Barclays Initiates Coverage on Cardinal Health (CAH) with Overweight Rating

Cardinal Health, Inc. (NYSE:CAH) is included among the 15 Best Stocks to Buy for the Long Term.

Barclays analyst Glen Santangelo initiated coverage of Cardinal Health, Inc. (NYSE:CAH) on December 9, giving the stock an Overweight rating and a $243 price target. The firm started its broader view of the US healthcare technology and distribution space on a neutral note. Within that coverage, Barclays is most optimistic about drug distributors, while its outlook on the dental and healthcare IT sub-sectors is more mixed.

Cardinal Health, Inc. (NYSE:CAH) has had a standout year. The stock has climbed nearly 68% since the start of 2025, a run that reflects the company’s ongoing transformation. By shifting its focus toward higher-margin areas of healthcare, particularly specialty pharmaceuticals and managed services, the company has seen a sharp improvement in earnings. In fiscal Q1 2026, revenue from the Pharmaceutical and Specialty Solutions segment rose 23% to $59.2 billion, helped by continued strength in brand and specialty drug sales from both existing and new customers.

Total revenue for the quarter reached $64 billion, which was up 22% from a year earlier. On November 3, the company also announced the completion of its acquisition of Solaris Health, the leading urology MSO in the country. Solaris adds more than 750 providers across more than 250 practice locations in 14 states, giving Cardinal Health’s Urology Alliance immediate scale within its multi-specialty MSO platform, The Specialty Alliance.

Cardinal Health, Inc. (NYSE:CAH) is one of the largest healthcare services and products companies in the US, supplying pharmaceuticals and medical equipment to a wide range of providers.

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