Cardinal Health, Inc.’s ( CAH Quick Quote CAH - Free Report) company, OptiFreight Logistics, recently partnered with Journey Biosciences, Inc. to enhance control and visibility throughout every transportation modality. This deal will provide Journey Biosciences’ important, first-of-its-kind NaviDKD (Diabetic Kidney Disease) medical diagnostics screening technology to the point-of-care where innovative testing and risk evaluation happens utilizing highly advanced proprietary algorithms. This, in turn, will enable healthcare providers to be more motivated with respect to diagnosis and management of long-term complications related to diabetes. Journey Biosciences is a biotechnology company equipped with an innovative dynamic diagnostic screening technology for high risk kidney complications that include DKD. This partnership is likely to provide a boost to Cardinal Health’s logistic management solutions. Rationale Behind the Partnership
This collaboration is particularly aimed at bolstering long-term diabetes care with both health care professionals and people suffering from diabetes receiving the required diagnostic screening tools to manage and avert high risk complications with respect to DKD.
Image Source: Zacks Investment Research
OptiFreight Logistics offers complete logistics management for the healthcare industry. Per management at OptiFreight Logistics, the collaboration will enable the company to be part of the process in combating diabetes and boosting care associated with this disease.
a report by Research and Markets, the global healthcare logistics market is expected to grow by $67.73 billion during the forecast period (2021-2025) at a CAGR of 11%. Increase in global pharmaceutical sales, growing government initiatives, and higher seaborne pharmaceutical transportation are among the factors driving this market’s growth. Hence, the collaboration is a well-timed one for Cardinal Health. Recent Developments
In September, the company’s wholly owned subsidiary — Cardinal Health Canada — recently announced an employee vaccination requirement policy, which is part of its continued efforts to protect employees, customers and the Canadian Healthcare system against COVID-19.
In August, Cardinal Health and IRE EliT — the radiopharmaceutical subsidiary of IRE Group — have come together to expand patient access to novel radiopharmaceuticals for Positron Emission Tomography (PET) imaging to support the increasing demand for Ga-68 labeled radiopharmaceuticals. Again, in the same month, the company extended its agreements with CVS Health, wherein the former will distribute pharmaceuticals to retail pharmacies and distribution centers through Jun 30, 2027. Price Performance
Shares of this Zacks Rank #4 (Sell) company have gained 1.3% in the past year, compared with the
industry’s growth of 21.3%. Stocks to Consider
Some better-ranked stocks from the broader medical space are
West Pharmaceutical Services, Inc. ( WST Quick Quote WST - Free Report) , Henry Schein, Inc. ( HSIC Quick Quote HSIC - Free Report) and Patterson Companies, Inc. ( PDCO Quick Quote PDCO - Free Report) , each currently carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. West Pharmaceutical’s long-term earnings growth rate is estimated at 27.3%. Henry Schein’s long-term earnings growth rate is estimated at 13.9%. Patterson Companies’ long-term earnings growth rate is projected at 9.6%.