NYSE:CAH

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Executive Summary

Cardinal Health, Inc. operates as an integrated healthcare services and products company in the United States and internationally. More Details


Snowflake Analysis

Reasonable growth potential average dividend payer.


Similar Companies

Share Price & News

How has Cardinal Health's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CAH's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-3.9%

CAH

-4.5%

US Healthcare

-3.3%

US Market


1 Year Return

-3.7%

CAH

17.2%

US Healthcare

10.9%

US Market

Return vs Industry: CAH underperformed the US Healthcare industry which returned 17.2% over the past year.

Return vs Market: CAH underperformed the US Market which returned 10.9% over the past year.


Shareholder returns

CAHIndustryMarket
7 Day-3.9%-4.5%-3.3%
30 Day-10.1%-7.2%-5.7%
90 Day-9.4%-1.0%8.2%
1 Year0.1%-3.7%18.8%17.2%13.4%10.9%
3 Year-24.1%-31.5%20.9%15.6%34.9%25.9%
5 Year-32.4%-41.7%48.9%38.3%84.6%63.8%

Price Volatility Vs. Market

How volatile is Cardinal Health's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Cardinal Health undervalued compared to its fair value and its price relative to the market?

7.5x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: CAH ($45.81) is trading above our estimate of fair value ($42.87)

Significantly Below Fair Value: CAH is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CAH is unprofitable, so we can't compare its PE Ratio to the US Healthcare industry average.

PE vs Market: CAH is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CAH's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CAH is overvalued based on its PB Ratio (7.5x) compared to the US Healthcare industry average (2.6x).


Next Steps

Future Growth

How is Cardinal Health forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

48.5%

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 (2.2%).

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's is expected to become profitable in the next 3 years.

Revenue vs Market: CAH's revenue (4.3% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: CAH's revenue (4.3% 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 (60.2%).


Next Steps

Past Performance

How has Cardinal Health performed over the past 5 years?

-61.2%

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 61.2% 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 (31.1%).


Return on Equity

High ROE: CAH has a negative Return on Equity (-206.08%), as it is currently unprofitable.


Next Steps

Financial Health

How is Cardinal Health's financial position?


Financial Position Analysis

Short Term Liabilities: CAH's short term assets ($25.9B) exceed its short term liabilities ($23.6B).

Long Term Liabilities: CAH's short term assets ($25.9B) exceed its long term liabilities ($15.4B).


Debt to Equity History and Analysis

Debt Level: CAH's debt to equity ratio (377.1%) is considered high.

Reducing Debt: CAH's debt to equity ratio has increased from 87.7% to 377.1% over the past 5 years.

Debt Coverage: CAH's debt is well covered by operating cash flow (29%).

Interest Coverage: CAH is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Cardinal Health current dividend yield, its reliability and sustainability?

4.24%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: CAH's dividend (4.24%) is higher than the bottom 25% of dividend payers in the US market (1.75%).

High Dividend: CAH's dividend (4.24%) is low compared to the top 25% of dividend payers in the US market (5.03%).


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.


Current Payout to Shareholders

Dividend Coverage: CAH is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: CAH's dividends in 3 years are forecast to be well covered by earnings (34.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average management tenure


CEO

Mike Kaufmann (57 yo)

2.67yrs

Tenure

US$15,571,004

Compensation

Mr. Michael C. Kaufmann, also known as Mike, has been the Chief Executive Officer and Director of Cardinal Health, Inc. since January 1, 2018. Mr. Kaufmann served as the Chief Financial Officer at Cardinal ...


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD15.57M) is above average for companies of similar size in the US market ($USD11.35M).

Compensation vs Earnings: Mike's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Michael Kaufmann
CEO & Director2.67yrsUS$15.57m0.073%
$ 9.8m
Jessica Mayer
Chief Legal & Compliance Officer1.5yrsUS$2.97m0.0078%
$ 1.1m
Victor Crawford
Chief Executive Officer of Pharmaceutical Segment1.83yrsUS$6.73m0.0035%
$ 467.7k
Jason Hollar
Chief Financial Officer0.33yrno data0%
$ 0
Patricia English
Senior VP & Chief Accounting Officerno datano data0.0032%
$ 431.4k
Brian Rice
Chief Information Officer1.58yrsno data0.0017%
$ 232.5k
Kevin Moran
Vice President of Investor Relations1yrno datano data
Michele A. Holcomb
Executive Vice President of Strategy & Corporate Development3.67yrsno data0.0050%
$ 677.4k
Ola Snow
Chief Human Resources Officer1.92yrsno data0.013%
$ 1.7m
Craig Cowman
Executive Vice President of Global Sourcingno datano datano data
G. Ellis
Senior VP & General Manager of Innovative Delivery Solutionsno datano datano data
Stephen Mason
Chief Executive Officer of Medical Segment1.08yrsno data0.0052%
$ 701.6k

1.6yrs

Average Tenure

52yo

Average Age

Experienced Management: CAH's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Michael Kaufmann
CEO & Director2.67yrsUS$15.57m0.073%
$ 9.8m
Calvin Darden
Independent Director14.83yrsUS$288.25k0.0015%
$ 197.6k
Carrie Cox
Independent Director10.75yrsUS$301.24k0.00015%
$ 20.2k
Dean Scarborough
Independent Director1yrno datano data
John Weiland
Independent Director1yrno datano data
Bruce Downey
Independent Director11.08yrsUS$303.25k0.0036%
$ 489.2k
Gregory Kenny
Independent Non-Executive Chairman1.83yrsUS$504.95kno data
John Losh
Independent Director1.75yrsUS$238.98kno data
Patricia Hemingway Hall
Independent Director7yrsUS$287.99k0.0026%
$ 342.7k
Colleen Arnold
Independent Director13.08yrsUS$278.25k0.0011%
$ 145.2k
Nancy Killefer
Independent Director5yrsUS$278.25kno data
Akhil Johri
Independent Director2.58yrsUS$397.83kno data

3.8yrs

Average Tenure

66yo

Average Age

Experienced Board: CAH's board of directors are considered experienced (3.8 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Cardinal Health, Inc.'s company bio, 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
  • Market Cap: US$13.440b
  • Shares outstanding: 293.39m
  • Website: https://www.cardinalhealth.com

Number of Employees


Location

  • Cardinal Health, Inc.
  • 7000 Cardinal Place
  • Dublin
  • Ohio
  • 43017
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CAHNYSE (New York Stock Exchange)YesClass A Common SharesUSUSDAug 1983
CLHDB (Deutsche Boerse AG)YesClass A Common SharesDEEURAug 1983
CAH *BMV (Bolsa Mexicana de Valores)YesClass A Common SharesMXMXNAug 1983
0HTGLSE (London Stock Exchange)YesClass A Common SharesGBUSDAug 1983
C1AH34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COM NPVBRBRLJan 2020

Biography

Cardinal Health, Inc. operates as an integrated healthcare services and products company in the United States and internationally. It provides customized solutions for hospitals, healthcare systems, pharma ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/25 05:48
End of Day Share Price2020/09/24 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.