Cardinal Health Gears Up For Q4 Print; Here Are The Recent Forecast Changes From Wall Street's Most Accurate Analysts

Cardinal Health (CAH) is set to release its Q4 earnings on August 12, with analysts anticipating EPS of $2.03 and revenue of $60.92 billion, an increase from the prior year. This follows the company's decision to raise its FY25 guidance in June. Ahead of the report, several prominent analysts, including Morgan Stanley and BofA Securities, have recently reiterated positive ratings (Buy/Overweight/Outperform) and increased price targets, signaling strong bullish sentiment for the stock.

Analysis

Cardinal Health (CAH) is positioned favorably ahead of its fourth-quarter earnings release on August 12, supported by a convergence of positive indicators. Consensus analyst expectations point to year-over-year growth, with projected earnings of $2.03 per share, up from $1.84, and revenue of $60.92 billion, compared to $59.87 billion in the prior-year period. This optimism is reinforced by the company's own upward revision of its fiscal year 2025 guidance on June 12. Underscoring this bullish sentiment, a series of recent analyst actions from firms including Morgan Stanley, BofA Securities, UBS, and Baird have reiterated Buy or equivalent ratings while uniformly increasing price targets. Notably, Morgan Stanley raised its target to $190, while others converged around the $170 mark, suggesting a strong belief in the company's fundamental performance and future outlook, with significant potential upside from its current trading price of $157.66.

Key Decisions for Investors

• Given the strong bullish consensus from analysts and the company's own raised FY25 guidance, investors may view the upcoming earnings as a potential positive catalyst and consider maintaining or initiating long positions.
• Investors should closely monitor the Q4 results to see if they meet or exceed the consensus EPS of $2.03 and revenue of $60.92 billion, as failure to meet these heightened expectations could trigger a negative reaction.
• With multiple analysts raising price targets to a $170-$190 range, investors can use these figures as a benchmark to evaluate the potential upside from the current price and assess risk-reward.
• Pay close attention to management's commentary on the FY25 outlook during the earnings call, as confirmation or further enhancement of the positive guidance is critical to sustaining the current bullish thesis.