CAH Stock Analysis: Cardinal Health | NYSE
Medical Distribution | NYSE, USA | Market Cap: 54.460m USD | 12M Return: 57.7% | US14149Y1082 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 463M
EPS Trend: 97.5%
Qual. Beats: 4
Rev. Trend: 90.7%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Cardinal Health is a major U.S.-based healthcare services and products company that operates in two core segments: Pharmaceutical and Specialty Solutions, and Global Medical Products and Distribution. The company serves a broad customer base including hospitals, healthcare systems, pharmacies, ambulatory surgery centers, clinical laboratories, physician offices, and home-based patients, offering branded and generic pharmaceuticals, specialty drugs, over-the-counter products, and a wide range of medical, surgical, and laboratory supplies.
In addition to distribution, Cardinal Health provides value-added services such as pharmacy management for hospitals, retail pharmacy operations (including those in community health centers), repackaging of generic drugs, radiopharmaceutical manufacturing, and the assembly of sterile and non-sterile procedure kits. The company was incorporated in 1979 and is headquartered in Dublin, Ohio.
As a healthcare distributor, Cardinal Health operates within a highly concentrated industry historically dominated by a small number of large wholesalers, which typically compete on scale, logistics efficiency, and the depth of value-added services offered to providers and manufacturers. The drug distribution business is characterized by high volume and relatively thin margins, with profitability often tied to the mix of generic versus branded pharmaceutical sales and growth in higher-margin specialty pharmaceuticals and services.
- GLP-1 obesity drug volumes boost pharmaceutical segment revenue
- OptumRx distribution contract renewal terms shape revenue outlook
- Medical segment margins face pressure from hospital utilization trends
| Net Income: 1.71b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA 4.41 > 1.0 |
| NWC/Revenue: -2.03% < 20% (prev -1.13%; Δ -0.89% < -1%) |
| CFO/TA 0.09 > 3% & CFO 5.17b > Net Income 1.71b |
| Net Debt (5.09b) to EBITDA (3.48b): 1.46 < 3 |
| Current Ratio: 0.88 > 1.5 & < 3 |
| Outstanding Shares: last quarter (237.0m) vs 12m ago -1.25% < -2% |
| Gross Margin: 3.84% > 18% (prev 3.67%; Δ 0.17% > 0.5%) |
| Asset Turnover: 460.5% > 50% (prev 419.0%; Δ 41.51% > 0%) |
| Interest Coverage Ratio: 7.25 > 6 (EBIT TTM 2.52b / Interest Expense TTM 348.0m) |
| A: -0.09 (Total Current Assets 38.8b - Total Current Liabilities 43.9b) / Total Assets 57.3b |
| B: 0.04 (Retained Earnings 2.01b / Total Assets 57.3b) |
| C: 0.05 (EBIT TTM 2.52b / Avg Total Assets 55.2b) |
| D: -0.05 (Book Value of Equity -2.88b / Total Liabilities 60.0b) |
| Altman-Z'' = -0.22 = B |
| DSRI: 0.91 (Receivables 13.8b/13.2b, Revenue 254b/223b) |
| GMI: 0.95 (GM 3.67% / 3.84%) |
| AQI: 0.97 (AQ_t 0.25 / AQ_t-1 0.26) |
| SGI: 1.14 (Revenue 254b / 223b) |
| TATA: -0.06 (NI 1.71b - CFO 5.17b) / TA 57.3b) |
| Beneish M = -3.06 (Cap -4..+1) = AA |
As of August 14, 2026, the stock is trading at USD 231.24 with a total of 1,947,768 shares traded. Over the past week, the price has changed by -2.70%, over one month by -1.04%, over three months by +24.36% and over the past year by +57.74%.
Current recommended Stop Loss: 215.70 (which is 6.7% or 2.3 ATR below the current price).
Cardinal Health has received a consensus analysts rating of 4.12. Therefore, it is recommended to buy CAH.
