Is Cardinal Health Stock a Good Investment?
Cardinal Health Investment Advice | CAH |
- Examine Cardinal Health's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Cardinal Health's leadership team and their track record. Good management can help Cardinal Health navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Health Care Providers & Services space and any emerging trends that could impact Cardinal Health's business and its evolving consumer preferences.
- Compare Cardinal Health's performance and market position to its competitors. Analyze how Cardinal Health is positioned in terms of product offerings, innovation, and market share.
- Check if Cardinal Health pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Cardinal Health's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Cardinal Health stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Cardinal Health is a good investment.
Sell | Buy |
Hold
Market Performance | Modest | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Slowly supersedes the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Cardinal Health Stock
Researching Cardinal Health's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 89.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 0.95. Cardinal Health recorded earning per share (EPS) of 5.37. The entity last dividend was issued on the 1st of April 2025. The firm had 3:2 split on the 23rd of April 2001.
To determine if Cardinal Health is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Cardinal Health's research are outlined below:
| Over 89.0% of the company shares are held by institutions such as insurance companies | |
| On 15th of January 2025 Cardinal Health paid $ 0.5056 per share dividend to its current shareholders | |
| Latest headline from thelincolnianonline.com: HealthInvest Partners AB Has 3.62 Million Stock Holdings in Cardinal Health, Inc. |
Cardinal Health Quarterly Liabilities And Stockholders Equity |
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Cardinal Health uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Cardinal Health. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Cardinal Health's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 1st of February 2024 Upcoming Quarterly Report | View | |
| 2nd of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 20th of August 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 30th of June 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Cardinal Health's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Cardinal Health's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2005-10-26 | 2005-09-30 | 0.72 | 0.63 | -0.09 | 12 | ||
2010-01-28 | 2009-12-31 | 0.46 | 0.57 | 0.11 | 23 | ||
2009-11-05 | 2009-09-30 | 0.43 | 0.54 | 0.11 | 25 | ||
2005-08-05 | 2005-06-30 | 0.89 | 0.78 | -0.11 | 12 | ||
2020-08-06 | 2020-06-30 | 0.92 | 1.04 | 0.12 | 13 | ||
2011-04-28 | 2011-03-31 | 0.69 | 0.81 | 0.12 | 17 | ||
2011-02-03 | 2010-12-31 | 0.61 | 0.73 | 0.12 | 19 | ||
2022-08-11 | 2022-06-30 | 1.18 | 1.05 | -0.13 | 11 |
Cardinal Health Target Price Consensus
Cardinal target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Cardinal Health's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 17 | Buy |
Most Cardinal analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Cardinal stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Cardinal Health, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationCardinal Health Target Price Projection
Cardinal Health's current and average target prices are 127.55 and 132.14, respectively. The current price of Cardinal Health is the price at which Cardinal Health is currently trading. On the other hand, Cardinal Health's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Current Price
Cardinal Health Market Quote on 25th of February 2025
Target Price
Analyst Consensus On Cardinal Health Target Price
Cardinal Health Analyst Ratings
Cardinal Health's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Cardinal Health stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Cardinal Health's financials, market performance, and future outlook by experienced professionals. Cardinal Health's historical ratings below, therefore, can serve as a valuable tool for investors.Know Cardinal Health's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Cardinal Health is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Cardinal Health backward and forwards among themselves. Cardinal Health's institutional investor refers to the entity that pools money to purchase Cardinal Health's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Northern Trust Corp | 2024-12-31 | 3 M | Bank Of America Corp | 2024-12-31 | 2.7 M | Aqr Capital Management Llc | 2024-12-31 | 2.6 M | Ubs Asset Mgmt Americas Inc | 2024-12-31 | 2.3 M | Legal & General Group Plc | 2024-12-31 | 2.3 M | Amundi | 2024-12-31 | 2.1 M | Norges Bank | 2024-12-31 | 2.1 M | Lsv Asset Management | 2024-12-31 | 2 M | Proshare Advisors Llc | 2024-12-31 | 1.7 M | Blackrock Inc | 2024-12-31 | 32.2 M | Vanguard Group Inc | 2024-12-31 | 30.8 M |
Cardinal Health's market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 30.87 B.Market Cap |
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Cardinal Health's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.05 | 0.05 | |
| Return On Capital Employed | 0.13 | 0.17 | |
| Return On Assets | 0.05 | 0.04 | |
| Return On Equity | 0.13 | 0.12 |
Determining Cardinal Health's profitability involves analyzing its financial statements and using various financial metrics to determine if Cardinal Health is a good buy. For example, gross profit margin measures Cardinal Health's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Cardinal Health's profitability and make more informed investment decisions.
