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Cardinal Health (CAH) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Cardinal Health (CAH - Free Report) closed at $75.35, marking a +1.01% move from the previous day. This move outpaced the S&P 500's daily gain of 0.57%. Elsewhere, the Dow gained 0.43%, while the tech-heavy Nasdaq added 0.33%.
Heading into today, shares of the prescription drug distributor had lost 1.82% over the past month, lagging the Medical sector's gain of 1.75% and the S&P 500's gain of 1.72% in that time.
Cardinal Health will be looking to display strength as it nears its next earnings release. In that report, analysts expect Cardinal Health to post earnings of $1.46 per share. This would mark year-over-year growth of 0.69%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $49.05 billion, up 9.39% from the year-ago period.
CAH's full-year Zacks Consensus Estimates are calling for earnings of $5.42 per share and revenue of $201.83 billion. These results would represent year-over-year changes of +7.11% and +11.29%, respectively.
Investors should also note any recent changes to analyst estimates for Cardinal Health. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Cardinal Health is holding a Zacks Rank of #2 (Buy) right now.
Investors should also note Cardinal Health's current valuation metrics, including its Forward P/E ratio of 13.76. For comparison, its industry has an average Forward P/E of 20.04, which means Cardinal Health is trading at a discount to the group.
Investors should also note that CAH has a PEG ratio of 1.19 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CAH's industry had an average PEG ratio of 2.06 as of yesterday's close.
The Medical - Dental Supplies industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 31, which puts it in the top 13% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow CAH in the coming trading sessions, be sure to utilize Zacks.com.
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Cardinal Health (CAH) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Cardinal Health (CAH - Free Report) closed at $75.35, marking a +1.01% move from the previous day. This move outpaced the S&P 500's daily gain of 0.57%. Elsewhere, the Dow gained 0.43%, while the tech-heavy Nasdaq added 0.33%.
Heading into today, shares of the prescription drug distributor had lost 1.82% over the past month, lagging the Medical sector's gain of 1.75% and the S&P 500's gain of 1.72% in that time.
Cardinal Health will be looking to display strength as it nears its next earnings release. In that report, analysts expect Cardinal Health to post earnings of $1.46 per share. This would mark year-over-year growth of 0.69%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $49.05 billion, up 9.39% from the year-ago period.
CAH's full-year Zacks Consensus Estimates are calling for earnings of $5.42 per share and revenue of $201.83 billion. These results would represent year-over-year changes of +7.11% and +11.29%, respectively.
Investors should also note any recent changes to analyst estimates for Cardinal Health. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Cardinal Health is holding a Zacks Rank of #2 (Buy) right now.
Investors should also note Cardinal Health's current valuation metrics, including its Forward P/E ratio of 13.76. For comparison, its industry has an average Forward P/E of 20.04, which means Cardinal Health is trading at a discount to the group.
Investors should also note that CAH has a PEG ratio of 1.19 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CAH's industry had an average PEG ratio of 2.06 as of yesterday's close.
The Medical - Dental Supplies industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 31, which puts it in the top 13% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow CAH in the coming trading sessions, be sure to utilize Zacks.com.