CAH

Cardinal Health, Inc.

$255.64

-0.71% Oct 22 close

Health CareS&P 500 Compare Technicals

1M 3M 6M 1Y 2Y

CAHSPY

+0.8%

+15.4%

+13.4%

+25.4%

YTD

+25.6%

+61.8%

Live chart

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What they do

Cardinal Health, Inc. operates as a healthcare services and products company in the United States and internationally. It operates in two segments: Pharmaceutical and Specialty Solutions, and Global Medical Products and Distribution. The company offers customized solutions for hospitals, healthcare systems, pharmacies, ambulatory surgery centers, clinical laboratories, physician offices, and patients in the home.

Healthcare · Medical Distribution

For information only · Important disclosures

Grades vs sector

Momentum

49th percentile in sector

C+

12-1 return: +17.5%
Percentile within its GICS sector across the S&P 1500.

Growth

35th percentile in sector

C-

Revenue growth (YoY): +5.8%
Percentile within its GICS sector across the S&P 1500.

Value

52nd percentile in sector

C+

Forward E/P: 5.5% · EBITDA/EV: 6.6%
Percentile within its GICS sector across the S&P 1500.

Profitability

24th percentile in sector

Profit margin: +0.7% · Return on equity: –
Percentile within its GICS sector across the S&P 1500.

Revisions

Not enough data yet

–

EPS estimate change, 30 days (current FY): –
30-day change in analysts' current-year EPS estimate; graded across covered stocks.

Our models

Not held by any of our 5 live models right now.

Quality Growth

Outside this model's universe or screens

Momentum Top 15

ranked 58 of 499 · 12-month momentum 51.0%

Momentum Blend

Not in the current book

New Highs Growth

Outside this model's universe or screens

Coteau Long Book

Not in the current book

News

More news

IBD Stock Of The Day Tests New Buy Point As Indicators Suggest More Upside

Investor's Business Daily · Oct 21

Disposable Specimen Container Market Forecast Report 2026-2030 | Capitalize on Sterile Automation and $3.97B Demand with Leading Players Thermo Fisher, Cardinal Health, SARSTEDT and Greiner Bio-One

GlobeNewswire · Oct 21

Amgen vs. Bristol Myers Squibb: Which Healthcare Stock Is a Better Buy in 2026?

Motley Fool · Oct 20

AbbVie vs. Vertex Pharmaceuticals: Which Healthcare Stock Is a Better Buy in 2026?

Motley Fool · Oct 20

Cardinal Health (CAH) Laps the Stock Market: Here's Why

Zacks · Oct 20

Key stats

Market value$59.6B

P/E (last 12 months)35.6

P/E (next 12 months, estimated)18.3

52-week range$157.79 – $259.02

Revenue growth (latest quarter vs a year ago)+5.8%

Dividend yield0.80%

Analyst consensusBuy (15)

Average analyst price target$273.47 (+7%)

Valuation and fundamentals

Valuation & fundamentals

Bottom line

Looks undervalued

Model read-out from the numbers below, not advice. Score +3 (DCF counts double).

▲DCF (base case)above the price by 124%

•Forward P/E vs sector18.3x vs median 17.6x

▲Piotroski F-score8/9

▲Net debt / EBITDA-0.5x

•Analyst target+7% (15 analysts)

Discounted cash flow

Bear

$330

+29%

growth 2% · disc. 8.0% · term. 2.0%

Base

$572

+124%

growth 7% · disc. 7.0% · term. 2.5%

Bull

$1,006

+293%

growth 10% · disc. 6.0% · term. 3.0%

A DCF starts from trailing free cash flow, so it can overstate value if the last 12 months were unusually strong (or weak). Use the bear case or edit the starting cash flow if so.

Reverse DCFfor context, not a signal

Today's price implies shrinking cash flows: about -5% a year for 10 years.

Implied

-5%/yr

FCF, last 3 yrs

+24%/yr

FCF, last 5 yrs

+17%/yr

Revenue, last 3 yrs

+7%/yr

Revenue, last 5 yrs

+9%/yr

Same inputs as the DCF above: trailing free cash flow 4.5B, 7.0% discount rate, 2.5% growth after year 10, net cash and today's share count. Actual growth rates are compound annual rates from SEC annual filings through FY2026; "n/a" means too little history or a negative starting year.

