| Snowflake Score | |
|---|---|
| Valuation | 5/6 |
| Future Growth | 4/6 |
| Past Performance | 0/6 |
| Financial Health | 2/6 |
| Dividends | 4/6 |
CAH Stock Overview
Cardinal Health, Inc. operates as an integrated healthcare services and products company in the United States, Canada, Europe, Asia, and internationally.
Cardinal Health Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$66.05 |
| 52 Week High | US$72.28 |
| 52 Week Low | US$45.85 |
| Beta | 0.79 |
| 1 Month Change | -4.41% |
| 3 Month Change | 21.30% |
| 1 Year Change | 29.03% |
| 3 Year Change | 38.85% |
| 5 Year Change | -1.30% |
| Change since IPO | 1,695.42% |
Recent News & Updates
PayrHealth to collaborate with Cardinal Health
PayrHealth said it had collaboration with Cardinal Health (NYSE:CAH) to help specialty physician practices simplify payor contracting and maximize financial performance. The solutions will help practices achieve CAH's financial goals and will focus on rheumatology and ophthalmology practices, with plans to expand to other therapeutic areas in the future. "We look forward to combining our expertise in payor contracting with Cardinal Health's strong network to enable providers to better serve their patients," said Armando Cardoso, CEO at PayrHealth.
Cardinal Health in pact with activist investor Elliot for value creation measures
Healthcare distributor Cardinal Health, Inc. (NYSE:CAH) announced several initiatives for shareholder value creation and changes to the company's board on Tuesday with input from activist investor Elliott Investment Management L.P. Following a corporation agreement with Elliott, CAH has decided to accommodate the fund manager's Global Head of Engagement Steven Barg to the company's board of directors. The changes include the immediate appointment of four new independent directors, including Mr. Barg, to the board. However, with two current board members deciding to end their terms this fall, the CAH board will comprise 13 members. Mr. Barg and the company's Chief Executive Jason Hollar will be part of the board's newly formed Business Review Committee. Business Review Committee will make recommendations to the board after a review of CAH's strategy, portfolio, capital allocation, and operations to maximize the benefits for all stakeholders. More details on additional guidance and the board's conclusions are expected at the company's Investor Day scheduled for 1H 2023. CAH’s deal with Elliot comes at a time when the company shares are trailing the rival McKesson’s (MCK) for the past 12 months, as shown in this graph.
Shareholder Returns
| CAH | US Healthcare | US Market | |
|---|---|---|---|
| 7D | -1.2% | -3.4% | -5.2% |
| 1Y | 29.0% | 6.1% | -23.1% |
Return vs Industry: CAH exceeded the US Healthcare industry which returned 6.1% over the past year.
Return vs Market: CAH exceeded the US Market which returned -23.1% over the past year.
Price Volatility
| CAH volatility | |
|---|---|
| CAH Average Weekly Movement | 3.5% |
| Healthcare Industry Average Movement | 8.2% |
| Market Average Movement | 6.9% |
| 10% most volatile stocks in US Market | 15.9% |
| 10% least volatile stocks in US Market | 2.8% |
Stable Share Price: CAH is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: CAH's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1979 | 46,035 | Jason Hollar | https://www.cardinalhealth.com |
Cardinal Health, Inc. operates as an integrated 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. The company operates in two segments, Pharmaceutical and Medical.
Cardinal Health Fundamentals Summary
| CAH fundamental statistics | |
|---|---|
| Market Cap | US$18.00b |
| Earnings (TTM) | -US$933.00m |
| Revenue (TTM) | US$181.36b |
0.1x
P/S Ratio-19.3x
P/E RatioIs CAH overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| CAH income statement (TTM) | |
|---|---|
| Revenue | US$181.36b |
| Cost of Revenue | US$174.82b |
| Gross Profit | US$6.55b |
| Other Expenses | US$7.48b |
| Earnings | -US$933.00m |
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | -3.42 |
| Gross Margin | 3.61% |
| Net Profit Margin | -0.51% |
| Debt/Equity Ratio | -748.7% |
How did CAH perform over the long term?
See historical performance and comparisonDividends
3.0%
Current Dividend Yield-59%
Payout RatioDoes CAH pay a reliable dividends?