Cardinal Health's Earnings Breakdown by Geography
Evaluate Cardinal Health's management efficiency
Cardinal Health has Return on Asset of 0.0301 % which means that on every $100 spent on assets, it made $0.0301 of profit. This is way below average. Cardinal Health's management efficiency ratios could be used to measure how well Cardinal Health manages its routine affairs as well as how well it operates its assets and liabilities. The Cardinal Health's current Return On Capital Employed is estimated to increase to 0.17, while Return On Tangible Assets are projected to decrease to 0.05. As of now, Cardinal Health's Total Current Assets are increasing as compared to previous years. The Cardinal Health's current Intangible Assets is estimated to increase to about 2.2 B, while Non Current Assets Total are projected to decrease to under 6.5 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 3.20 | 3.04 | |
| Tangible Book Value Per Share | 3.20 | 3.35 | |
| Enterprise Value Over EBITDA | 7.95 | 9.79 | |
| Price Book Value Ratio | 1.58 | 2.08 | |
| Enterprise Value Multiple | 7.95 | 9.79 | |
| Price Fair Value | 1.58 | 2.08 | |
| Enterprise Value | 473.9 M | 450.2 M |
Evaluating the management effectiveness of Cardinal Health allows investors to assess its financial health and operational efficiency. Coupled with an analysis of its growth prospects and the current market dynamics, we evaluate the stock's true value and future potential. Key indicators such as revenue, earnings or debt levels are examined alongside external factors like economic trends and regulatory changes. The Cardinal Stock analysis seeks to determine whether the stock is undervalued, appropriately priced, or overvalued, thereby guiding your investment decisions.
Basic technical analysis of Cardinal Stock
As of the 25th of February, Cardinal Health shows the Risk Adjusted Performance of 0.0826, downside deviation of 1.26, and Mean Deviation of 0.8136. Cardinal Health technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.Cardinal Health's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Cardinal Health insiders, such as employees or executives, is commonly permitted as long as it does not rely on Cardinal Health's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Cardinal Health insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Michelle Greene over a week ago Disposition of 636 shares by Michelle Greene of Cardinal Health at 126.21 subject to Rule 16b-3 | ||
Carole Watkins over a year ago Bona fide gift to Carole Watkins of 162 shares of Cardinal Health subject to Section 16 | ||
Deborah Weitzman over a year ago Acquisition by Deborah Weitzman of 12760 shares of Cardinal Health subject to Rule 16b-3 |
Cardinal Health's Outstanding Corporate Bonds
Cardinal Health issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Cardinal Health uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Cardinal bonds can be classified according to their maturity, which is the date when Cardinal Health has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| CARDINAL HEALTH INC Corp BondUS14149YAW84 | View | |
| CARDINAL HEALTH INC Corp BondUS14149YBJ64 | View | |
| CARDINAL HEALTH INC Corp BondUS14149YBE77 | View | |
| CARDINAL HEALTH INC Corp BondUS14149YBD94 | View | |
| CARDINAL HEALTH INC Corp BondUS14149YBB39 | View | |
| CARDINAL HEALTH INC Corp BondUS14149YBM93 | View |
Understand Cardinal Health's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Cardinal Health's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0826 | |||
| Market Risk Adjusted Performance | 0.3431 | |||
| Mean Deviation | 0.8136 | |||
| Semi Deviation | 1.08 | |||
| Downside Deviation | 1.26 | |||
| Coefficient Of Variation | 927.82 | |||
| Standard Deviation | 1.12 | |||
| Variance | 1.25 | |||
| Information Ratio | 0.0944 | |||
| Jensen Alpha | 0.1091 | |||
| Total Risk Alpha | 0.1032 | |||
| Sortino Ratio | 0.0839 | |||
| Treynor Ratio | 0.3331 | |||
| Maximum Drawdown | 6.21 | |||
| Value At Risk | (1.92) | |||
| Potential Upside | 1.82 | |||
| Downside Variance | 1.59 | |||
| Semi Variance | 1.16 | |||
| Expected Short fall | (0.80) | |||
| Skewness | (0.54) | |||
| Kurtosis | 1.42 |
| Risk Adjusted Performance | 0.0826 | |||
| Market Risk Adjusted Performance | 0.3431 | |||
| Mean Deviation | 0.8136 | |||
| Semi Deviation | 1.08 | |||
| Downside Deviation | 1.26 | |||
