Cardinal Health, Inc. (NYSE:CAH) Stock Has Consensus Price Target of $266.56 According to Brokerages

Key Points

• Analyst sentiment is positive: Nineteen analysts rate Cardinal Health a consensus “Moderate Buy,” including 16 buy ratings and three holds. The average 12-month price target is $266.56, above the reported share price of $239.15.
• Recent results exceeded expectations: 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. Management issued fiscal 2027 EPS guidance of $12.40–$12.60.
• Insiders have been selling shares: Executives and other insiders sold 210,271 shares worth approximately $49.6 million over the past 90 days, while institutional investors own 87.17% of the company. Cardinal Health also declared a quarterly dividend of $0.5158 per share, implying a 0.9% annualized yield.

Shares of Cardinal Health, Inc. (NYSE:CAH - Get Free Report) have been given a consensus rating of "Moderate Buy" by the nineteen analysts that are presently covering the stock, MarketBeat reports. Three equities research analysts have rated the stock with a hold recommendation and sixteen have given a buy recommendation to the company. The average twelve-month price objective among brokers that have issued ratings on the stock in the last year is $266.56.

CAH has been the topic of several research reports. Bank of America lifted their price target on shares of Cardinal Health from $240.00 to $260.00 and gave the company a "buy" rating in a report on Thursday, July 2nd. Zacks Research lowered shares of Cardinal Health from a "strong-buy" rating to a "hold" rating in a research report on Friday, June 12th. Weiss Ratings cut shares of Cardinal Health from a "buy (b+)" rating to a "buy (b)" rating in a research note on Wednesday, August 19th. Royal Bank Of Canada assumed coverage on shares of Cardinal Health in a report on Wednesday, August 19th. They set an "outperform" rating and a $276.00 price target for the company. Finally, Leerink Partners set a $292.00 price objective on Cardinal Health in a report on Tuesday, August 11th.

Insider Activity at Cardinal Health

In other news, CEO Deborah Weitzman sold 7,354 shares of the company's stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $235.45, for a total value of $1,731,499.30. Following the completion of the transaction, the chief executive officer owned 77,901 shares of the company's stock, valued at $18,341,790.45. This represents a 8.63% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, insider Jessica Mayer sold 29,436 shares of the firm's stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $236.19, for a total transaction of $6,952,488.84. Following the completion of the transaction, the insider owned 33,076 shares of the company's stock, valued at approximately $7,812,220.44. This trade represents a 47.09% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 210,271 shares of company stock valued at $49,626,657. Corporate insiders own 0.12% of the company's stock.

Hedge Funds Weigh In On Cardinal Health

Large investors have recently modified their holdings of the business. Bank of New York Mellon Corp bought a new stake in shares of Cardinal Health during the second quarter valued at approximately $308,640,000. First Nebraska Trust Co acquired a new stake in Cardinal Health in the 2nd quarter valued at $20,050,000. Castlekeep Investment Advisors LLC acquired a new stake in Cardinal Health in the 2nd quarter valued at $1,177,000. Stack Financial Management Inc bought a new stake in Cardinal Health during the 2nd quarter valued at $24,681,000. Finally, NewEdge Advisors LLC increased its stake in Cardinal Health by 52.9% during the 1st quarter. NewEdge Advisors LLC now owns 33,939 shares of the company's stock valued at $7,172,000 after purchasing an additional 11,740 shares in the last quarter. Institutional investors own 87.17% of the company's stock.

Cardinal Health Price Performance

Shares of CAH opened at $239.15 on Friday. Cardinal Health has a one year low of $151.87 and a one year high of $258.30. The company has a market cap of $55.38 billion, a P/E ratio of 33.08, a P/E/G ratio of 1.40 and a beta of 0.50. The firm has a 50 day simple moving average of $233.39 and a two-hundred day simple moving average of $220.75.

Cardinal Health (NYSE:CAH - Get Free Report) last issued its earnings results on Tuesday, August 11th. The company reported $2.91 earnings per share for the quarter, beating analysts' consensus estimates of $2.42 by $0.49. Cardinal Health had a negative return on equity of 98.53% and a net margin of 0.67%.The firm had revenue of $63.67 billion for the quarter, compared to the consensus estimate of $65.15 billion. During the same quarter last year, the business posted $2.08 EPS. The company's revenue 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. On average, analysts expect that Cardinal Health will post 12.55 earnings per share for the current fiscal year.

Cardinal Health Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, October 15th. Stockholders of record on Thursday, October 1st will be paid a dividend of $0.5158 per share. 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 dividend payout ratio (DPR) is presently 28.49%.

About Cardinal Health

Cardinal Health, Inc is a healthcare services and products company that supports pharmacies, hospitals, ambulatory surgery centers, physician offices and other healthcare providers. Its operations are primarily organized into Pharmaceutical and Medical segments.

The Pharmaceutical segment distributes branded, generic, specialty and over-the-counter medicines, as well as consumer health products. It also provides services related to specialty pharmaceuticals, pharmaceutical sourcing, nuclear and precision health products, and data and analytics for pharmaceutical manufacturers and healthcare organizations.

The Medical segment distributes medical and surgical products, including gloves, apparel, incontinence supplies, laboratory products and other essential items.

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