Cardinal Health, Inc. (NYSE:CAH) Announces Quarterly Dividend of $0.52

Key Points

• Cardinal Health declared a quarterly dividend of $0.5158 per share — a 1.0% increase from the prior $0.51 — payable July 15 to holders of record on July 1, implying a yield of about 1.1%.
• The dividend appears well covered: the company has a current payout ratio of 22.5%, has increased its dividend for 29 consecutive years, and analysts’ EPS forecasts imply an expected future payout ratio near 17.3%.
• Cardinal beat quarterly EPS estimates with $3.17 (vs. $2.79 est.) while revenue of $60.94B slightly missed expectations; shares were down about 4.1%, and management set FY26 guidance of EPS $10.70–10.80.

Cardinal Health, Inc. (NYSE:CAH - Get Free Report) declared a quarterly dividend on Tuesday, May 5th. Stockholders of record on Wednesday, July 1st will be paid a dividend of 0.5158 per share on Wednesday, July 15th. This represents a c) annualized dividend and a dividend yield of 1.1%. The ex-dividend date is Wednesday, July 1st. This is a 1.0% increase from Cardinal Health's previous quarterly dividend of $0.51.

Cardinal Health has raised its dividend by an average of 0.0%annually over the last three years and has increased its dividend every year for the last 29 years. Cardinal Health has a payout ratio of 22.5% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Cardinal Health to earn $11.77 per share next year, which means the company should continue to be able to cover its $2.04 annual dividend with an expected future payout ratio of 17.3%.

Cardinal Health Stock Down 4.1%

Shares of NYSE CAH opened at $188.84 on Wednesday. The firm's fifty day moving average is $213.19 and its 200 day moving average is $206.47. Cardinal Health has a 52 week low of $137.75 and a 52 week high of $233.60. The company has a market cap of $44.23 billion, a price-to-earnings ratio of 29.02, a PEG ratio of 1.17 and a beta of 0.53.

Cardinal Health (NYSE:CAH - Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The company reported $3.17 earnings per share for the quarter, beating the consensus estimate of $2.79 by $0.38. The business had revenue of $60.94 billion during the quarter, compared to analysts' expectations of $62.10 billion. Cardinal Health had a net margin of 0.62% and a negative return on equity of 92.61%. The firm's revenue for the quarter was up 11.0% compared to the same quarter last year. During the same quarter in the prior year, the company posted $2.35 EPS. Cardinal Health has set its FY 2026 guidance at 10.700-10.80 EPS. Equities research analysts anticipate that Cardinal Health will post 10.76 earnings per share for the current year.

Hedge Funds Weigh In On Cardinal Health

A number of institutional investors have recently bought and sold shares of the stock. Norges Bank purchased a new position in shares of Cardinal Health during the 4th quarter worth approximately $790,344,000. Wellington Management Group LLP raised its position in shares of Cardinal Health by 153.2% in the 3rd quarter. Wellington Management Group LLP now owns 5,804,090 shares of the company's stock worth $911,010,000 after acquiring an additional 3,511,579 shares in the last quarter. Holocene Advisors LP lifted its stake in shares of Cardinal Health by 141.4% in the 3rd quarter. Holocene Advisors LP now owns 1,926,170 shares of the company's stock valued at $302,332,000 after purchasing an additional 1,128,358 shares during the period. Marshall Wace LLP boosted its position in shares of Cardinal Health by 1,328.1% during the fourth quarter. Marshall Wace LLP now owns 951,259 shares of the company's stock valued at $195,484,000 after purchasing an additional 884,648 shares in the last quarter. Finally, Barclays PLC boosted its position in shares of Cardinal Health by 109.3% during the third quarter. Barclays PLC now owns 1,584,214 shares of the company's stock valued at $248,658,000 after purchasing an additional 827,446 shares in the last quarter. 87.17% of the stock is owned by institutional investors.

About Cardinal Health

Cardinal Health is a multinational healthcare services and products company headquartered in Dublin, Ohio. Tracing its roots to the early 1970s, the company has grown into a major provider of supply chain and distribution services for the healthcare sector. Cardinal Health operates across a range of service lines that support hospitals, health systems, pharmacies, physician offices and clinical laboratories.

The company's core activities include the wholesale distribution of branded and generic pharmaceuticals, the supply and distribution of medical-surgical products, and the provision of logistics and inventory management solutions.

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