CVS Health study reveals a need for greater digital health literacy for Medicare members

Rhea-AI Summary

CVS Health (NYSE: CVS) released a white paper, “Navigating the Digital Health Literacy Gap,” highlighting challenges Medicare-eligible older Americans face with digital health tools.

Key findings: 58% say low digital literacy harms health management, 85% struggle with platform navigation, yet 86% are open to using digital tools and 71% want more engagement.

CVS Health is responding through a $20 billion technology investment, with initiatives like intuitive pharmacy self-service, personalized digital Care Paths, and Oak Street Health community classes to improve usability, access, and support for this growing, clinically complex population.

News Market Reaction – CVS

+0.10%

+0.10% Session close to close

In the May 18 session, CVS gained 0.10%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement highlights a sizable digital literacy gap for older Americans—58% see low literacy...

Analysis

This announcement highlights a sizable digital literacy gap for older Americans—58% see low literacy hurting health management and 85% struggle with navigation—while 86% remain open to digital tools and 71% are eager to engage more. It fits CVS’s broader push, including a $20 billion technology investment and prior care-access initiatives. Key considerations include usability of tools for Medicare members with more than three conditions on average and how effectively CVS converts this willingness into sustained platform engagement.

Key Figures

Technology investment: $20 billion Negative impact share: 58% Navigation barrier: 85% +5 more

8 metrics

Technology investment $20 billion Long-term CVS technology investment announced in 2025

Negative impact share 58% Respondents saying low digital literacy hurts health management

Navigation barrier 85% Older Americans reporting challenges using digital health platforms

Openness to tools 86% Older Americans open to engaging with digital health tools

Eager to engage 71% Respondents eager to engage more with digital health tools

Average conditions More than three Average number of health conditions reported by Medicare respondents

Older population threshold 65 years and older Age of all baby boomers by 2030 in cited Census data

Population share One in five Americans Share of population age 65+ by 2030 per Census reference

Historical Context

5 past events · Latest: May 14 (Positive)

Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
May 14	Education partnership	Positive	-1.0%	Launch of online pre‑pharmacy degree program with WGU for CVS colleagues.
May 13	Business divestiture	Neutral	-1.0%	Court approval for Omnicare sale to GenieRx pending regulatory clearance.
May 13	Service outcomes update	Positive	+3.1%	MinuteClinic reported favorable weight‑loss and access metrics across its program.
May 06	Earnings and guidance	Positive	+7.7%	Strong Q1 2026 results with raised EPS and cash flow guidance.
May 05	Formulary update	Positive	-1.6%	CVS Caremark moved to prefer biosimilars on key commercial formularies.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Recent strong fundamentals and strategic initiatives often saw positive reactions, but there are a few instances where constructive news coincided with modest declines, indicating occasional sell-the-news behavior.

Recent Company History

Over recent months, CVS reported Q1 2026 revenue of $100.4 billion, GAAP EPS of $2.30, raised full‑year 2026 EPS and cash flow guidance, and the stock rose 7.65% on that earnings release. Other initiatives included biosimilar formulary changes, a MinuteClinic weight‑loss program, an Omnicare divestiture, and an online pre‑pharmacy degree program, with mixed single‑day price reactions. Today’s digital health literacy white paper aligns with this broader strategy of technology investment and care access expansion.

Key Terms

digital health literacy, medicare, ai, ethnographic studies

4 terms

digital health literacy technical

"Majority of respondents believe that low digital literacy is having a negative impact..."

The ability of patients, caregivers and clinicians to find, understand, evaluate and use health information and digital tools such as apps, telemedicine and wearable data. It matters to investors because higher digital health literacy increases user adoption, engagement and trust—like people learning to use a GPS makes travel services more valuable—while low literacy can limit market size, slow growth and raise product and regulatory risks.

medicare regulatory

"The white paper is based on comprehensive research by CVS Health including... of Medicare-eligible consumers..."

Medicare is a large government-run health insurance program that primarily covers people aged 65 and older and certain younger people with disabilities. For investors it matters because Medicare acts like a huge customer and rule-maker for hospitals, drugmakers and medical-device companies—its coverage decisions, payment rates and regulatory policies can change demand, revenue and profit margins across the healthcare sector, similar to how a major client or regulator can shape a business’s prospects.

ai technical

"These findings come at a crucial time as health care undergoes a profound transformation fueled by AI..."

Artificial intelligence (AI) is technology that enables machines to mimic human thinking and learning, allowing them to analyze information, recognize patterns, and make decisions. For investors, AI matters because it can improve how businesses operate, create new products, or identify opportunities faster and more accurately than humans alone, potentially impacting company success and market trends.

ethnographic studies technical

"including surveys, interviews, and ethnographic studies of Medicare-eligible consumers..."

Ethnographic studies are research methods where observers spend time with real users, customers, or employees to watch how they behave, make decisions, and use products in everyday settings—think of it as shadowing people to learn what they actually do versus what they say. For investors, these studies reveal authentic customer needs, adoption barriers, and market trends that numbers alone can miss, helping assess demand, product fit, and execution risk.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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• Majority of respondents believe that low digital literacy is having a negative impact on their ability to manage their health 
• CVS Health continues to launch innovative digital offerings to help members access care, as part of its $20 billion technology investment, announced in 2025

WOONSOCKET, R.I., May 18, 2026 /PRNewswire/ -- CVS Health® (NYSE: CVS), today released "Navigating the Digital Health Literacy Gap," a research-based white paper revealing a significant gap between older Americans' current ability to navigate digital health tools and their interest and openness to learning more. These findings come at a crucial time as health care undergoes a profound transformation fueled by AI just as all baby boomers will be age 65 and older and are set to comprise one in five Americans by 2030*.

