Cardinal Health, Inc. (NYSE:CAH) Given Average Rating of "Moderate Buy" by Analysts

Key Points

• Analysts maintain a “Moderate Buy” consensus on Cardinal Health, with 16 buy ratings and three holds among 19 analysts. The average 12-month price target is $266.56, above the reported share price of $234.73.
• Cardinal Health reported quarterly EPS of $2.91, beating the $2.42 consensus estimate, while revenue rose 5.8% year over year to $63.67 billion but fell short of expectations.
• The company declared a quarterly dividend of $0.5158, equivalent to an annualized $2.06 payout and a 0.9% yield; institutional investors own 87.17% of the stock.

Shares of Cardinal Health, Inc. (NYSE:CAH - Get Free Report) have been given an average recommendation of "Moderate Buy" by the nineteen ratings firms that are currently covering the company, MarketBeat.com reports. Three research analysts have rated the stock with a hold recommendation and sixteen have given a buy recommendation to the company. The average 12 month price target among brokerages that have issued ratings on the stock in the last year is $266.5625.

A number of research analysts have recently issued reports on CAH shares. JPMorgan Chase & Co. lifted their target price on shares of Cardinal Health from $215.00 to $260.00 and gave the company a "neutral" rating in a research note on Thursday, August 13th. Leerink Partners set a $292.00 price target on Cardinal Health in a research report on Tuesday, August 11th. Zacks Research cut Cardinal Health from a "strong-buy" rating to a "hold" rating in a report on Friday, June 12th. Weiss Ratings upgraded Cardinal Health from a "buy (b)" rating to a "buy (b+)" rating in a research report on Wednesday, August 5th. Finally, Wells Fargo & Company boosted their price objective on Cardinal Health from $245.00 to $277.00 and gave the stock an "overweight" rating in a research note on Wednesday, August 12th.

Cardinal Health Stock Performance

CAH opened at $234.73 on Thursday. The firm has a market cap of $54.59 billion, a price-to-earnings ratio of 32.47, a PEG ratio of 1.26 and a beta of 0.49. The firm's 50-day simple moving average is $231.76 and its 200-day simple moving average is $217.68. Cardinal Health has a twelve month low of $145.87 and a twelve month high of $258.30.

Cardinal Health (NYSE:CAH - Get Free Report) last announced its quarterly earnings results on Tuesday, August 11th. The company reported $2.91 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.42 by $0.49. The firm had revenue of $63.67 billion during the quarter, compared to the consensus estimate of $65.15 billion. Cardinal Health had a net margin of 0.67% and a negative return on equity of 98.53%. The firm's quarterly revenue was up 5.8% on a year-over-year basis. During the same period last year, the firm posted $2.08 EPS. Cardinal Health has set its FY 2027 guidance at 12.400-12.600 EPS. As a group, sell-side analysts anticipate that Cardinal Health will post 12.54 EPS for the current fiscal year.

Cardinal Health Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 15th. Investors of record on Thursday, October 1st will be issued a $0.5158 dividend. This represents a $2.06 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date of this dividend is Thursday, October 1st. Cardinal Health's payout ratio is currently 28.49%.

Institutional Investors Weigh In On Cardinal Health

Hedge funds have recently added to or reduced their stakes in the stock. Integrated Wealth Concepts LLC grew its stake in shares of Cardinal Health by 6.9% during the first quarter. Integrated Wealth Concepts LLC now owns 4,363 shares of the company's stock valued at $601,000 after purchasing an additional 280 shares during the last quarter. Jones Financial Companies Lllp raised its position in Cardinal Health by 198.3% in the 1st quarter. Jones Financial Companies Lllp now owns 21,112 shares of the company's stock worth $27,000 after purchasing an additional 14,034 shares during the last quarter. Arrowstreet Capital Limited Partnership acquired a new position in Cardinal Health during the 2nd quarter worth $1,935,000. Cerity Partners LLC lifted its holdings in Cardinal Health by 17.0% during the 2nd quarter. Cerity Partners LLC now owns 40,426 shares of the company's stock worth $6,792,000 after buying an additional 5,880 shares in the last quarter. Finally, Nebula Research & Development LLC boosted its position in Cardinal Health by 34.4% in the 2nd quarter. Nebula Research & Development LLC now owns 10,334 shares of the company's stock valued at $1,736,000 after buying an additional 2,646 shares during the last quarter. Institutional investors own 87.17% of the company's stock.

Cardinal Health Company Profile

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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