Please ensure Javascript is enabled for purposes of website accessibility

CVS Caremark Corporation Quits Tobacco Cold Turkey

By Dave Williamson and Max Macaluso – Feb 8, 2014 at 7:00AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

CVS is discontinuing cigarette sales in all its stores later this year. A laudable move, or one that will lose the company billions?

In the headlines segment of Market Checkup, The Motley Fool's health-care investing show analysts David Williamson and Max Macaluso look at the big news from CVS Caremark Corporation.

CVS announced that it will no longer sell cigarretes, or tobacco products of any kind, in its retail stores. Of course, like many smokers quitting cold turkey, it set its date far out in the future, specifically Oct. 1.

In this video, David and Max discuss the impact to CVS's financials and how it could benefit its competitors, and they take the view that CVS is smartly shaving short-term profits for long-term gains.

David Williamson and Max Macaluso, Ph.D., and The Motley Fool have no position in any of the stocks mentioned. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

CVS Health Stock Quote
CVS Health
CVS
$100.88 (0.47%) $0.47
Altria Group Stock Quote
Altria Group
MO
$45.82 (1.48%) $0.67
Walgreens Boots Alliance Stock Quote
Walgreens Boots Alliance
WBA
$41.08 (0.66%) $0.27
Rite Aid Stock Quote
Rite Aid
RAD
$5.16 (-1.34%) $0.07

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
351%
 
S&P 500 Returns
115%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 11/30/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.