Cardinal Health (CAH) ended the recent trading session at $148.96, demonstrating a -3.64% change from the preceding day's closing price. The stock's performance was behind the S&P 500's daily loss of 0.5%. Meanwhile, the Dow experienced a drop of 0.38%, and the technology-dominated Nasdaq saw a decrease of 0.5%.
Shares of the prescription drug distributor have appreciated by 3.58% over the course of the past month, outperforming the Medical sector's loss of 0.7%, and the S&P 500's gain of 2.74%.
Investors will be eagerly watching for the performance of Cardinal Health in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on October 30, 2025. The company is expected to report EPS of $2.22, up 18.09% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $59.05 billion, up 12.96% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.41 per share and a revenue of $249.31 billion, signifying shifts of +14.2% and +12.01%, respectively, from the last year.
Investors might also notice recent changes to analyst estimates for Cardinal Health. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.14% decrease. Cardinal Health is currently a Zacks Rank #3 (Hold).
In terms of valuation, Cardinal Health is currently trading at a Forward P/E ratio of 16.42. Its industry sports an average Forward P/E of 14.68, so one might conclude that Cardinal Health is trading at a premium comparatively.
We can additionally observe that CAH currently boasts a PEG ratio of 1.31. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Medical - Dental Supplies stocks are, on average, holding a PEG ratio of 1.65 based on yesterday's closing prices.
The Medical - Dental Supplies industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 169, which puts it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Cardinal Health, Inc. (CAH): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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