During the premarket session on Wednesday, CVS Health Corp (CVS  ) stock fell after the company reported mixed second-quarter earnings and cut annual profit guidance. The stock has been volatile since.

The company reported second-quarter sales of $91.23 billion, missing the consensus of $91.51 billion.

Total revenues increased 2.6%, primarily driven by growth in the Health Care Benefits and Pharmacy & Consumer Wellness segments, partially offset by a decline in the Health Services segment.

Adjusted EPS of $1.83 decreased from $2.21 in the prior year, beating the consensus of $1.73. The fall is primarily due to a decline in the Health Care Benefits segment's operating results, which reflect continued utilization pressure and the unfavorable impact of the company's Medicare Advantage star ratings for the 2024 payment year within the Medicare product line.

Adjusted operating income decreased 16.4% to $3.74 billion.

Revenues in the Health Care Benefits segment increased 21.4% to $32.48 billion. The Medical benefit ratio increased to 89.6% from 86.2% a year ago. Medical membership reached 27 million.

Health Services segment revenues decreased 8.8% to $42.17 billion. Pharmacy claims processed decreased 18.3%.

Based on the current performance and outlook for the Health Care Benefits segment, the company has decided to make leadership changes effective immediately.

Brian Kane is leaving the company, and Karen Lynch, CEO, will assume direct leadership of the Health Care Benefits segment.

Karen and Tom Cowhey, CVS Health's CFO, will oversee this business's day-to-day management.

Guidance: CVS Health revised its adjusted EPS guidance to $6.40-$6.65 from at least $7.00 versus consensus of $6.98.

CVS Health also revised its full-year 2024 cash flow from operations guidance to approximately $9.0 billion from at least $10.5 billion.

The guidance revision reflects continued pressure in the Health Care Benefits segment.

CVS Health forecasts 2024 sales of $369.0 billion-$372.0 billion versus a consensus of $368.876 billion at prior guidance of at least $369 billion.

The company expects adjusted operating income of $13.75 billion-$14.15 billion, compared to the prior guidance of at least $14.75 billion.

The company expects a medical benefits ratio of 90.6% - 90.8% versus ~89.8% expected earlier.

Price Action: CVS stock is up 1.22% at $59.05 during the premarket session at the last check on Wednesday.