Key findings of the survey include: 

• 58% state that low digital health literacy is negatively impacting their health management.
• Across four key areas – navigation, knowledge, access, and trust – navigation emerged as the most significant barrier, with 85% of respondents reporting challenges understanding how to use digital health platforms effectively.
• Yet, despite this challenge, 86% of older Americans are open to engaging with digital health tools.
• And 71% of respondents reported an eagerness to engage more with digital health care tools.

"We're caring for the fastest growing and most clinically complex population in the country, and what we found in the research challenges a common assumption—older adults actually are more open to engaging with technology than many think," said Dr. Benjamin Kornitzer, Senior Vice President and Chief Medical Officer of Aetna. "It creates a real opportunity to meet them where they are and provide day to day support, whether it's managing medications, following up after a visit, or staying on track with chronic conditions. Technology and engagement can help them live healthier, more independent lives."

A growing population with complex needs

The need for accessible digital health solutions is becoming increasingly urgent. In addition to becoming one of the largest demographics by 2030, CVS Health's research found that Medicare respondents report an average of more than three health conditions, highlighting the importance of tools that support ongoing care management. At the same time, digital engagement helps improve access to care – from scheduling appointments to managing prescriptions and navigating benefits. 

The opportunity: designing for older Americans

The research makes clear that the issue is not willingness, but usability. Older Americans are ready to adopt digital health tools when they are designed with their needs in mind and paired with the right level of support. 

• More intuitive self-service: We're enabling CVS Pharmacy customers to initiate self-check-in, schedule appointments, see pharmacy rewards, and provide additional information via intuitive prompts to help expedite prescription pickup and pharmacy care.
• Personalized digital care tools: CVS Health launched Care Paths to provide more personalized, timely guidance within digital channels. These capabilities help members better understand care options and next steps, supporting a more intuitive experience.
• Community-based support: Oak Street Health offers classes on "Smartphone Basics" in their community rooms, and computer/internet access for those who may not have it at home.

The white paper is based on comprehensive research by CVS Health including surveys, interviews, and ethnographic studies of Medicare-eligible consumers across the United States. To learn more: Navigating the Digital Health Literacy Gap. 

*According the U.S. Census Bureau

About CVS Health
CVS Health is a leading health solutions company simplifying health care one person, one family and one community at a time. As of March 31, 2026, the Company had approximately 9,000 retail pharmacy locations, more than 1,000 walk-in and primary care medical clinics and a leading pharmacy benefits manager with approximately 88 million plan members. The Company also serves an estimated more than 37 million people through a broad range of health insurance products and related services. The Company's integrated model uses personalized, technology driven services to connect people to simply better health, increasing access to quality care, delivering better outcomes, and lowering overall costs.

Media contact
David Whitrap
David.Whitrap@CVSHealth.com
857-523-1219

View original content to download multimedia:https://www.prnewswire.com/news-releases/cvs-health-study-reveals-a-need-for-greater-digital-health-literacy-for-medicare-members-302774017.html

SOURCE CVS Health

FAQ

What did CVS Health (NYSE: CVS) reveal in its May 18, 2026 digital health literacy study?

CVS Health reported that many Medicare-eligible older Americans struggle with digital health tools, especially navigation. According to CVS Health, 58% say low digital literacy hurts health management, while 85% experience challenges understanding how to use digital platforms effectively.

How willing are older Americans to use digital health tools according to CVS Health's 2026 study on Medicare members?

Older Americans show strong willingness to use digital health tools when designed for their needs. According to CVS Health, 86% are open to engaging with digital tools and 71% express eagerness to deepen their use of digital health care platforms.

What is the significance of CVS Health's $20 billion technology investment for Medicare members (CVS stock)?

CVS Health is investing $20 billion in technology to expand digital offerings and access. According to CVS Health, this includes intuitive pharmacy self-service, personalized Care Paths, and community-based tech education aimed at improving usability and day-to-day health management for Medicare-eligible members.

How does CVS Health’s digital literacy research relate to the growing Medicare-eligible population by 2030?

The research targets a rapidly expanding, clinically complex population of older Americans. According to CVS Health, all baby boomers will be 65+ by 2030 and Medicare respondents report an average of more than three health conditions, increasing demand for accessible digital support.

What solutions is CVS Health offering to close the digital health literacy gap for older Americans?

CVS Health is focusing on usability, guidance, and community support to close the gap. According to CVS Health, initiatives include more intuitive self-service pharmacy tools, personalized digital Care Paths, and Oak Street Health “Smartphone Basics” classes with computer and internet access.

Why is navigation the main barrier in CVS Health’s 2026 digital health literacy white paper?

Navigation emerged as the leading barrier because many older adults struggle to use digital platforms correctly. According to CVS Health, 85% of surveyed Medicare-eligible respondents report challenges understanding how to navigate digital health tools across areas like access, knowledge, and trust.