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Valued at a market cap of $31.7 billion, Dublin, Ohio-based Cardinal Health, Inc. (CAH) is one of the largest U.S. pharmaceutical distributors and a leading nuclear pharmacy provider. It operates two segments - Pharmaceutical & Specialty Solutions and Global Medical Products & Distribution, supplying drugs, specialty services and medical products to healthcare providers worldwide. CAH is expected to release its fiscal Q3 2025 earnings results before the market opens on Thursday, May 1.
Ahead of this event, analysts expect the prescription drug distributor to report an adjusted profit of $2.15 per share, up 3.4% from $2.08 per share in the prior year's quarter. It has surpassed Wall Street's bottom-line estimates in the past four quarters. In Q2 2025, Cardinal Health exceeded the consensus adjusted EPS estimate by 10.3%.
For fiscal 2025, analysts forecast Cardinal Health to post adjusted EPS of $7.94, reflecting a 5.4% increase from $7.53 in fiscal 2024. In addition, adjusted EPS is anticipated to grow 13.2% year-over-year to $8.99 in fiscal 2026.
CAH has climbed 29.5% over the past 52 weeks, outperforming the S&P 500 Index's ($SPX) 5.2% gain and the Health Care Select Sector SPDR Fund's (XLV) 3.5% drop over the same period.
Shares of Cardinal Health rose marginally on Jan. 30 after it lifted its full‑year adjusted EPS guidance to $7.85 - $8, above the prior $7.75 - $7.90 range and analyst forecasts. The rally was further supported by a stronger‑than‑expected Q2 2025 adjusted EPS of $1.93 and revenue of $55.3 billion. Management’s comments that it could pass through potential 10% - 25% tariffs on Mexican and Chinese production to customers eased margin concerns. Plans to shift manufacturing to lower‑cost Southeast Asian facilities further mitigated tariff risks.
Analysts' consensus rating on Cardinal Health stock is bullish, with a "Strong Buy" rating overall. Out of 15 analysts covering the stock, opinions include 11 "Strong Buys” and four "Holds.” The average analyst price target for CAH is $143.50, suggesting a potential upside of 7.7% from current levels.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
