Stock · CAH · Healthcare

Cardinal Health Inc

United States · Large Cap · listed since 1987 · Revenue 12 mo. $254.2B

Price as of 11/06/2026

StockScorer score
5.5
of 10 6 of 11 points Medium Match To the score
Price
$271.72
1 Y +27.6%
Market cap
$61.5B
Phase
Growth
revenue growing, core business profitable
Revenue +7.4% a year (3 years)EBIT margin 1.0%Payout 35.2% of operating cash flow

Cardinal Health, Inc. operates as a healthcare services and products company in the United States and internationally.

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Cardinal Health, Inc. operates as a healthcare services and products company in the United States and internationally. It operates in two segments: Pharmaceutical and Specialty Solutions, and Global Medical Products and Distribution. The company offers customized solutions for hospitals, healthcare systems, pharmacies, ambulatory surgery centers, clinical laboratories, physician offices, and patients in the home. It distributes branded and generic pharmaceutical, specialty pharmaceutical, and over-the-counter healthcare and consumer products. The company also provides services to pharmaceutical manufacturers and healthcare providers for specialty pharmaceutical products; pharmacy management services to hospitals; operates pharmacies, including pharmacies in community health centers; and repackages generic pharmaceuticals and over-the-counter healthcare products. In addition, it manufactures, sources, and distributes Cardinal Health branded medical, surgical, and laboratory products and devices that include exam and surgical gloves; needles, syringe, and sharps disposals; compression, incontinence, nutritional delivery, and wound care products; single-use surgical drapes, gowns, and apparel products; fluid suction and collection systems; urology products; operating room supply products; and electrode product lines. Further, the company distributes a range of national brand products, including medical, surgical, and laboratory products; provides supply chain services and solutions to hospitals, ambulatory surgery centers, clinical laboratories, and other healthcare providers; and assembles and sells sterile and non-sterile procedure kits. Additionally, it manufactures, prepares, and delivers radiopharmaceuticals; and optimizes direct shipments through integrated technology solutions. The company was incorporated in 1979 and is headquartered in Dublin, Ohio.

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Summary

Cardinal Health Inc is around the middle of the Healthcare sector overall

57.8 of 100

Mean of the six area values. Each area value is the mean of the stock's ranks among the companies in its sector. 50 is the middle of the sector, not a share of companies beaten.

Analysis

What the price requires

The price requires 2.9% FCF growth a year, less than achieved over the last 5 and 10 years.

If free cash flow stays at €4.1B (2026), it supports €45.1B. The remaining €10.1B of the market value assume it grows 2.9% a year for 10 years and not at all afterwards.

Required FCF growth per year

2.9%

no growth afterwards

Market value breakdown€55.2B market value, price as of 11/06/2026

€45.1B without growth
€10.1B priced-in growth
  • 5 yrs achieved 10.6%
  • 10 yrs achieved 6.8%
  • priced in 2.9%

Valuation against its own history

Price to operating cash flow 12.4×, above its usual range.

Middle half of 20 quarters: 6.4× to 11.0×, median 9.0×.

Measures only against its own past, not against what the company is worth. Price as of 11/06/2026.

3 signs support the expectation, 1 speaks against it.

What supports it

with respect to the priced-in expectation

  • Expectation below the company's own record priced in 2.9%, achieved at least 6.8%
  • Low capital needs capex median 0.3% of revenue (10 years)
  • Steady FCF margin at least 0.6%, range 1.2 pp (10 years)

What speaks against it

with respect to the priced-in expectation

  • Volatile earnings 5 drops or sign changes in up to 10 years

Since the last quarter

Q1 → Q2 2026

A calm quarter: no figure moved noticeably.

7 more unchanged: Revenue, 12 mo., FCF, 12 mo., Gross margin, EBIT margin, FCF margin, Net debt, Shares outstanding

Derivation

How the sector comparison is derived

Each area value is the average of its metrics' ranks within the sector (0 to 100, 50 is the middle). For metrics where lower is better, the rank is mirrored. The overall value is the average of the area values.

Price as of 11/06/2026.

Profitability20.6below the middleEarns less than the sector: Gross margin 3.84%, sector 60.99%.
MetricStockSector medianPosition in sector
Return on equity−55.72%11.52%Rank 5
Return on capital (Greenblatt)64.97%32.55%Rank 79
EBIT margin1.03%18.31%Rank 6
FCF margin1.78%14.12%Rank 11
Gross margin3.84%60.99%Rank 2
Growth68.0above the middleGrows faster than the sector: Earnings growth, 3 years per year 79.07%, sector 5.44%.
MetricStockSector medianPosition in sector
Revenue growth, 1 year14.23%8.04%Rank 80
Earnings growth, 3 years per year79.07%5.44%Rank 95
Earnings growth, 5 years per year28.33%7.00%Rank 91
Sustainable growth (ROE × retained earnings)0.26%3.66%Rank 6
Valuation66.7above the middleValued lower than the sector: EV/sales 0.26, sector 4.03.
MetricStockSector medianPosition in sector
Earnings yield2.66%2.90%Rank 43
FCF yield7.35%3.63%Rank 88
EV/saleslower is better0.264.03Rank 96
EV/EBITlower is better25.5021.73Rank 40
Momentum80.8above the middleShare price doing better than the sector: Distance from 52-week high 0.00%, sector −7.35%.
MetricStockSector medianPosition in sector
Share price, 1 year27.63%8.66%Rank 77
Share price, 6 months48.44%24.27%Rank 85
Share price, 3 months20.07%15.42%Rank 66
Distance from 52-week high0.00%−7.35%Rank 96
Quality67.7above the middleQuality above the sector: Price reaction to results, market-adjusted 6.21%, sector 0.05%.
MetricStockSector medianPosition in sector
Accruals (Sloan)lower is better−1.59%0.30%Rank 68
Change in share countlower is better−2.07%0.00%Rank 79
Dividend streak in years210Rank 36
Price reaction to results, market-adjusted6.21%0.05%Rank 88
Balance sheet & risk42.7around the middleRisk about like the sector.
MetricStockSector medianPosition in sector
Equity ratio−5.03%48.40%Rank 1
Net debt/EBITDAlower is better1.461.11Rank 42
Debt to equitylower is betterdoes not count towards the rank−3.150.48
Volatility, 1 yearlower is better25.90%31.42%Rank 85

