(Bloomberg) -- Some CVS Health Corp. pharmacies are selling out of at-home Covid tests as a summer surge in infections drives up demand.
As of Friday afternoon, CVS’s website showed that all brands of tests were out of stock at many locations in cities including Houston, Austin and Reno, Nevada.
The company said that 91% of its stores have at least one brand of test in stock. While the company “has seen an uptick in purchases” of the tests, it’s “quickly sending product to impacted stores,” a spokesperson said in an email.
Covid levels across the country are currently “high,” according to the Centers for Disease Control and Prevention, which measures the viral load in wastewater data to evaluate the virus’ prevalence. The preliminary data shows that levels of Covid viral activity have surpassed last summer’s peak in the US South, West and Midwest.
Websites of Walgreens Boots Alliance locations showed robust supplies of the tests, and the company said it’s well stocked. Walgreens and multiple independent pharmacies in New York City reported that demand for at-home Covid tests has increased sharply in recent months. Purchases are at the highest since the holiday season, according to Walgreens spokesperson Molly Sheehan.
Before this summer, demand for the tests had been fading. Abbott Laboratories, which makes Binax Covid tests, reported that sales of the tests slumped 61% in the second quarter to $102 million from $263 million a year earlier. Medicare coverage of at-home tests expired when the public health emergency ended in May 2023, contributing to the trend, said Amy Kelbick, health policy director at McDermott+, a consulting firm.
She said the sudden swings in demand make it challenging for retailers to keep stocks at the right levels. “It’s really hard to turn things back on,” Kelbick said, adding that test makers may have let go of rented manufacturing space or repurposed factory lines amid waning demand.
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