Leerink Swann Analysts Lower Earnings Estimates for Cardinal Health Inc (CAH)
Cardinal Health Inc (NYSE:CAH) – Analysts at Leerink Swann dropped their Q3 2019 earnings estimates for Cardinal Health in a research report issued on Friday, November 16th. Leerink Swann analyst D. Larsen now anticipates that the company will post earnings per share of $1.29 for the quarter, down from their previous estimate of $1.53. Leerink Swann currently has a “Market Perform” rating and a $55.00 target price on the stock. Leerink Swann also issued estimates for Cardinal Health’s FY2020 earnings at $5.10 EPS.
Cardinal Health (NYSE:CAH) last released its quarterly earnings results on Thursday, November 8th. The company reported $1.29 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $1.08 by $0.21. The company had revenue of $35.21 billion for the quarter, compared to analyst estimates of $33.66 billion. Cardinal Health had a net margin of 0.53% and a return on equity of 23.97%. The firm’s revenue was up 7.9% on a year-over-year basis. During the same quarter last year, the business earned $1.09 earnings per share.
CAH stock opened at $54.57 on Monday. The firm has a market cap of $16.52 billion, a P/E ratio of 10.91, a PEG ratio of 1.76 and a beta of 0.94. The company has a current ratio of 1.06, a quick ratio of 0.52 and a debt-to-equity ratio of 1.35. Cardinal Health has a one year low of $48.14 and a one year high of $75.75.
Several large investors have recently bought and sold shares of CAH. Macquarie Group Ltd. raised its stake in Cardinal Health by 10.5% during the third quarter. Macquarie Group Ltd. now owns 13,864,677 shares of the company’s stock worth $748,692,000 after purchasing an additional 1,320,410 shares during the period. Bank of New York Mellon Corp raised its stake in Cardinal Health by 23.9% during the third quarter. Bank of New York Mellon Corp now owns 7,829,276 shares of the company’s stock worth $422,781,000 after purchasing an additional 1,512,329 shares during the period. American Century Companies Inc. raised its stake in Cardinal Health by 13.2% during the third quarter. American Century Companies Inc. now owns 5,050,968 shares of the company’s stock worth $272,752,000 after purchasing an additional 589,529 shares during the period. Pzena Investment Management LLC raised its stake in Cardinal Health by 2.0% during the second quarter. Pzena Investment Management LLC now owns 2,932,134 shares of the company’s stock worth $143,176,000 after purchasing an additional 58,495 shares during the period. Finally, Deutsche Bank AG raised its stake in Cardinal Health by 65.8% during the third quarter. Deutsche Bank AG now owns 2,583,733 shares of the company’s stock worth $139,515,000 after purchasing an additional 1,025,591 shares during the period. 92.97% of the stock is currently owned by hedge funds and other institutional investors.
In other Cardinal Health news, SVP Stuart G. Laws sold 804 shares of the stock in a transaction on Tuesday, November 13th. The shares were sold at an average price of $55.55, for a total transaction of $44,662.20. Following the transaction, the senior vice president now directly owns 6,342 shares of the company’s stock, valued at $352,298.10. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Company insiders own 1.10% of the company’s stock.
Cardinal Health declared that its Board of Directors has approved a share repurchase program on Thursday, November 8th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the company to purchase up to 6.4% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s board of directors believes its shares are undervalued.
The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, January 15th. Shareholders of record on Wednesday, January 2nd will be issued a dividend of $0.4763 per share. This represents a $1.91 annualized dividend and a yield of 3.49%. The ex-dividend date of this dividend is Monday, December 31st. Cardinal Health’s payout ratio is 38.20%.
Cardinal Health Company Profile
Cardinal Health, Inc operates as an integrated healthcare services and products company in the United States and internationally. It provides medical products and pharmaceuticals, and solutions that enhance supply chain efficiency for hospitals, healthcare systems, pharmacies, ambulatory surgery centers, clinical laboratories, and physician offices.
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