Hennessy Advisors Inc. Buys 71,000 Shares of Cardinal Health, Inc. $CAH

Key Points

• Hennessy Advisors Inc. increased its stake in Cardinal Health, Inc. by 331.8%, purchasing an additional 71,000 shares and now holds a total of 92,400 shares valued at approximately $15.5 million.
• Insider transactions revealed significant sales, with CEO Stephen M. Mason selling 41,575 shares, representing a 61.45% decrease in his position.
• Cardinal Health reported earnings per share of $2.08 for the quarter, slightly above estimates, and announced a quarterly dividend of $0.5107, with a yield of 1.3%.

Hennessy Advisors Inc. increased its stake in Cardinal Health, Inc. (NYSE:CAH - Free Report) by 331.8% in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 92,400 shares of the company's stock after buying an additional 71,000 shares during the period. Hennessy Advisors Inc.'s holdings in Cardinal Health were worth $15,523,000 at the end of the most recent reporting period.

A number of other institutional investors also recently bought and sold shares of CAH. Wellington Management Group LLP raised its stake in Cardinal Health by 1,666.7% in the first quarter. Wellington Management Group LLP now owns 2,384,192 shares of the company's stock worth $328,470,000 after buying an additional 2,249,241 shares in the last quarter. JPMorgan Chase & Co. increased its stake in shares of Cardinal Health by 40.0% during the first quarter. JPMorgan Chase & Co. now owns 4,175,992 shares of the company's stock valued at $575,327,000 after purchasing an additional 1,193,983 shares in the last quarter. Zurich Insurance Group Ltd FI increased its stake in shares of Cardinal Health by 4,935.9% during the first quarter. Zurich Insurance Group Ltd FI now owns 946,750 shares of the company's stock valued at $130,434,000 after purchasing an additional 927,950 shares in the last quarter. Nuveen LLC bought a new position in shares of Cardinal Health during the first quarter valued at approximately $106,065,000. Finally, T. Rowe Price Investment Management Inc. bought a new position in shares of Cardinal Health during the first quarter valued at approximately $104,951,000. 87.17% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

CAH has been the subject of a number of analyst reports. Weiss Ratings reaffirmed a "buy (b)" rating on shares of Cardinal Health in a research note on Saturday, September 27th. Morgan Stanley reaffirmed an "overweight" rating on shares of Cardinal Health in a research note on Tuesday, August 12th. Leerink Partners decreased their target price on shares of Cardinal Health from $188.00 to $186.00 and set an "outperform" rating for the company in a research note on Tuesday, August 12th. UBS Group reaffirmed a "buy" rating on shares of Cardinal Health in a research note on Tuesday, August 12th. Finally, Robert W. Baird raised their target price on shares of Cardinal Health from $197.00 to $203.00 and gave the company an "outperform" rating in a research note on Wednesday, August 13th. Twelve equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $165.93.

Insider Buying and Selling

In related news, insider Michelle D. Greene sold 13,500 shares of the company's 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 completion of the transaction, the insider owned 14,976 shares of the company's stock, valued at approximately $2,228,728.32. This represents a 47.41% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Stephen M. Mason sold 41,575 shares of the company's stock in a transaction on Tuesday, August 19th. The stock was sold at an average price of $148.82, for a total transaction of $6,187,191.50. Following the completion of the transaction, the chief executive officer directly owned 26,085 shares of the company's stock, valued at $3,881,969.70. This represents a 61.45% 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 in the last three months. Corporate insiders own 0.12% of the company's stock.

Cardinal Health Stock Down 2.5%

Shares of CAH opened at $154.50 on Friday. The company has a market capitalization of $36.71 billion, a P/E ratio of 23.95, a price-to-earnings-growth ratio of 1.34 and a beta of 0.71. The firm has a 50 day moving average of $152.07 and a 200 day moving average of $150.25. Cardinal Health, Inc. has a twelve month low of $106.98 and a twelve month high of $168.44.

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

Cardinal Health Dividend Announcement

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

Cardinal Health Company Profile

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.

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