Edit assumptions · recalculates instantly

Your value per share–

Free cash flow = operating cash flow − capital spending, trailing 12 months (FY to 2026-06-30). Growth default: average of 3-year revenue CAGR and latest revenue growth, capped at 30%. Years 6–10 fade linearly to terminal growth. Discount rate = 4.25% risk-free assumption + beta 0.50 × 5% equity premium, kept within 7–13%. Bear: lower growth, +1 pt discount, 2% terminal. Bull: higher growth, −1 pt, 3%.

Multiples vs Health Care

P/E (trailing)

sector median 29.9× · 60th pct

35.6×
pricier

Forward P/E

sector median 17.6× · 55th pct

18.3×
pricier

EV / EBITDA

sector median 15.8× · 52nd pct

16.2×
pricier

Price / sales

sector median 3.1× · 1st pct

0.2×
cheaper

Price / book

sector median 3.5×

–

FCF yield

sector median 4.1% · 84th pct

7.6%
cheaper

Forward EPS $14.06 vs trailing $7.23 (+94% expected growth). Forward P/E uses analysts' next-12-month estimate.

Quality & financial health

Gross margin

3.8%

Operating margin

1.0%

FCF margin

1.8%

Net margin

0.7%

Return on equity

–

Return on invested capital

–

Net debt / EBITDA

-0.5×

Current ratio

0.9×

Interest cover

7.5×

Cash conversion (OCF/NI)

3.0×

Piotroski F-score 8/9 · last two fiscal years

✓ Positive net income✓ Positive operating cash flow✓ Return on assets improved✓ Cash flow above net income✓ Long-term debt / assets fell✗ Current ratio improved✓ No share dilution✓ Gross margin improved✓ Asset turnover improved

Analysts

Mean target

$273

+7%

Analysts

Buy

Range

$235–$295

low – high

● price · ◆ mean target

Annual history

FY	Revenue	Net income	Free cash flow
2026	$254.2B	$1.7B	$4.5B
2025	$222.6B	$1.6B	$1.9B
2024	$226.8B	$852.0M	$3.3B
2023	$205.0B	$330.0M	$2.4B
2022	$181.3B	$-938.0M	$2.8B
2021	$162.5B	$611.0M	$2.0B

From the company's 10-K filings via SEC XBRL. 3-year revenue CAGR +7.4%.

Earnings

Next report: 2026-11-05 · before open · EPS est 2.94

EstimateActual (beat)Actual (miss)

Report	EPS est	Actual	Surprise
2026-08-11	2.42	2.60	+7.4%
2026-04-30	2.79	3.17	+13.7%
2026-02-05	2.37	2.63	+11.2%
2025-10-30	2.17	2.55	+17.6%
2025-08-12	2.03	2.08	+2.4%
2025-05-01	2.15	2.35	+9.4%
2025-01-30	1.76	1.93	+9.4%
2024-11-01	1.62	1.88	+15.9%

Quarterly revenue

Quarter	Revenue	YoY
2026-06-30	$63.7B	+5.8%
2026-03-31	$60.9B	–
2025-12-31	$65.6B	–
2025-09-30	$64.0B	–
2025-06-30	$60.2B	–

Rating changes

Reiterated

2026-10-20 · Mizuho reiterated Outperform on CAH

Reiterated

2026-10-16 · UBS reiterated Buy on CAH

Initiated

2026-08-19 · RBC Capital started covering CAH at Outperform

Reiterated

2026-08-13 · TD Cowen reiterated Buy on CAH

Reiterated

2026-08-13 · JP Morgan reiterated Neutral on CAH

Reiterated

2026-08-13 · Barclays reiterated Overweight on CAH

Third-party analyst actions, not Coteau's views. All rating changes

Recent dividends

2026-10-01: $0.516 · 2026-07-01: $0.516 · 2026-04-01: $0.511 · 2026-01-02: $0.511 · 2025-10-01: $0.511 · 2025-07-01: $0.511 · 2025-04-01: $0.506 · 2025-01-02: $0.506

Insider trades

Hollar Jason M.