.61% 14,817,851.48 14,817,851.48
Deposits and other Assets 1,485,000.00 0.84% 1,628,636.63 1,628,636.63
Total Assets 94,462,000.00 69,554,299.50 69,554,299.50
Short Term Debt 1,874,000.00 0 - -
Current Portion Long -Term Debt 42,000.00 carried over 42,000.00 42,000.00
Notes Payable - 0.00% - -
Accounts Payable 7,946,000.00 4.48% 8,714,576.85 8,714,576.85
Discount Payable 9,451,000.00 5.32% 10,365,147.98 10,365,147.98
New LOC if AFN> 0 - 0.00% - 53,376,000.00
Accured Expenses 6,937,000.00 3.91% 7,607,981.33 7,607,981.33
Total Curent Liabiliites 26,250,000.00 26,729,706.15 80,105,706.15
Other Liabilities 0.00% - -
Covertiable Debt 4,214,000.00 2.37% 4,621,599.15 4,621,599.15
Other Non-Current liabilites 42,000.00 carried over 26,267,000.00 26,267,000.00
Other Non-Current liabilites carried over 0 -
Minority Interest (lib) 0.00% - -
Total Liabilities 4,256,000.00 30,888,599.15 30,888,599.15
Preferred stock - carried over 0 -
Common Stock 17,000.00 carried over 17,000.00 17,000.00
Capital Surplus 31,618,000.00 carried over 31,618,000.00 31,618,000.00
Retained Earning 38,983,000.00 (3,165,418.19) 35,817,581.81 35,817,581.81
Other Equity (336,000.00) carried over (336,000.00) (336,000.00)
Treasury Stock (33,452,000.00) carried over (33,452,000.00) (33,452,000.00)
Total Shareholders equity 36,830,000.00 33,664,581.81 33,664,581.81
Total Liabilites and Stockhoilders Equity 67,336,000.00 $91,282,887.11 $144,658,887.11
AFN=Total Assets-(Total Liabilities+ Total Equity) $53,376,000.00 $0.00