BofA Securities analyst Allen Lutz upgrades $Cardinal Health (CAH.US)$ to a buy rating, and adjusts the target price from $115 to $145.
According to TipRanks data, the analyst has a success rate of 59.9% and a total average return of 5.7% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Cardinal Health (CAH.US)$'s main analysts recently are as follows:
Cardinal Health's organic growth in its core pharmaceutical segment has started to surpass that of its competitors, which is expected to surpass market expectations over the coming year. This notable growth is derived from both new and existing customers, alongside a distinctive PBM tailwind that is projected to add 2-3 percentage points to EPS growth through FY26.
The analyst describes the current pharmaceutical adjusted operating income guidance of 4-6% as conservative, only implying about 4% AOI growth for the remainder of FY25. They believe there is potential for exceeding Cardinal's long-term guidance. Furthermore, there is anticipated upside to FY25 EPS, with FY26 expected to see a return to Cardinal's 12%-14% compound annual growth rate.
Note:
TipRanks, an independent third party, provides analysis data from financial analysts and calculates the Average Returns and Success Rates of the analysts' recommendations. The information presented is not an investment recommendation and is intended for informational purposes only.
Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
TipRanks provides a ranking of each analyst up to 5 stars, which is representative of all recommendations from the analyst. An analyst's past performance is evaluated on a scale of 1 to 5 stars, with more stars indicating better performance. The star level is determined by his/her total success rate and average return.
