CVS Health announced on March 30, 2026 that it will open 60 new retail locations in 2026, a reversal of the company’s four‑year contraction that saw it close roughly 1,100 stores while opening 200. The expansion includes nearly 20 small pharmacy‑only sites designed to serve underserved neighborhoods, as well as traditional full‑service stores and locations inside Target stores.
The new pharmacy‑only sites are smaller, focused‑pharmacy concepts that prioritize prescription fulfillment and pharmacist consultations. They are intended to bring essential pharmacy services to communities that have limited access to retail pharmacies, while the full‑service and Target‑based stores continue to offer a broader range of health‑and‑wellness products and services.
CVS also plans to close a few dozen existing stores, a move that reflects a strategic shift toward a more focused, high‑traffic footprint. The company’s decision to close a limited number of locations is driven by lease expirations, underperformance, and the desire to concentrate resources on high‑potential sites.
Over the past four years, CVS closed about 1,100 stores and opened 200, a net loss of 900 locations. The company’s recent earnings reports show that it has the financial capacity to fund the expansion: Q1 2025 results reported revenue of $94.6 billion and adjusted EPS of $2.25, prompting a raise in full‑year 2025 EPS guidance to $6.00‑$6.20. Q4 2025 results showed revenue of $105.7 billion and adjusted EPS of $1.09, with 2026 EPS guidance reaffirmed at $7.00‑$7.20 and a downward revision of cash‑flow guidance to at least $9.0 billion from $10.0 billion.
The expansion aligns with CVS’s broader strategy to become a more integrated health‑care provider. By focusing on smaller, pharmacy‑only sites, the company can deliver higher‑value services such as medication therapy management and chronic‑care support while reducing reliance on general merchandise sales. The move also supports the company’s cost‑based reimbursement model, CostVantage, which aims to improve transparency and stability in the pharmacy market.
Management has emphasized the importance of serving underserved communities. CEO David Joyner stated that “as we aim to be the most trusted health‑care company in America, we are driving greater care, value, and service from our integrated, industry‑leading businesses.” The expansion also comes as the company prepares for the retirement of CEO Richard Fairman and the search for a successor, underscoring a period of leadership transition.
Investors have noted that the expansion is supported by strong earnings performance, but they are also attentive to guidance changes. The company’s reaffirmation of 2026 EPS guidance and the revision of cash‑flow guidance are key factors shaping market expectations for the company’s future financial trajectory.
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