Cardinal Health (NYSE:CAH) Given New $280.00 Price Target at Citigroup

Key Points

• Citigroup raised Cardinal Health’s price target to $280 from $265 and maintained a “buy” rating, implying approximately 18% upside from the current share price.
• Cardinal Health reported fourth-quarter adjusted EPS of $2.91, well above the $2.42 consensus, while issuing fiscal 2027 EPS guidance of $12.40–$12.60 that exceeded analyst expectations.
• Revenue rose 5.8% year over year to $63.67 billion but missed estimates, and part of the earnings beat reflected a $0.31-per-share tariff refund, creating some concerns about the results’ sustainability.

Cardinal Health (NYSE:CAH - Get Free Report) had its price objective boosted by Citigroup from $265.00 to $280.00 in a note issued to investors on Wednesday,Benzinga reports. The firm currently has a "buy" rating on the stock. Citigroup's price target suggests a potential upside of 18.01% from the company's current price.

CAH has been the topic of a number of other research reports. Weiss Ratings raised shares of Cardinal Health from a "buy (b)" rating to a "buy (b+)" rating in a report on Wednesday, August 5th. Wells Fargo & Company raised 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. Morgan Stanley upped their target price on shares of Cardinal Health from $255.00 to $265.00 and gave the stock an "overweight" rating in a report on Wednesday. William Blair initiated coverage on shares of Cardinal Health in a report on Tuesday, April 28th. They set an "outperform" rating for the company. Finally, Wall Street Zen raised Cardinal Health from a "buy" rating to a "strong-buy" rating in a report on Saturday, July 4th. Fifteen analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $261.47.

Cardinal Health Stock Performance

Shares of NYSE CAH traded down $3.00 during mid-day trading on Wednesday, hitting $237.26. 798,941 shares of the stock traded hands, compared to its average volume of 2,033,412. The company has a market cap of $55.57 billion, a price-to-earnings ratio of 36.28, a PEG ratio of 1.16 and a beta of 0.49. The stock has a fifty day moving average price of $228.37 and a 200-day moving average price of $216.66. Cardinal Health has a 52 week low of $145.47 and a 52 week high of $258.30.

Cardinal Health (NYSE:CAH - Get Free Report) last issued its quarterly earnings results on Tuesday, August 11th. The company reported $2.91 EPS for the quarter, topping analysts' consensus estimates of $2.42 by $0.49. Cardinal Health had a negative return on equity of 92.61% and a net margin of 0.62%.The firm had revenue of $63.67 billion for the quarter, compared to analysts' expectations of $65.15 billion. During the same period in the previous year, the firm posted $2.08 EPS. The business's revenue for the quarter was up 5.8% compared to the same quarter last year. Cardinal Health has set its FY 2027 guidance at 12.400-12.600 EPS. As a group, sell-side analysts predict that Cardinal Health will post 10.77 EPS for the current fiscal year.

Institutional Trading of Cardinal Health

Several hedge funds have recently modified their holdings of the company. University of Texas Texas AM Investment Management Co. purchased a new stake in Cardinal Health in the fourth quarter valued at approximately $26,000. Bank of Jackson Hole Trust purchased a new position in Cardinal Health during the fourth quarter valued at $27,000. Jones Financial Companies Lllp lifted its stake in Cardinal Health by 198.3% in the 1st quarter. Jones Financial Companies Lllp now owns 21,112 shares of the company's stock valued at $27,000 after buying an additional 14,034 shares in the last quarter. Palladiem LLC acquired a new stake in shares of Cardinal Health in the fourth quarter worth approximately $28,000. Finally, Indiana Trust & Investment Management Co acquired a new stake in Cardinal Health during the 1st quarter worth $29,000. 87.17% of the stock is owned by hedge funds and other institutional investors.

Cardinal Health News Summary

Here are the key news stories impacting Cardinal Health this week:

• Positive Sentiment: Fiscal 2027 outlook exceeded expectations. Cardinal Health forecast adjusted EPS of $12.40-$12.60, representing 13%-15% growth and above the roughly $12.05 analyst consensus. Management expects normalized pharmaceutical demand, specialty pharmaceuticals, At-Home solutions and productivity initiatives to support growth. Cardinal Health forecasts full-year profit above estimates
• Positive Sentiment: Fourth-quarter adjusted EPS beat estimates. Adjusted earnings rose to $2.91 per share from $2.08 a year earlier, exceeding expectations of $2.42. Profit benefited from strong specialty-drug demand and nearly doubled Medtech earnings, although a $0.31-per-share tariff refund also contributed. CAH Q4 Earnings Beat on Pharma Strength
• Positive Sentiment: Share repurchases were expanded by $5 billion. Cardinal completed $1.4 billion of buybacks in fiscal 2026 and authorized an additional $5 billion, potentially providing meaningful support to per-share earnings and the stock. Analysts at Wells Fargo and Robert W. Baird also raised their price targets to $277 and $274, respectively. Cardinal Health Analysts Increase Their Forecasts
• Neutral Sentiment: Cardinal Health declared a quarterly dividend of $0.5158 per share, payable October 15 to shareholders of record October 1. The dividend reinforces the company’s capital-return strategy but carries a relatively modest yield. Cardinal Health Board Approves Quarterly Dividend
• Negative Sentiment: Fourth-quarter revenue increased 6% year over year to $63.67 billion, but missed the approximately $65.1 billion consensus estimate. Investors may also discount the earnings beat because part of the improvement came from a one-time tariff refund rather than recurring operations. Cardinal Health Q4 Earnings Results

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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