Fred Alger Management LLC Acquires 220,488 Shares of Cardinal Health, Inc. $CAH

Key Points

• Fred Alger Management LLC significantly increased its stake in Cardinal Health, Inc. by 471.7% during the first quarter of the year, owning approximately $36.82 million worth of shares.
• Cardinal Health reported an EPS of $2.08 for the last quarter, slightly exceeding analyst expectations, with revenue of $60.16 billion but falling short of estimates.
• The company declared a quarterly dividend of $0.5107 per share, leading to an annualized yield of 1.4% for investors.

Fred Alger Management LLC raised its position in Cardinal Health, Inc. (NYSE:CAH - Free Report) by 471.7% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 267,231 shares of the company's stock after buying an additional 220,488 shares during the quarter. Fred Alger Management LLC owned about 0.11% of Cardinal Health worth $36,816,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Greykasell Wealth Strategies Inc. bought a new stake in shares of Cardinal Health during the 1st quarter valued at $26,000. Tompkins Financial Corp raised its stake in shares of Cardinal Health by 106.7% during the 1st quarter. Tompkins Financial Corp now owns 248 shares of the company's stock valued at $34,000 after purchasing an additional 128 shares during the period. GW&K Investment Management LLC grew its position in Cardinal Health by 113.4% during the 1st quarter. GW&K Investment Management LLC now owns 271 shares of the company's stock worth $37,000 after acquiring an additional 144 shares during the last quarter. NBC Securities Inc. bought a new position in Cardinal Health during the 1st quarter worth approximately $48,000. Finally, Zions Bancorporation National Association UT bought a new position in Cardinal Health during the 1st quarter worth approximately $52,000. 87.17% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on CAH shares. Argus set a $189.00 price target on Cardinal Health in a research report on Friday, August 22nd. UBS Group restated a "buy" rating on shares of Cardinal Health in a research report on Tuesday, August 12th. Evercore ISI cut their price objective on Cardinal Health from $200.00 to $190.00 and set an "outperform" rating on the stock in a research report on Wednesday, August 13th. Morgan Stanley reiterated an "overweight" rating on shares of Cardinal Health in a research report on Tuesday, August 12th. Finally, Wells Fargo & Company reiterated an "overweight" rating and issued a $185.00 price objective (up from $183.00) on shares of Cardinal Health in a research report on Wednesday, August 13th. Eleven investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, Cardinal Health presently has a consensus rating of "Moderate Buy" and a consensus price target of $165.93.

Insider Buying and Selling

In other news, CEO Stephen M. Mason sold 41,575 shares of the firm's stock in a transaction that occurred on Tuesday, August 19th. The stock was sold at an average price of $148.82, for a total value of $6,187,191.50. Following the completion of the transaction, the chief executive officer owned 26,085 shares in the company, valued at $3,881,969.70. This trade represents a 61.45% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Michelle D. Greene sold 13,500 shares of Cardinal Health stock in a transaction on Tuesday, August 19th. The shares were sold at an average price of $148.82, for a total value of $2,009,070.00. Following the transaction, the insider owned 14,976 shares of the company's stock, valued at $2,228,728.32. The trade was a 47.41% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 271,676 shares of company stock worth $40,489,525 over the last quarter. Company insiders own 0.09% of the company's stock.

Cardinal Health Stock Performance

Shares of CAH traded down $0.14 on Friday, reaching $152.34. The stock had a trading volume of 1,068,516 shares, compared to its average volume of 2,395,802. The firm has a market capitalization of $36.38 billion, a price-to-earnings ratio of 23.62, a price-to-earnings-growth ratio of 1.26 and a beta of 0.73. The company has a 50-day simple moving average of $154.75 and a 200-day simple moving average of $147.48. Cardinal Health, Inc. has a 12-month low of $106.54 and a 12-month high of $168.44.

Cardinal Health (NYSE:CAH - Get Free Report) last released its earnings results on Tuesday, August 12th. The company reported $2.08 EPS for the quarter, beating analysts' consensus estimates of $2.03 by $0.05. The company had revenue of $60.16 billion during the quarter, compared to analysts' expectations of $60.91 billion. Cardinal Health had a negative return on equity of 74.45% and a net margin of 0.70%.The firm's revenue for the quarter was up .5% compared to the same quarter last year. During the same quarter last year, the business posted $1.84 EPS. Cardinal Health has set its FY 2026 guidance at 9.300-9.500 EPS. On average, analysts expect that Cardinal Health, Inc. will post 7.95 EPS for the current fiscal year.

Cardinal Health Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 15th. Stockholders of record on Wednesday, October 1st will be paid a $0.5107 dividend. This represents a $2.04 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date is Wednesday, October 1st. Cardinal Health's dividend payout ratio (DPR) is presently 31.63%.

About Cardinal Health

Cardinal Health, Inc operates as a healthcare services and products company in the United States, Canada, Europe, Asia, and internationally. It provides customized solutions for hospitals, healthcare systems, pharmacies, ambulatory surgery centers, clinical laboratories, physician offices, and patients in the home.