Cardinal Health, Inc. $CAH Shares Sold by Fred Alger Management LLC

Key Points

• Fred Alger Management LLC cut its Cardinal Health stake by 14.4% in the fourth quarter, selling 67,973 shares and ending with 404,679 shares valued at about $83.2 million.
• Cardinal Health reported better-than-expected earnings of $3.17 per share on April 30, beating estimates, while revenue rose 11% year over year to $60.94 billion. The company also issued FY2026 guidance of $10.70 to $10.80 EPS.
• The company raised its quarterly dividend to $0.5158 per share, or $2.06 annually, implying a 0.9% yield. Analysts remain mostly constructive, with a consensus rating of Moderate Buy and an average price target of $246.93.

Fred Alger Management LLC lowered its stake in shares of Cardinal Health, Inc. (NYSE:CAH - Free Report) by 14.4% in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 404,679 shares of the company's stock after selling 67,973 shares during the quarter. Fred Alger Management LLC owned approximately 0.17% of Cardinal Health worth $83,162,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also added to or reduced their stakes in the stock. Redhawk Wealth Advisors Inc. boosted its position in Cardinal Health by 0.5% during the 4th quarter. Redhawk Wealth Advisors Inc. now owns 9,255 shares of the company's stock valued at $1,902,000 after purchasing an additional 48 shares during the period. HF Advisory Group LLC boosted its position in Cardinal Health by 0.9% during the 4th quarter. HF Advisory Group LLC now owns 5,227 shares of the company's stock valued at $1,074,000 after purchasing an additional 49 shares during the period. Hillsdale Investment Management Inc. boosted its position in Cardinal Health by 0.9% during the 4th quarter. Hillsdale Investment Management Inc. now owns 5,760 shares of the company's stock valued at $1,184,000 after purchasing an additional 50 shares during the period. Generali Asset Management SPA SGR boosted its position in Cardinal Health by 11.0% during the 4th quarter. Generali Asset Management SPA SGR now owns 513 shares of the company's stock valued at $105,000 after purchasing an additional 51 shares during the period. Finally, Stephens Inc. AR boosted its position in Cardinal Health by 0.9% during the 4th quarter. Stephens Inc. AR now owns 5,951 shares of the company's stock valued at $1,223,000 after purchasing an additional 52 shares during the period. Institutional investors and hedge funds own 87.17% of the company's stock.

Cardinal Health Price Performance

Shares of Cardinal Health stock opened at $227.63 on Wednesday. The business's fifty day moving average price is $203.74 and its two-hundred day moving average price is $209.02. The company has a market capitalization of $53.31 billion, a P/E ratio of 34.81, a PEG ratio of 1.24 and a beta of 0.52. Cardinal Health, Inc. has a 1-year low of $137.75 and a 1-year high of $233.60.

Cardinal Health (NYSE:CAH - Get Free Report) last announced its 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. Cardinal Health had a negative return on equity of 92.61% and a net margin of 0.62%.The firm had revenue of $60.94 billion for the quarter, compared to the consensus estimate of $62.10 billion. During the same quarter in the previous year, the business earned $2.35 EPS. The firm's revenue for the quarter was up 11.0% on a year-over-year basis. Cardinal Health has set its FY 2026 guidance at 10.700-10.80 EPS. On average, research analysts expect that Cardinal Health, Inc. will post 10.76 earnings per share for the current fiscal year.

Cardinal Health Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 15th. Stockholders of record on Wednesday, July 1st will be paid a $0.5158 dividend. The ex-dividend date of this dividend is Wednesday, July 1st. This represents a $2.06 dividend on an annualized basis and a dividend yield of 0.9%. This is a boost from Cardinal Health's previous quarterly dividend of $0.51. Cardinal Health's dividend payout ratio (DPR) is presently 31.19%.

Analyst Upgrades and Downgrades

A number of research analysts recently issued reports on CAH shares. Robert W. Baird set a $248.00 price objective on Cardinal Health in a research report on Friday, May 1st. Weiss Ratings downgraded Cardinal Health from a "buy (b+)" rating to a "buy (b)" rating in a research note on Tuesday, May 19th. Wells Fargo & Company cut their target price on Cardinal Health from $256.00 to $245.00 and set an "overweight" rating on the stock in a research note on Friday, May 1st. Wall Street Zen downgraded Cardinal Health from a "strong-buy" rating to a "buy" rating in a research note on Monday. Finally, William Blair started coverage on Cardinal Health in a research note on Tuesday, April 28th. They set an "outperform" rating on the stock. Fourteen equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $246.93.

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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