CVS Health Appoints Shawn Guertin as New Finance Chief

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CVS Health has announced the appointment of former Aetna Chief Financial Officer Shawn Guertin as its new finance chief. This strategic hiring marks the latest addition of a former Aetna executive since Karen Lynch was named chief executive. The company’s shares saw a 5% increase following the announcement.

CVS, renowned for its extensive national chain of retail drugstores, reiterated its 2021 adjusted earnings per share forecast range of $7.56 to $7.68. Guertin’s appointment is seen as a positive move, given his significant role in CVS’s $69 billion acquisition of Aetna in 2018. The acquisition aimed to address rising healthcare costs by integrating lower-cost medical services within pharmacies.

“Guertin is no stranger to CVS. He was lined up to become CFO of the company following the Aetna deal in 2018,” said Baird analyst Eric Coldwell in a client note. Guertin, who served Aetna for eight years, initially left CVS in 2019 for personal and family reasons.

Guertin will officially assume his new role on May 28, succeeding Eva Boratto, who is departing the company after an 11-year tenure. This move represents the second high-level appointment of a former Aetna executive at CVS. In February, CVS named former Aetna President Karen Lynch as its CEO, succeeding long-time chief Larry Merlo.

“His (Guertin’s) appointment marks further migration of CVS’s senior leadership toward the MCO (managed care organization) side,” commented RBC Capital Markets analyst Anton Hie.

CVS is heavily relying on its Aetna health insurance and pharmacy benefits management units to drive growth in 2021. The company expects these units to be key growth drivers as its retail segment recovers from the impacts of pandemic-related restrictions.