See CAH dividend history and benchmarks| Cardinal Health dividend dates | |
|---|---|
| Ex Dividend Date | Sep 30 2022 |
| Dividend Pay Date | Oct 15 2022 |
| Days until Ex dividend | 5 days |
| Days until Dividend pay date | 20 days |
Does CAH pay a reliable dividends?
See CAH dividend history and benchmarksValuation
Is CAH undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast
Key Valuation Metric
Which metric is best to use when looking at relative valuation for CAH?
Other financial metrics that can be useful for relative valuation.
| What is CAH's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$18.00b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 0.1x |
| Enterprise Value/EBITDA | 8.1x |
| PEG Ratio | n/a |
Price to Sales Ratio vs Peers
How does CAH's PS Ratio compare to its peers?
| CAH PS Ratio vs Peers |
|---|
| Company | PS | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 0.4x | ||
ABC AmerisourceBergen | 0.1x | 5.2% | US$28.4b |
HSIC Henry Schein | 0.7x | 3.4% | US$9.2b |
MCK McKesson | 0.2x | 4.8% | US$49.3b |
CVET Covetrus | 0.6x | 6.3% | US$2.9b |
CAH Cardinal Health | 0.1x | 5.1% | US$18.0b |
Price-To-Sales vs Peers: CAH is good value based on its Price-To-Sales Ratio (0.1x) compared to the peer average (0.4x).
Price to Earnings Ratio vs Industry
How does CAH's PE Ratio compare vs other companies in the US Healthcare Industry?
Price-To-Sales vs Industry: CAH is good value based on its Price-To-Sales Ratio (0.1x) compared to the US Healthcare industry average (1.2x)
Price to Sales Ratio vs Fair Ratio
What is CAH's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PS Ratio | 0.1x |
| Fair PS Ratio | 1x |
Price-To-Sales vs Fair Ratio: CAH is good value based on its Price-To-Sales Ratio (0.1x) compared to the estimated Fair Price-To-Sales Ratio (1x).
Share Price vs Fair Value
What is the Fair Price of CAH when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: CAH ($66.05) is trading below our estimate of fair value ($166.68)
Significantly Below Fair Value: CAH is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is less than 20% higher than the current share price.
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Future Growth
How is Cardinal Health forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
Future Growth Score
4/6Future Growth Score 4/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
29.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CAH is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).
Earnings vs Market: CAH is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: CAH is expected to become profitable in the next 3 years.
Revenue vs Market: CAH's revenue (5.1% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: CAH's revenue (5.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CAH's Return on Equity is forecast to be very high in 3 years time (4247.1%).
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Past Performance
How has Cardinal Health performed over the past 5 years?
Past Performance Score
0/6Past Performance Score 0/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-17.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CAH is currently unprofitable.
Growing Profit Margin: CAH is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: CAH is unprofitable, and losses have increased over the past 5 years at a rate of 17.6% per year.
Accelerating Growth: Unable to compare CAH's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: CAH is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare industry (3.2%).
Return on Equity
High ROE: CAH's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
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Financial Health
How is Cardinal Health's financial position?
Financial Health Score
2/6Financial Health Score 2/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: CAH has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: CAH has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: CAH has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: CAH's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: CAH's debt is well covered by operating cash flow (59.1%).
Interest Coverage: CAH's interest payments on its debt are well covered by EBIT (11.2x coverage).
Balance Sheet
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Dividend
What is Cardinal Health current dividend yield, its reliability and sustainability?
Dividend Score
4/6Dividend Score 4/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage
3.00%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: CAH's dividend (3%) is higher than the bottom 25% of dividend payers in the US market (1.65%).
High Dividend: CAH's dividend (3%) is low compared to the top 25% of dividend payers in the US market (4.57%).
Stability and Growth of Payments
Stable Dividend: CAH's dividends per share have been stable in the past 10 years.
Growing Dividend: CAH's dividend payments have increased over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: CAH is paying a dividend but the company is unprofitable.
Cash Payout to Shareholders
Cash Flow Coverage: With its low cash payout ratio (19.8%), CAH's dividend payments are well covered by cash flows.
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Management
How experienced are the management team and are they aligned to shareholders interests?
3.0yrs
Average management tenure
CEO
Jason Hollar (49 yo)
no data
Tenure
US$3,950,860
Compensation
Mr. Jason M. Hollar has been Chief Executive Officer of Cardinal Health, Inc. since September 01, 2022. He serves as Director at Cardinal Health, Inc. from August 11, 2022 and had been Chief Financial Offi...