- StrongBuy: 9
- Buy: 2
- Hold: 5
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 252.4 | 9.2% |
P/E Trailing = 33.2142
P/E Forward = 19.9601
P/S = 0.2142
P/B = 16.0657
P/EG = 1.4686
Revenue TTM = 254b USD
EBIT TTM = 2.52b USD
EBITDA TTM = 3.48b USD
Long Term Debt = 8.24b USD (from longTermDebt, two quarters ago)
Short Term Debt = 2.08b USD (from shortTermDebt, last quarter)
Debt = 9.95b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 5.09b USD (calculated: Debt 9.95b - CCE 4.86b)
Enterprise Value = 59.6b USD (54.5b + Debt 9.95b - CCE 4.86b)
Interest Coverage Ratio = 7.25 (Ebit TTM 2.52b / Interest Expense TTM 348.0m)
EV/FCF = 13.16x (Enterprise Value 59.6b / FCF TTM 4.53b)
FCF Yield = 7.60% (FCF TTM 4.53b / Enterprise Value 59.6b)
FCF Margin = 1.78% (FCF TTM 4.53b / Revenue TTM 254b)
Net Margin = 0.67% (Net Income TTM 1.71b / Revenue TTM 254b)
Gross Margin = 3.84% ((Revenue TTM 254b - Cost of Revenue TTM 244b) / Revenue TTM)
Gross Margin QoQ = 4.30% (prev 4.10%)
Tobins Q-Ratio = 1.04 (Enterprise Value 59.6b / Total Assets 57.3b)
Interest Expense / Debt = 3.50% (Interest Expense 348.0m / Debt 9.95b)
Taxrate = 21.57% (469.0m / 2.17b)
NOPAT = 1.98b (EBIT 2.52b * (1 - 21.57%))
Current Ratio = 0.88 (Total Current Assets 38.8b / Total Current Liabilities 43.9b)
Debt / Equity = -3.45 (negative equity) (Debt 9.95b / totalStockholderEquity, last quarter -2.88b)
Debt / EBITDA = 1.46 (Net Debt 5.09b / EBITDA 3.48b)
Debt / FCF = 1.13 (Net Debt 5.09b / FCF TTM 4.53b)
Total Stockholder Equity = -2.87b (last 4 quarters mean from totalStockholderEquity)
RoA = 3.10% (Net Income 1.71b / Total Assets 57.3b)
RoE = -59.73% (negative equity) (Net Income TTM 1.71b / Total Stockholder Equity -2.87b)
RoCE = 46.92% (EBIT 2.52b / Capital Employed (Equity -2.87b + L.T.Debt 8.24b))
RoIC = 18.62% (NOPAT 1.98b / Invested Capital 10.6b)
WACC = 5.36% (E(54.5b)/V(64.4b) * Re(5.84%) + D(9.95b)/V(64.4b) * Rd(3.50%) * (1-Tc(0.22)))
Discount Rate = 5.84% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -97.10 | Cagr: -1.46%
[DCF] Terminal Value 77.97% ; FCFF base≈3.46b ; Y1≈3.96b ; Y5≈5.83b
[DCF] Fair Price = 355.3 (EV 87.7b - Net Debt 5.09b = Equity 82.6b / Shares 232.6m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 97.53 | EPS CAGR: 20.45% | SUE: 4.0 | # QB: 4
Revenue Correlation: 90.73 | Revenue CAGR: 6.20% | SUE: -0.83 | # QB: 0
EPS current Quarter (2026-09-30): EPS=2.88 | Chg30d=+0.19% | Revisions=+0% | Analysts=11
EPS next Quarter (2026-12-31): EPS=2.98 | Chg30d=+0.11% | Revisions=+0% | Analysts=11
EPS current Year (2027-06-30): EPS=12.05 | Chg30d=+0.48% | Revisions=+30% | GrowthEPS=+10.1% | GrowthRev=+8.8%
EPS next Year (2028-06-30): EPS=13.59 | Chg30d=+0.52% | Revisions=+10% | GrowthEPS=+12.8% | GrowthRev=+7.7%
[Analyst] Revisions Ratio: +19% (up=11, down=7)