Cardinal Health, Inc. (NYSE:CAH) stock rose Tuesday after the company raised its fiscal 2026 earnings outlook and outlined strategic progress.
Cardinal Health boosted its non-GAAP diluted earnings per share target to at least $10 for fiscal 2026.
The company previously guided a range of $9.65 to $9.85 per share, reflecting improved operational performance.
Cardinal Health now expects Specialty revenues to exceed $50 billion during fiscal 2026.
The projected total represents about a 16% compounded annual growth rate over three years.
Medicare Pricing Transition
The company said it successfully transitioned pharmaceutical distribution agreements impacted by the Medicare Drug Price Negotiation Program changes ahead of implementation.
Cardinal Health said its distribution services remain appropriately compensated for delivering drugs safely and efficiently.
The company introduced the ContinuCare Pathway program under its at-Home Solutions business.
The program aims to simplify diabetes supply management and insurance navigation for patients and partner pharmacies.
Cardinal Health said Publix Super Markets enrolled nearly all of its pharmacy network in the ContinuCare pathway.
Broad Business Scope
Cardinal Health is a major distributor of pharmaceuticals, specialty products, and medical and laboratory supplies.
The company also provides performance solutions and direct-to-patient services across the healthcare sector.
CAH Price Action: Cardinal Health shares were up 4.08% at $210.77 at the time of publication on Tuesday. The stock is trading near its 52-week high of $214.93, according to Benzinga Pro data.
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