CAH stock: buy or sell?
October 18th, 2019
Cardinal Health, Inc. operates as an integrated healthcare services and products company worldwide. The company's Pharmaceutical segment distributes branded and generic pharmaceutical, specialty pharmaceutical, over-the-counter healthcare, and consumer products to retailers, hospitals, and other healthcare providers.
Should I buy CAH stock?Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. Having a trading strategy helps to make decisions easier, quicker and with less hesitations. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.
None of our preferred buy setups matches with Cardinal Health stock situation right now, therefore this is not a suitable entry point.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Cardinal Health stock a buy?
Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness.At Stocks2.com, we gathered 6 ratings published for CAH stock in the last 30 days. The general sentiment of these ratings is bearish for CAH stock, with 2 negative ratings.
|Date||Analyst / Broker||Previous rating||Current rating|
CAH stock analysis
Cardinal Health shares raised 0.64% to $51.54 on Oct/18.
Cardinal Health shares raised 0.64% to $51.54 on October 18th. Since price and SMA200d lines crossed up on Oct/11, CAH climbed $5.49 (11.92%). On October/1, SMA50d and SMA100d crossed up triggering a rise of 9.22%.
Cardinal Health ended this week at $51.54 and rocketed an outstanding 9.85%.
Price pattern shows an uptrend with two rising tops and bottoms, and now finally trading above the $48.69 resistance. Last week CAH price bounced up over the SMA of 40 weeks that acted as support stopping new slides.
CAH stock price history
CAH IPO was on August 4th, 1983 at $0.00 per share1. Since then, CAH stock surged a inf%, with an average of inf% per year. If you had invested right after CAH's IPO a $1,000 in CAH stock in 1983, it would worth $inf today.
1: Adjusted price after possible price splits or reverse-splits.
CAH stock historical price chart
CAH stock reached 52-week highs on November at $55.95, and all-time highs 2015-12-29 with a price of 79.83.
CAH stock price target is $48.50How much a stock will be priced tomorrow or next week is quite unpredictable However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. For the last month we found 4 price forecasts for Cardinal Health stock:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-9-6||Morgan Stanley||Lowers Target||$50.00||$41.00||-18%|
Financials and fundamental analysis
Earnings date and Earnings per ShareCardinal Health presented phenomenal results for 2018-Q4 on February. Cardinal Health soared Earnings per Share (EPS) by 18.30%, beating analysts of $1.09. Cardinal Health posted $1.29.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsIn 2018, Cardinal Health annual sales soared a good 5.26% to $136,809.00 M USD from $129,976.00 marked in 2017. When comparing 2018 vs 2017, slightly worse, profit margin (that is, the net income divided by revenues) remained steady a -0.80% to 0.19%. To have an updated view of the financial situation of Cardinal Health, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2018-Q4 that can be compared to 2018 fiscal year results. Annual Cardinal Health TTM sales up to December 2018 were $141,935.00 and earnings were $-38.00 M USD. When comparing this TTM figures with the last reported annuality, we can esteem Cardinal Health business evolution since June 2018: Annual sales up to December, compared to lastest yearly report, inched a decent 3.75%. Regarding profit margin, Cardinal Health stayed steady -0.21% to 0.19%
|2013||$101,090 M||-||$335 M0.3%||-|
|2014||$91,080 M||-9.90%||$1,160 M1.3%||246.27%|
|2015||$102,531 M||12.57%||$1,215 M1.2%||4.74%|
|2016||$121,546 M||18.55%||$1,427 M1.2%||17.45%|
|2017||$129,976 M||6.94%||$1,288 M1.0%||-9.74%|
|2018||$136,809 M||5.26%||$256 M0.2%||-80.12%|
|TTM||$141,935 M||3.75%||$-38.00 M-0.0%||-114.84%|
Quarterly financial resultsCardinal Health reported $37,740.00 million in sales for 2018-Q4, a 7.18% improvement compared to previous quarter. Reported quarter earnings marked $280.00 M with a profit margin of 0.74%. Profit margin stayed constant a -0.94% compared to previous quarter when profit margin was 1.68%. When comparing revenues to same quarter last year, Cardinal Health sales marked a very good increase and jumped a 7.26%.
|2017-Q1||$31,820 M||-||$381.00 M1.2%||-|
|2017-Q2||$32,970 M||3.61%||$274.00 M0.8%||-28.08%|
|2017-Q3||$32,641 M||-1.00%||$115.00 M0.4%||-58.03%|
|2017-Q4||$35,186 M||7.80%||$1,053.00 M3.0%||815.65%|
|2018-Q1||$33,633 M||-4.41%||$255.00 M0.8%||-75.78%|
|2018-Q2||$35,349 M||5.10%||$-1,166.00 M-3.3%||-557.25%|
|2018-Q3||$35,213 M||-0.38%||$593.00 M1.7%||-150.86%|
|2018-Q4||$37,740 M||7.18%||$280.00 M0.7%||-52.78%|
Cardinal Health ownershipWhen you are planning to invest in a stock, it's worth to have a look its ownership structure.
Cardinal Health shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.32% of all shares.
Bearish positions for CAH stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to Cardinal Health:
|Market cap||$15.1 B||$18.7 B||$86.0 B||$5.6 B||$9.3 B|
|Total shares||292.4 M||208.3 M||1,300.0 M||141.2 M||148.3 M|
|Float shares||297.7 M||151.0 M||1,300.0 M||80.4 M||138.3 M|
|- Institutional holdings (%)||92.4%||68.0%||83.8%||15.7%||105.9%|
|- Insider holdings (%)||0.3%||27.1%||0.2%||39.2%||1.2%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Friday, October 18th, 2019|
|Day range||$50.74 - $51.67|
|Average true range||$1.29|
|50d mov avg||$45.55|
|100d mov avg||$45.11|
|200d mov avg||$46.39|
Cardinal Health performancePerformance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. We compared Cardinal Health against , CVS Health, Herbalife Nutrition, Henry Schein, McKesson, Owens & Minor, Patterson Companies, Premier and Teleflex in the following table:
|OMIOwens & Minor||170.45%||111.87%||-51.72%|
Cardinal Health competitorsWe selected a few stocks to conform a list of Cardinal Health competitors to check if you are interested in investing in CAH:
- CVS Health (CVS)
- Herbalife Nutrition (HLF)
- Henry Schein (HSIC)
- McKesson (MCK)
- Owens & Minor (OMI)
- Patterson Companies (PDCO)
- Premier (PINC)
- Teleflex (TFX)
Latest CAH stock news
- InvestorPlace3 Big Stock Charts for Friday: Simon Property Group, Cardinal Health and Northrop GrummanMay 10, 2019
- Seeking AlphaCardinal Health: Recent December Lows Look Like They Will Be TestedApril 17, 2019
- Seeking AlphaCardinal Health: Elevated Volume From Pharmacy Customers In Q2February 28, 2019
- Seeking AlphaCardinal Health: Take A Long-Term ViewSeptember 27, 2018
- Seeking AlphaCardinal Health: Technical Analysis And ValuationSeptember 10, 2018