Morgan Stanley Raises Cardinal Health, Inc. (CAH) Price Target After Strong Q2

Cardinal Health, Inc. (NYSE:CAH) is included among

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Morgan Stanley boosted its terms proposal connected Cardinal Health, Inc. (NYSE:CAH) to $255 from $245 connected February 6. The steadfast kept an Overweight standing connected the stock. In a probe note, the expert said the steadfast updated its presumption connected the stock’s risk-reward illustration pursuing what it described arsenic "strong" second-quarter results.

A time earlier, connected February 5, Cardinal Health lifted its 2026 nett outlook aft posting quarterly results that bushed expectations. The upside was driven by coagulated request for specialty medicines, which pushed the banal up much than 9% successful greeting trading.

Drug distributors specified arsenic Cardinal Health, Cencora, and McKesson are benefiting from rising request for higher-margin treatments utilized successful analyzable conditions, including crab and autoimmune diseases. The radical is besides seeing enactment from the rollout of biosimilars tied to blockbuster drugs that person mislaid patent protection.

At the aforesaid time, these companies are expanding further into specialty medicines by acquiring crab halfway operators. The strategy helps them diversify beyond accepted cause organisation portion strengthening their halfway operations. During the post-earnings call, CEO Jason Hollar downplayed GLP-1 drugs arsenic a meaningful nett driver. While the products proceed to enactment revenue, helium said the institution does not expect the fast-growing class to materially alteration earnings. On oral GLP-1 drugs, Hollar said adoption remains "slow" and is improbable to beryllium worldly this fiscal year, though helium expects uptake to accelerate implicit time.

Cardinal Health present expects adjusted net successful the scope of $10.15 to $10.35 per share, compared with its erstwhile forecast of astatine slightest $10 per share. Quarterly gross totaled $65.63 billion, topping analysts’ mean estimation of $64.14 billion, according to information from LSEG. Adjusted nett came successful astatine $2.63 per share, supra estimates of $2.36.

Cardinal Health, Inc. (NYSE:CAH) is simply a planetary healthcare services and products company. It provides customized solutions for hospitals, healthcare systems, pharmacies, ambulatory country centers, objective laboratories, doc offices, and patients successful the home, on with a wide scope of pharmaceuticals and aesculapian products.

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