CVS Health

• Increased competition from e-commerce and discount stores: In recent years, traditional drugstores such as CVS Health Corporation have been facing increased competition from the growing popularity of e-commerce sites such as Amazon and discount stores such as Wal-Mart and Target.

• Regulatory and Governmental Risks: As a company in the healthcare industry, CVS Health Corporation is subject to many health care laws and regulations including Medicare, Medicaid and the Affordable Care Act. Changes to or conflict over these laws and regulations could negatively affect the company’s bottom line.

• Reimbursement Risk: Changes to the way that prescription drugs are reimbursed can also significantly impact the revenue and profits of CVS Health Corporation.

• Drug Safety and Prescription Error Risk: CVS Health Corporation is also subject to risks related to the safety and accuracy of its prescription drugs. If mistakes or errors in prescriptions are made, the company can face severe legal and financial ramifications, which could lead to costly lawsuits and reputational damage.

• Cybersecurity Risk: With the increased use of electronic medical records and other high-tech systems, CVS Health Corporation also faces a substantial risk from cyber attacks and data breaches. A breach or attack could lead to significant loss of customer data and financial losses.