Cardinal Health Inc. (CAH) Stock

Cardinal Health Inc. trades at a P/E ratio of 26.16, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. Looking ahead, the forward P/E of 18.08 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 0.82 suggests the stock may be undervalued relative to its growth rate.

With a beta of 0.68, Cardinal Health Inc. is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability. The price-to-book ratio of 16.07 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Cardinal Health Inc. achieves a profit margin of 0.70%, meaning it retains $0.70 from every $100 in revenue after all expenses. This relatively low margin suggests the company operates in a competitive environment or high-cost industry where profitability is challenging. The operating margin of 1.33% reveals how efficiently the company runs its core business operations before interest and taxes.0

0 Earnings increased by 96.30% year-over-year, outpacing revenue growth through improved margins. These growth metrics should be evaluated against WHOLESALE-DRUGS, PROPRIETARIES & DRUGGISTS' SUNDRIES industry averages for proper context.

Cardinal Health Inc. offers a dividend yield of 1.22%, paying $2.02 per share annually. This modest yield below 2% suggests the company prioritizes growth investments over current income. While the dividend provides some return, investors are likely attracted more by capital appreciation potential than income generation. To receive the next dividend, shares must be purchased before the ex-dividend date of 7/1/2025.

The dividend sustainability can be assessed through the payout ratio - Cardinal Health Inc. pays $2.02 per share in dividends against earnings of $6.39 per share, resulting in a payout ratio of 31.64%. This balanced payout between 30-60% suggests a sustainable dividend policy that allows both shareholder returns and business reinvestment. The dividend appears well-covered by earnings. The next dividend payment is scheduled for 7/15/2025.

Cardinal Health Inc. has a market capitalization of $39.90B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 238.68M shares outstanding, the company's ownership is relatively concentrated. As a participant in the WHOLESALE-DRUGS, PROPRIETARIES & DRUGGISTS' SUNDRIES industry, it competes with other firms in this sector.

Cardinal Health Inc.'s book value per share is -$12.34, while the current stock price is $162.14, resulting in a price-to-book (P/B) ratio of -13.14. Trading below book value can indicate the market perceives challenges ahead, or it might represent a value opportunity if the assets are quality and earnings can recover. Value investors often screen for P/B ratios below 1.0. As a common stock, this represents equity ownership with voting rights.

17 analysts cover CAH with 65% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $172.21 implies 6.2% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:2 Strong Buy, 9 Buy, 5 Hold, 01 Strong Sell. The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

RSI data is not available for this stock.

MACD and moving average data are not available for this stock.