Cardinal Health, Inc.
Wholesale-Drugs, Proprietaries & Druggists' Sundries
Cardinal Health is one of three leading pharmaceutical wholesalers in the US, engaged in sourcing and distributing of branded, generic, and specialty pharmaceutical products to pharmacies (retail chains, independent, and mail order), hospital networks, and healthcare providers.
It is a $55.0B healthcare company. Revenue grew 14.2% over the last year, it keeps 1¢ of every dollar of sales as profit, and its net debt equals ~1.1 years of free cash flow. It trades at 32.1× earnings — in the most expensive third of its own history.
- Website
- cardinalhealth.com
- Location
- Dublin, OH
- Employees
- 63 900
- Sector
- Healthcare
- Founded
- 1971
Skills
Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.
Strong quality; Moat lags behind.
Valuation67
- P/E vs own history75th pct · 5/25
- FCF yield8.2% · 25/25
- P/S0.2x · 25/25
- EV/EBITDA20.7x · 12/25
Growth62
- Revenue CAGR8.8% · 12/25
- Net income CAGRn/a · 0/25
- EPS CAGR ~5Y28.3% · 25/25
- Fwd implied growth85.9% · 25/25
Profitability61
- ROIC82.3% · 25/25
- ROE37.2% · 25/25
- Net margin0.7% · 6/25
- Operating margin1.0% · 5/25
Health69
- Altman Z5.09 · 25/25
- Current ratio0.88 · 6/25
- Interest coverage7.2x · 18/25
- Net cash / debtD/A 9% · 20/25
Quality97
- Piotroski F7/9 · 22/25
- Beneish M-2.77 · 25/25
- FCF conversion282% · 25/25
- Margin stabilityσ 2.7% · 25/25
Moat43
- ROIC >12% years5/8 yrs · 13/25
- Median gross margin4.2% · 0/25
- FCF-positive years11/11 yrs · 25/25
- Worst-year net marginworst -2.4% · 5/25
Experience
The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.
- FY2026FinancialBest year on record$1.71B net income
- 2025AcquisitionCardinal Health announced that it would acquire a 75% stake in Solaris Health, the largest urology…
- 2024AcquisitionCardinal Health announced the plan to acquire Advanced Diabetes Supply Group (ADSG), a leading…
- FY2024FinancialBecame debt-freecash now exceeds total debt
- 2017AcquisitionCardinal Health announced the plan to acquire the patient product portfolio from Medtronic for $6.1…
- FY2016FinancialFirst recorded profitable year$1.43B net income
- FY2016FinancialRevenue already above $100B$122B in first reported year
- FY2016FinancialPositive free cash flow every year since11-year streak
- 2015AcquisitionCardinal Health signed an agreement to acquire Johnson & Johnson's Cordis (medical) division, a…
- Mar 18, 2013AcquisitionCardinal Health acquired the Twinsburg, Ohio-based privately held medical supply distributor…
- 2010AcquisitionThe company acquired Kinray, an independent pharmaceutical wholesaler, increasing Cardinal…
- 1995AcquisitionMedicine Shoppe International, the country's largest franchiser of retail pharmacies, was acquired
- 1994MilestoneThe company changed its name to Cardinal Health in 1994, and became the third-largest pharmaceutical wholesaler in…
- 1983IPOThe company went public on the NASDAQ stock exchange in 1983
- 1971FoundedFounded in 1971 as Cardinal Foods by Robert D
Achievements
Verifiable track record, straight from the reported numbers.
Strengths & watch-outs
What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.
Strengths
- Revenue growing 14.2% year over year
- Could repay net debt from ~1.2 years of free cash flow
- Interest covered 7.2× by operating earnings
- High returns on invested capital (ROIC 82.3%)
- Piotroski F-Score 7/9 — fundamentally strong checklist
Watch-outs
- Loss-making in 2 of the recent years
Qualifications
The basics a company should meet before you research it further. Each check uses the reported numbers.
- Revenue growing — the company sells more than a year ago+14.2% YoY
- Profitable — makes more than it spends$1.71B TTM
- Profit growing — earnings are higher than last year+93.6% YoY
- Generates cash — cash left after running and investing$4.53B TTM
- Debt under control — could handle its obligations~1.1y of cash flow to repay
- Established company — not a micro-cap — lower blow-up risk$55.0B market cap
- Not printing shares — share count not ballooning — you keep your slice-19.4% shares over ~5y
- Proven track record — years of profitability behind it9/11 profitable years
- Financially stable — balance sheet not near distressAltman Z 5.1 — safe
- Pays a dividend — returns cash to shareholdersyield 0.89%
- Valuation not extreme — price not wildly above earningsP/E 32.1
Peer comparisonCardinal Health, Inc. vs 6 largest healthcare peers — cap, P/E, growth and margin side by sideOpen ▾Close ▴
| Company | Market cap | P/E | Revenue growth | Net margin | Profile |
|---|---|---|---|---|---|
| CAH this company | $55.0B | 32.1 | +14.2% | 0.7% | Solid |
| LLY Eli Lilly & Co. | $1.0T | 41.6 | +49.6% | 33.5% | Solid |
| JNJ Johnson & Johnson | $630.9B | 29.9 | +8.1% | 21.5% | Mixed |
| ABBV Abbvie Inc. | $488.5B | 77.4 | +10.4% | 9.8% | Mixed |
| MRK Merck & Co., Inc. | $361.0B | 113.2 | +4.6% | 4.8% | Mixed |
| UNH UNITEDHEALTH GROUP INCORPORATED (Delaware) | $340.7B | 24.1 | +6.5% | 3.1% | Mixed |
| NVS Novartis AG | $273.2B | 20.3 | +9.6% | 24.7% | Solid |
Head-to-head: CAH vs LLY · CAH vs JNJ · CAH vs ABBV
References
What covering analysts publish about the company — information only, not a recommendation.
Appendix · Financial records
The full statements behind this CV, FY2016–FY2026. For readers who want to check the numbers.
Live data and quarterly detail: stockcv.com/CAH
Want the live picture — intraday moves, valuation history and full analysis?
Deeper analysis of CAH on PreMarketPriceFigures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $237.57 · market cap $55.0B.