Paralel Advisors LLC Invests $2.60 Million in Cardinal Health, Inc. $CAH

Key Points

• Paralel Advisors acquired 10,932 Cardinal Health shares worth approximately $2.60 million in the second quarter. Institutional investors collectively own 87.17% of the company.
• Cardinal Health reported quarterly adjusted EPS of $2.91, beating the $2.42 consensus, while revenue rose 5.8% year over year to $63.67 billion. However, part of the earnings gain came from a one-time tariff refund, raising questions about sustainability.
• Analysts maintain a consensus “Moderate Buy” rating with an average price target of $266.56, but insiders have sold roughly $49.6 million of stock over the past three months, including significant sales by executives.

Paralel Advisors LLC acquired a new position in shares of Cardinal Health, Inc. (NYSE:CAH - Free Report) in the second quarter, according to its most recent 13F filing with the SEC. The institutional investor acquired 10,932 shares of the company's stock, valued at approximately $2,597,000.

A number of other institutional investors also recently added to or reduced their stakes in CAH. Vanguard Group Inc. grew its position in shares of Cardinal Health by 2.0% in the 4th quarter. Vanguard Group Inc. now owns 31,441,258 shares of the company's stock worth $6,461,179,000 after buying an additional 617,775 shares during the last quarter. BlackRock Inc. bought a new position in shares of Cardinal Health during the 2nd quarter worth approximately $6,293,115,000. State Street Corp lifted its position in Cardinal Health by 1.8% during the fourth quarter. State Street Corp now owns 12,509,230 shares of the company's stock valued at $2,570,647,000 after acquiring an additional 221,497 shares during the last quarter. Geode Capital Management LLC lifted its position in Cardinal Health by 0.7% during the fourth quarter. Geode Capital Management LLC now owns 6,529,013 shares of the company's stock valued at $1,336,750,000 after acquiring an additional 43,924 shares during the last quarter. Finally, Wellington Management Group LLP boosted its stake in Cardinal Health by 153.2% in the third quarter. Wellington Management Group LLP now owns 5,804,090 shares of the company's stock valued at $911,010,000 after acquiring an additional 3,511,579 shares in the last quarter. Institutional investors own 87.17% of the company's stock.

Insider Buying and Selling

In other Cardinal Health news, CEO Stephen M. Mason sold 35,000 shares of Cardinal Health stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of $236.40, for a total transaction of $8,274,000.00. Following the completion of the sale, the chief executive officer owned 18,061 shares of the company's stock, valued at approximately $4,269,620.40. The trade was a 65.96% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Michelle D. Greene sold 11,650 shares of the business's stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $235.72, for a total value of $2,746,138.00. Following the sale, the insider owned 10,330 shares in the company, valued at approximately $2,434,987.60. The trade was a 53.00% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 210,271 shares of company stock worth $49,626,657 over the last three months. Corporate insiders own 0.12% of the company's stock.

More Cardinal Health News

Here are the key news stories impacting Cardinal Health this week:

• Positive Sentiment: Royal Bank of Canada initiated coverage of Cardinal Health with a “moderate buy” or outperform-equivalent rating. RBC cited the integration of higher-margin services as a potential driver of future earnings outperformance. RBC Capital Starts Cardinal Health at Outperform
• Positive Sentiment: A Zacks analysis identified CAH as a potentially attractive long-term value stock, while recent coverage has highlighted Cardinal Health’s precision-medicine operations and higher-margin services as sources of sustained growth. Why Cardinal Health Is a Top Value Stock for the Long-Term
• Neutral Sentiment: Brokerages continue to assign Cardinal Health a consensus “moderate buy” rating. The constructive view is tempered by valuation and questions about the sustainability of recent earnings gains.
• Negative Sentiment: Multiple executives and insiders sold shares around $235–$237. Chief Executive Officer Jason Hollar sold a combined 124,529 shares worth approximately $29.4 million, while CEO Deborah Weitzman sold about $1.7 million. Other insider sales included Chief Accounting Officer Mary Scherer and executives Michelle Greene, Jessica Mayer, and Stephen Mason. The transactions substantially reduced several executives’ holdings and may signal that insiders are taking profits after the stock’s strong rally. Cardinal Health Insider Sale Filing
• Negative Sentiment: Although Cardinal Health reported adjusted quarterly EPS of $2.91, well above the $2.42 consensus, an analysis noted that a significant portion of the earnings improvement came from a one-time tariff refund. That raises concerns about the durability of the earnings beat and may be contributing to the weaker stock performance. Cardinal Health Earnings Analysis

Cardinal Health Trading Down 2.5%

NYSE:CAH opened at $228.95 on Friday. Cardinal Health, Inc. has a twelve month low of $145.87 and a twelve month high of $258.30. The company has a market cap of $53.25 billion, a PE ratio of 31.67, a P/E/G ratio of 1.26 and a beta of 0.49. The company's 50 day moving average is $231.91 and its two-hundred day moving average is $217.78.

Cardinal Health (NYSE:CAH - Get Free Report) last posted its quarterly earnings results on Tuesday, August 11th. The company reported $2.91 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.42 by $0.49. Cardinal Health had a net margin of 0.67% and a negative return on equity of 98.53%. The business had revenue of $63.67 billion during the quarter, compared to analysts' expectations of $65.15 billion. During the same quarter last year, the company posted $2.08 earnings per share. The business's quarterly revenue was up 5.8% on a year-over-year basis. Cardinal Health has set its FY 2027 guidance at 12.400-12.600 EPS. As a group, analysts expect that Cardinal Health, Inc. will post 12.54 EPS for the current fiscal year.

Cardinal Health Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 15th. Investors of record on Thursday, October 1st will be paid a $0.5158 dividend. The ex-dividend date is Thursday, October 1st. This represents a $2.06 dividend on an annualized basis and a yield of 0.9%. Cardinal Health's dividend payout ratio (DPR) is 28.49%.

Wall Street Analyst Weigh In

A number of equities analysts have recently issued reports on the company. Morgan Stanley upped their price target on Cardinal Health from $255.00 to $265.00 and gave the stock an "overweight" rating in a research report on Wednesday, August 12th. Leerink Partners set a $292.00 price objective on Cardinal Health in a research report on Tuesday, August 11th. Wall Street Zen upgraded Cardinal Health from a "buy" rating to a "strong-buy" rating in a research note on Saturday, July 4th. Evercore reaffirmed an "outperform" rating and set a $270.00 target price on shares of Cardinal Health in a research report on Wednesday, August 12th. Finally, JPMorgan Chase & Co. increased their price target on Cardinal Health from $215.00 to $260.00 and gave the company a "neutral" rating in a research note on Thursday, August 13th. Sixteen research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $266.56.

About Cardinal Health

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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