Marvin & Palmer Associates Inc. Takes Position in Cardinal Health, Inc. (NYSE:CAH)

Key Points

• Marvin & Palmer Associates Inc. has acquired 23,558 shares of Cardinal Health, Inc. valued at approximately $3.25 million, making it the second-largest holding in their portfolio.
• Cardinal Health reported $2.35 earnings per share for the last quarter, surpassing analyst expectations, although revenues were slightly below estimates.
• The company recently increased its quarterly dividend to $0.5107 per share, with a dividend yield of 1.30% and a payout ratio of 31.83%.

Marvin & Palmer Associates Inc. acquired a new stake in shares of Cardinal Health, Inc. (NYSE:CAH - Free Report) during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 23,558 shares of the company's stock, valued at approximately $3,246,000. Cardinal Health makes up approximately 4.8% of Marvin & Palmer Associates Inc.'s portfolio, making the stock its 2nd biggest holding.

Several other hedge funds have also recently modified their holdings of CAH. Bellwether Advisors LLC acquired a new position in Cardinal Health in the 4th quarter worth approximately $32,000. Tompkins Financial Corp increased its holdings in Cardinal Health by 106.7% in the 1st quarter. Tompkins Financial Corp now owns 248 shares of the company's stock worth $34,000 after buying an additional 128 shares during the period. Itau Unibanco Holding S.A. acquired a new position in Cardinal Health in the 4th quarter worth approximately $36,000. GW&K Investment Management LLC increased its holdings in Cardinal Health by 113.4% in the 1st quarter. GW&K Investment Management LLC now owns 271 shares of the company's stock worth $37,000 after buying an additional 144 shares during the period. Finally, Measured Risk Portfolios Inc. acquired a new position in Cardinal Health in the 4th quarter worth approximately $47,000. Institutional investors and hedge funds own 87.17% of the company's stock.

Cardinal Health Price Performance

Shares of NYSE:CAH opened at $157.10 on Monday. Cardinal Health, Inc. has a 1 year low of $96.05 and a 1 year high of $168.44. The firm has a market capitalization of $37.50 billion, a price-to-earnings ratio of 24.51, a price-to-earnings-growth ratio of 1.56 and a beta of 0.68. The business's 50 day moving average price is $159.42 and its 200-day moving average price is $141.79.

Cardinal Health (NYSE:CAH - Get Free Report) last announced its quarterly earnings data on Thursday, May 1st. The company reported $2.35 earnings per share for the quarter, beating analysts' consensus estimates of $2.15 by $0.20. The company had revenue of $54.88 billion for the quarter, compared to analyst estimates of $55.33 billion. Cardinal Health had a negative return on equity of 68.84% and a net margin of 0.70%. The firm's revenue for the quarter was up .0% on a year-over-year basis. During the same quarter last year, the firm posted $2.08 EPS. On average, sell-side analysts expect that Cardinal Health, Inc. will post 7.95 earnings per share for the current year.

Cardinal Health Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, July 15th. Shareholders of record on Tuesday, July 1st were issued a $0.5107 dividend. The ex-dividend date of this dividend was Tuesday, July 1st. This represents a $2.04 dividend on an annualized basis and a yield of 1.30%. This is a positive change from Cardinal Health's previous quarterly dividend of $0.51. Cardinal Health's dividend payout ratio (DPR) is presently 31.83%.

Analyst Ratings Changes

A number of equities research analysts have recently commented on the stock. Bank of America raised their price objective on shares of Cardinal Health from $165.00 to $170.00 and gave the stock a "buy" rating in a research note on Tuesday, June 10th. Mizuho raised their price objective on shares of Cardinal Health from $142.00 to $150.00 and gave the stock an "outperform" rating in a research note on Monday, March 31st. Citigroup reaffirmed a "neutral" rating and set a $170.00 price objective (up previously from $157.00) on shares of Cardinal Health in a research note on Friday, June 13th. Wall Street Zen raised shares of Cardinal Health from a "buy" rating to a "strong-buy" rating in a research note on Monday, May 5th. Finally, Robert W. Baird raised their price objective on shares of Cardinal Health from $156.00 to $170.00 and gave the stock an "outperform" rating in a research note on Friday, May 2nd. Three investment analysts have rated the stock with a hold rating, eleven have given a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $158.07.

Cardinal Health 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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