Ten years in figures

Revenue from $130.0B (2017) to $254.2B (2026), 7.7% a year.

Fiscal years, amounts in USD
YearRevenue, $BEBIT marginFCFSharesNet debt
2017130.01.6%$797.0M320M$3.5B
2018136.80.1%$2.4B315M$7.3B
2019145.51.4%$2.4B301M$5.5B
2020152.9−2.7%$1.6B293M$4.0B
2021162.50.3%$2.0B294M$3.3B
2022181.3−0.3%$2.7B279M$1.1B
2023205.00.4%$2.4B262M$1.1B
2024226.80.6%$3.3B247M$476.0M
2025222.61.0%$1.9B242M$5.5B
2026254.21.0%$4.5B237M$5.1B
5.5 / 10Medium MatchStockScorer score6 of 11 points

4 of 7 StockScorer Score rules met · How the score is built

Cardinal Health Inc mainly meets criteria in the Valuation category. Result from 18 strategies checked.

This stock · Profitability: 33%This stock · Growth: 50%This stock · Valuation: 100%This stock · Momentum: 100%Median of all stocks · Profitability: 33%Median of all stocks · Growth: 0%Median of all stocks · Valuation: 0%Median of all stocks · Momentum: 0%50%100%ProfitabilityGrowthValuationMomentumThis stockMedian of all stocks

How Cardinal Health Inc's score is built

Cardinal Health Inc is rated here with the StockScorer Score strategy, the flagship rule set. It compares return and cash-flow metrics with the median of the company's own sector and checks growth and price trend.

4 of 7 rules met

6 of 11 points

  1. Free cash flow yield above the sector medianmet2 of 2 points
  2. Return on capital (Greenblatt ROC) above the sector medianmet2 of 2 points
  3. Return on equity above the sector mediannot met0 of 1 point
  4. Free cash flow margin above the sector mediannot met0 of 2 points
  5. Revenue growth above 15%not met0 of 2 points
  6. 3-year earnings growth above 12% p.a.met1 of 1 point
  7. 12-month share price more than 20 percentage points ahead of the marketmet1 of 1 point
  8. Exclusion: financial and real estate stocksdoes not apply

Detail data

How does Cardinal Health Inc stock perform across 18 strategies?

Excerpt from 18 strategies checked. The full evaluation is visible after a free sign-up.

12 more strategies locked

With a free account, you can see the match across all strategies checked in one complete overview.

  • Moat Quality
  • Magic Formula: Value + Quality
  • PEG Strategy (inspired by Peter Lynch)
  • Balanced GARP
  • Mohanram G-Score: Growth Quality
  • Defensive: Low Volatility
  • Acquirer's Multiple: EV/EBIT Deep Value
  • Altman Z-Score: Stress Test
  • Dividend Aristocrats & Continuity
  • High-Growth / Rule of 40
  • Levermann Strategy (13 Criteria)
  • Undervalued Stocks: Multi-Factor Check

Cardinal Health Inc key metrics: P/E, P/B and equity ratio

Selected fundamental metrics for Cardinal Health Inc.

MetricStockSector
P/E ratio37.630.0
P/B ratio−19.34.8
Return on equity (ROE)−55.7%11.5%
Equity ratio−5.0%48.4%
Debt-to-equity (D/E)−3.150.48
Dividend yield0.8%1.3%

Similar stocks in Healthcare

How comparable stocks in the same sector score in the StockScorer model.

SymbolCompanyRating
CAHCardinal Health Incthis page
CORCencora Inc.Low4.5
MCKMcKesson CorporationLow4.5
SIG.AXSigma Healthcare Ltdlocked
HSICHenry Schein Inclocked
M12.DEM1 Kliniken AGlocked

Frequently asked questions about Cardinal Health Inc stock

How does Cardinal Health Inc stock (CAH) score in the StockScorer model?
Cardinal Health Inc stock reaches a StockScorer score of 5.5 out of 10, which is a medium match with the rule-based strategies. 4 out of 7 flagship profile rules are met.
What is Cardinal Health Inc's P/E ratio?
Cardinal Health Inc's P/E ratio is 37.6. The Healthcare sector median is 30.0.
What sector is Cardinal Health Inc in?
Cardinal Health Inc is assigned to the Healthcare sector. Its rank within the sector is 57.8 out of 100: 100 means the stock leads its peer group of large and mid-cap sector stocks in every measured area.

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