Cardinal Health Inc (CAH) Receives Average Rating of “Hold” from Brokerages
Cardinal Health Inc (NYSE:CAH) has received an average recommendation of “Hold” from the thirteen brokerages that are covering the stock, MarketBeat.com reports. Three equities research analysts have rated the stock with a sell recommendation, eight have issued a hold recommendation and one has assigned a buy recommendation to the company. The average 12 month target price among brokerages that have updated their coverage on the stock in the last year is $60.50.
CAH has been the subject of several recent research reports. Royal Bank of Canada set a $57.00 target price on Cardinal Health and gave the company a “hold” rating in a research report on Friday, November 9th. Zacks Investment Research lowered Cardinal Health from a “hold” rating to a “sell” rating in a research report on Tuesday, October 9th. Morgan Stanley upped their target price on Cardinal Health from $40.00 to $50.00 and gave the company an “underweight” rating in a research report on Monday, December 3rd. Mizuho reaffirmed a “hold” rating and set a $53.00 target price on shares of Cardinal Health in a research report on Sunday, August 12th. Finally, ValuEngine raised Cardinal Health from a “strong sell” rating to a “sell” rating in a research report on Monday, November 12th.
Shares of CAH traded down $0.90 during trading hours on Monday, hitting $53.91. The company had a trading volume of 4,125,026 shares, compared to its average volume of 3,967,985. The firm has a market cap of $16.33 billion, a price-to-earnings ratio of 10.78, a PEG ratio of 1.75 and a beta of 0.92. 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.
Cardinal Health declared that its Board of Directors has initiated a stock buyback plan on Thursday, November 8th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the company to purchase up to 6.4% of its shares through open market purchases. Shares buyback plans are often a sign that the company’s board of directors believes its stock is undervalued.
The firm also recently announced a quarterly dividend, which will be paid on Tuesday, January 15th. Investors of record on Wednesday, January 2nd will be given a dividend of $0.4763 per share. This represents a $1.91 annualized dividend and a yield of 3.53%. The ex-dividend date of this dividend is Monday, December 31st. Cardinal Health’s dividend payout ratio is currently 38.20%.
In related news, SVP Stuart G. Laws sold 804 shares of the company’s stock in a transaction dated Tuesday, November 13th. The stock was 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 approximately $352,298.10. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 1.10% of the company’s stock.
A number of large investors have recently made changes to their positions in CAH. LFA Lugano Financial Advisors SA acquired a new position in shares of Cardinal Health in the third quarter valued at about $108,000. NEXT Financial Group Inc acquired a new position in shares of Cardinal Health in the third quarter valued at about $111,000. First Hawaiian Bank acquired a new position in shares of Cardinal Health in the third quarter valued at about $125,000. Sentry Investment Management LLC acquired a new position in shares of Cardinal Health in the second quarter valued at about $132,000. Finally, Exane Asset Management acquired a new position in shares of Cardinal Health in the second quarter valued at about $153,000. 89.10% of the stock is currently owned by institutional investors.
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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