| Coefficient Of Variation | 927.82 | |||
| Standard Deviation | 1.12 | |||
| Variance | 1.25 | |||
| Information Ratio | 0.0944 | |||
| Jensen Alpha | 0.1091 | |||
| Total Risk Alpha | 0.1032 | |||
| Sortino Ratio | 0.0839 | |||
| Treynor Ratio | 0.3331 | |||
| Maximum Drawdown | 6.21 | |||
| Value At Risk | (1.92) | |||
| Potential Upside | 1.82 | |||
| Downside Variance | 1.59 | |||
| Semi Variance | 1.16 | |||
| Expected Short fall | (0.80) | |||
| Skewness | (0.54) | |||
| Kurtosis | 1.42 |
Consider Cardinal Health's intraday indicators
Cardinal Health intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Cardinal Health stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Cardinal Health Corporate Filings
F4 | 18th of February 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
| 7th of February 2025 Other Reports | ViewVerify | |
8K | 30th of January 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 15th of November 2024 Other Reports | ViewVerify |
Cardinal Stock media impact
Far too much social signal, news, headlines, and media speculation about Cardinal Health that are available to investors today. That information is available publicly through Cardinal media outlets and privately through word of mouth or via Cardinal internal channels. However, regardless of the origin, that massive amount of Cardinal data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Cardinal Health news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Cardinal Health relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Cardinal Health's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Cardinal Health alpha.
Cardinal Health Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Cardinal Health can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Cardinal Health Historical Investor Sentiment
Investor biases related to Cardinal Health's public news can be used to forecast risks associated with an investment in Cardinal. The trend in average sentiment can be used to explain how an investor holding Cardinal can time the market purely based on public headlines and social activities around Cardinal Health. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Cardinal Health's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Cardinal Health and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Cardinal Health news discussions. The higher the estimate score, the more favorable the investor's outlook on Cardinal Health.
Cardinal Health Maximum Pain Price Across April 17th 2025 Option Contracts
Cardinal Health's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Cardinal Health close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Cardinal Health's options.
Cardinal Health Corporate Directors
| John Losh | Independent Director | Profile | |
| Nancy Killefer | Independent Director | Profile | |
| Patricia Hall | Independent Director | Profile | |
| Calvin Darden | Independent Director | Profile |
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Cardinal Health. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in nation. For more detail on how to invest in Cardinal Stock please use our How to Invest in Cardinal Health guide.You can also try the Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Is Health Care Providers & Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Cardinal Health. If investors know Cardinal will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Cardinal Health listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.1 | Dividend Share 2.017 | Earnings Share 5.37 | Revenue Per Share | Quarterly Revenue Growth (0.04) |
The market value of Cardinal Health is measured differently than its book value, which is the value of Cardinal that is recorded on the company's balance sheet. Investors also form their own opinion of Cardinal Health's value that differs from its market value or its book value, called intrinsic value, which is Cardinal Health's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Cardinal Health's market value can be influenced by many factors that don't directly affect Cardinal Health's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Cardinal Health's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Cardinal Health is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cardinal Health's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.