Cardinal Health (NYSE:CAH) Shares Gap Up After Strong Earnings

Shares of Cardinal Health, Inc. (NYSE:CAH) gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $102.58, but opened at $109.00. Cardinal Health shares last traded at $107.38, with a volume of 636,654 shares traded.

The company reported $1.84 earnings per share for the quarter, topping the consensus estimate of $1.72 by $0.12. The business had revenue of $59.87 billion for the quarter, compared to analyst estimates of $58.74 billion. Cardinal Health had a net margin of 0.25% and a negative return on equity of 54.74%. The firm’s quarterly revenue was up 12.1% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.55 EPS.

Analyst Ratings Changes

A number of research analysts have recently issued reports on CAH shares. Robert W. Baird lifted their target price on shares of Cardinal Health from $129.00 to $130.00 and gave the company an “outperform” rating in a research note on Tuesday, July 9th. StockNews.com cut shares of Cardinal Health from a “strong-buy” rating to a “buy” rating in a research report on Thursday, August 8th. Citigroup decreased their price objective on Cardinal Health from $115.00 to $107.00 and set a “neutral” rating on the stock in a research report on Friday, July 19th. Wells Fargo & Company cut their price target on Cardinal Health from $96.00 to $94.00 and set an “underweight” rating on the stock in a research note on Monday, April 29th. Finally, Argus lowered their price objective on Cardinal Health from $120.00 to $115.00 and set a “buy” rating for the company in a research report on Wednesday, May 15th. One research analyst has rated the stock with a sell rating, five have assigned a hold rating and eight have given a buy rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $109.67.

Hedge Funds Weigh In On Cardinal Health

Institutional investors have recently bought and sold shares of the business. Clearstead Trust LLC bought a new position in shares of Cardinal Health in the fourth quarter valued at about $25,000. Cultivar Capital Inc. bought a new position in Cardinal Health in the 2nd quarter valued at about $27,000. Raleigh Capital Management Inc. boosted its holdings in shares of Cardinal Health by 4,466.7% during the fourth quarter. Raleigh Capital Management Inc. now owns 274 shares of the company’s stock worth $28,000 after acquiring an additional 268 shares during the period. Ashton Thomas Private Wealth LLC bought a new position in shares of Cardinal Health during the second quarter worth approximately $29,000. Finally, YHB Investment Advisors Inc. acquired a new stake in Cardinal Health during the 1st quarter worth approximately $32,000. Institutional investors and hedge funds own 87.17% of the company’s stock.

Cardinal Health Trading Up 3.4 %

The firm has a market capitalization of $25.83 billion, a P/E ratio of 45.59, a P/E/G ratio of 1.14 and a beta of 0.61. The company has a 50 day moving average of $98.80 and a 200-day moving average of $103.15.

Cardinal Health Company Profile

Cardinal Health, Inc operates as a healthcare services and products company in the United States, Canada, Europe, Asia, and internationally. It provides customized solutions for hospitals, healthcare systems, pharmacies, ambulatory surgery centers, clinical laboratories, physician offices, and patients in the home.