CVS Health has appointed longtime executive David Joyner as CEO, succeeding Karen Lynch. The leadership change comes as CVS struggles with falling stock prices and rising medical costs. CVS shares dropped nearly 20% this year and fell 11% in premarket trading. The company has also lowered its full-year profit guidance and plans to cut $2 billion in costs over the next several years. Joyner, who previously led CVS' Caremark pharmacy benefits business, brings extensive experience to the role. CVS faces increased scrutiny of Caremark's practices from regulators and lawmakers, as well as challenges related to Medicare Advantage costs.
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00:00It's Benzinga, bringing Wall Street to Main Street.
00:02CVS Health has appointed longtime executive David Joyner as CEO, succeeding Karen Lynch.
00:07The leadership change comes as CVS struggles with falling stock prices and rising medical costs.
00:13CVS shares dropped nearly 20% this year and fell 11% in pre-market trading. The company has also
00:19lowered its full-year profit guidance and plans to cut $2 billion in costs over the next several
00:24years. Joyner, who previously led CVS' Caremark Pharmacy Benefits business,
00:29brings extensive experience to the role. CVS faces increased scrutiny of Caremark's practices
00:34from regulators and lawmakers, as well as challenges related to Medicare Advantage costs.
00:39For all things money, visit Benzinga.com.