Cardinal Health (NYSE:CAH) Hits New 1-Year High – Should You Buy?

Cardinal Health, Inc. (NYSE:CAH)’s share price reached a new 52-week high on Wednesday . The company traded as high as $165.11 and last traded at $164.89, with a volume of 2176144 shares changing hands. The stock had previously closed at $162.41.

Wall Street Analyst Weigh In

CAH has been the topic of a number of analyst reports. UBS Group boosted their target price on shares of Cardinal Health from $150.00 to $160.00 and gave the company a “buy” rating in a report on Tuesday, April 29th. Wells Fargo & Company upgraded Cardinal Health from an “equal weight” rating to an “overweight” rating and lifted their price target for the company from $136.00 to $179.00 in a research report on Tuesday, June 3rd. Evercore ISI reiterated an “outperform” rating and set a $180.00 price objective (up from $175.00) on shares of Cardinal Health in a research note on Thursday, June 12th. Morgan Stanley set a $181.00 price objective on Cardinal Health and gave the stock an “overweight” rating in a report on Friday, June 13th. Finally, Citigroup restated a “neutral” rating and issued a $170.00 target price (up previously from $157.00) on shares of Cardinal Health in a research note on Friday, June 13th. Three analysts have rated the stock with a hold rating, eleven have given a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, Cardinal Health presently has an average rating of “Moderate Buy” and an average price target of $157.43.

Cardinal Health Price Performance

The company has a market cap of $39.36 billion, a P/E ratio of 25.72, a price-to-earnings-growth ratio of 1.81 and a beta of 0.66. The company has a 50 day moving average of $147.47 and a 200-day moving average of $133.26.

Cardinal Health (NYSE:CAH) last released its quarterly earnings results on Thursday, May 1st. The company reported $2.35 earnings per share for the quarter, beating the consensus estimate of $2.15 by $0.20. The firm had revenue of $54.88 billion for the quarter, compared to analysts’ expectations of $55.33 billion. Cardinal Health had a negative return on equity of 68.84% and a net margin of 0.70%. The company’s revenue was up .0% compared to the same quarter last year. During the same quarter last year, the firm posted $2.08 EPS. Research analysts anticipate that Cardinal Health, Inc. will post 7.95 EPS for the current year.

Cardinal Health Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, July 15th. Investors of record on Tuesday, July 1st will be paid a $0.5107 dividend. This is an increase from Cardinal Health’s previous quarterly dividend of $0.51. This represents a $2.04 dividend on an annualized basis and a yield of 1.24%. The ex-dividend date is Tuesday, July 1st. Cardinal Health’s dividend payout ratio (DPR) is currently 31.51%.

Institutional Trading of Cardinal Health

Institutional investors and hedge funds have recently made changes to their positions in the stock. Pinnacle Bancorp Inc. lifted its holdings in shares of Cardinal Health by 11.2% in the 1st quarter. Pinnacle Bancorp Inc. now owns 767 shares of the company’s stock worth $106,000 after acquiring an additional 77 shares during the last quarter. Rothschild Investment LLC grew its holdings in shares of Cardinal Health by 10.1% during the 4th quarter. Rothschild Investment LLC now owns 858 shares of the company’s stock valued at $101,000 after purchasing an additional 79 shares during the last quarter. Applied Finance Capital Management LLC grew its holdings in shares of Cardinal Health by 1.4% during the 1st quarter. Applied Finance Capital Management LLC now owns 6,049 shares of the company’s stock valued at $833,000 after purchasing an additional 85 shares during the last quarter. CSS LLC IL raised its position in Cardinal Health by 0.8% in the 4th quarter. CSS LLC IL now owns 11,190 shares of the company’s stock worth $1,323,000 after purchasing an additional 90 shares during the period. Finally, Perigon Wealth Management LLC lifted its stake in Cardinal Health by 4.2% in the first quarter. Perigon Wealth Management LLC now owns 2,242 shares of the company’s stock worth $309,000 after purchasing an additional 90 shares during the last quarter. Hedge funds and other institutional investors own 87.17% of the company’s stock.

About Cardinal Health

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.