CEO Compensation Analysis
Compensation vs Market: Jason's total compensation ($USD3.95M) is below average for companies of similar size in the US market ($USD13.05M).
Compensation vs Earnings: Jason's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: CAH's management team is considered experienced (3 years average tenure).
Board Members
Experienced Board: CAH's board of directors are considered experienced (4.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Date | Value | Name | Entity | Role | Shares | Max Price |
|---|---|---|---|---|---|---|
| 18 Nov 21 | SellUS$491,700 | Ola Snow | Individual | 10,000 | US$49.17 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
| Ownership | Name | Shares | Current Value | Change % | Portfolio % | |
|---|---|---|---|---|---|---|
| 33,604,357 | $2.2b | -0.39% | 0.05% | |||
| 28,946,151 | $1.9b | 27.05% | 0.05% | |||
| 20,370,803 | $1.3b | -6.57% | 0.07% | |||
| 11,843,165 | $782.2m | -20.51% | 0.09% | |||
| 5,509,885 | $363.9m | 2.49% | 0.08% | |||
| 5,310,281 | $350.7m | -2.02% | 0.05% | |||
| 5,044,068 | $333.2m | 879.99% | 0.1% | |||
| 5,013,573 | $331.1m | -11.59% | 0.26% | |||
| 4,620,396 | $305.2m | -0.4% | 0.03% | |||
| 3,503,868 | $231.4m | -4.45% | 0.05% | |||
| 3,325,652 | $219.7m | -29.23% | 0.16% | |||
| 2,977,510 | $196.7m | 0% | 0.03% | |||
| 2,926,492 | $193.3m | 35.17% | 0.04% | |||
| 2,895,642 | $191.3m | -2.61% | 0.59% | |||
| 2,876,940 | $190.0m | 172.93% | 0.25% | |||
| 2,808,710 | $185.5m | 1.84% | 0.56% | |||
| 2,733,764 | $180.6m | -11.76% | 0.6% | |||
| 2,707,824 | $178.9m | -0.16% | 0.03% | |||
| 2,524,352 | $166.7m | -0.33% | 0.34% | |||
| 2,433,653 | $160.7m | -0.81% | 0.04% | |||
| 2,406,150 | $158.9m | 5.64% | 0.23% | |||
| 2,352,350 | $155.4m | -1.71% | 0.05% | |||
| 1,997,395 | $131.9m | -3.26% | 0.62% | |||
| 1,857,154 | $122.7m | -4.15% | 0.03% | |||
| 1,851,760 | $122.3m | -12.42% | 0.04% |
Company Information
Cardinal Health, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Cardinal Health, Inc.
- Ticker: CAH
- Exchange: NYSE
- Founded: 1979
- Industry: Health Care Distributors
- Sector: Healthcare
- Implied Market Cap: US$17.999b
- Shares outstanding: 272.51m
- Website: https://www.cardinalhealth.com
Number of Employees
Location
- Cardinal Health, Inc.
- 7000 Cardinal Place
- Dublin
- Ohio
- 43017
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CAH | NYSE (New York Stock Exchange) | Yes | Class A Common Shares | US | USD | Aug 1983 |
| CLH | DB (Deutsche Boerse AG) | Yes | Class A Common Shares | DE | EUR | Aug 1983 |
| CAH * | BMV (Bolsa Mexicana de Valores) | Yes | Class A Common Shares | MX | MXN | Aug 1983 |
| 0HTG | LSE (London Stock Exchange) | Yes | Class A Common Shares | GB | USD | Aug 1983 |
| CAH | BASE (Buenos Aires Stock Exchange) | CEDEAR EACH 3 REP 1 NPV (USD) | AR | ARS | Sep 2000 | |
| CAHD | BASE (Buenos Aires Stock Exchange) | CEDEAR EACH 3 REP 1 NPV (USD) | AR | USD | Sep 2000 | |
| C1AH34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 1 COM NPV | BR | BRL | Jan 2020 |
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/09/24 00:00 |
| End of Day Share Price | 2022/09/23 00:00 |
| Earnings | 2022/06/30 |
| Annual Earnings | 2022/06/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.