CAH – Cardinal Health, Inc.

Cardinal Health, Inc. (CAH) Monthly Investment Analysis – November 24, 2025

Company Overview

Cardinal Health, Inc. (NYSE: CAH), based in Dublin, Ohio, is a key player in the healthcare sector, specifically in the medical distribution industry. The company delivers a diverse array of healthcare services and products, catering to both U.S. and global markets. Cardinal Health operates through two primary segments: Pharmaceutical and Specialty Solutions, and Global Medical Products and Distribution. Their offerings include tailored solutions for hospitals, pharmacies, and healthcare systems, alongside the distribution of both branded and generic pharmaceuticals, medical devices, and various healthcare products.

This strategic position within the medical distribution sector not only enhances Cardinal Health’s operational capabilities but also positions it favorably for growth in an industry characterized by rising demand for healthcare services. The company’s focus on integrated technology and supply chain solutions further strengthens its market stance. Given these dynamics, Cardinal Health presents a compelling investment opportunity, and analysts recommend a “buy” for potential investors looking to enter or expand their positions in this essential industry.

52-Week Price Performance Analysis

Over the past year, Cardinal Health’s stock performance has been notably robust, with a substantial growth of 74.5%. The stock’s price was approximately $120 in November of the previous year, surging to its current level of $208.48. This pronounced bullish trend is evidenced by the strong upward slope present on the 52-week price chart, along with the price remaining consistently above the moving average.

Key Technical Insights:

• Current Price: $208.48
• 52-Week High: $209.57
• 52-Week Low: $114.60
• Fifty-Day Moving Average: $170.10
• Primary Support Level: $120
• Recent Resistance Level: Broke above $200

The data indicates a significant breakout in October and November, showcasing the stock’s upward momentum. The price’s increased distance from the moving average suggests heightened volatility but also reflects sustained strength in the stock’s performance. Analysts should pay attention to the potential resistance as Cardinal Health approaches its 52-week high, indicating a critical point for current and prospective investors.

Financial Performance and Metrics

Cardinal Health’s financial health remains a strong indicator of its growth prospects:
– Total Revenue: Approximately $234.31 billion.
– EBITDA: $3.54 billion.
– Current Stock Price: $208.48.
– Projected High Price: $232.00.
– Target Mean Price: $214.71.

The company has demonstrated excellent financial performance, achieving a 22.4% year-over-year revenue growth, with its third-quarter earnings reaching $64.01 billion and adjusted earnings per share (EPS) climbing 35.6% to $2.55. The adjustments in EPS guidance signify an optimistic outlook, with a projected midpoint of $9.75 for the fiscal year.

Despite the notable financial performance, investors should also consider the volatility historically exhibited by the stock, as reflected in its wide 52-week range (from $114.60 to $209.57). The relatively high short interest of 7,082,674 shares, representing approximately 0.0344% of the float, might suggest some skepticism among investors, yet overall market sentiment leans positively.

Recent News and Developments

Cardinal Health has been in the spotlight recently due to several significant developments:
– Acquisition of Solaris Health: The company announced the acquisition of Solaris Health, a urology management services leader, for around $1.9 billion. This strategic move is anticipated to enhance Cardinal Health’s specialty services portfolio and strengthen its market position.
– New Distribution Center: The company is set to open a technologically advanced distribution center in Indianapolis by the fall of 2027, emphasizing robotic automation and increased pharmaceutical distribution capacity.
– Third-Quarter Earnings Report: On October 30, 2025, Cardinal Health reported its third-quarter earnings, achieving a 92.07% increase in its stock price over the last year, signaling strong financial health and proactive management.

These developments, accompanied by a strong operational strategy, underlie the potential for continued stock appreciation.

Market Sentiment and Analyst Recommendations

The prevailing sentiment toward Cardinal Health is overwhelmingly positive. Analysts emphasize a buy recommendation, with a consensus recommendation mean of 1.75 out of 14 analyst opinions. The target high price set at $232.00 indicates significant upside potential, while the average mean price is estimated at $214.71, reflecting confidence in the company’s near-term performance.

Prominent firms, such as Leerink Partners, have expressed optimistic views, raising their price targets and maintaining an “Outperform” rating. As such, Cardinal Health’s strategic initiatives and strong financial metrics align well with investor expectations, further reinforcing the bullish outlook.

Conclusion

Overall, Cardinal Health, Inc. presents a compelling investment opportunity based on its strong market position, impressive financial performance, and strategic initiatives aimed at enhancing growth. The bullish trend observed in the stock’s price, alongside analyst endorsements, suggests that now may be an opportune time for investors to consider adding this stock to their portfolios.

However, potential investors should remain aware of market volatility and the historical price fluctuations, which could present risks. With a robust underlying business model and a strategic focus on expanding its healthcare services, Cardinal Health is well-positioned to navigate future challenges and capitalize on opportunities within the healthcare sector.

As the company continues on its growth trajectory, maintaining close attention to market developments and analyst recommendations will be crucial for retail investors considering Cardinal Health as a viable addition to their investment strategies.

Metric	Value
Market Cap	$49.5b
Total Debt	$9.0b
Total Cash	$4.6b
Shares Outstanding	237.6m
Float Shares	237.1m