Cardinal Health stock rises after second fiscal-year earnings guidance increase
Updated
Updated · Barron's · Apr 30
Cardinal Health stock rises after second fiscal-year earnings guidance increase
13 articles · Updated · Barron's · Apr 30
Shares rose 1.6% to $205.99 premarket after the drug distributor lifted adjusted EPS guidance to $10.70-$10.80 from February's $10.15-$10.35.
Third-quarter adjusted earnings beat forecasts at $3.17 a share, but revenue of $60.9 billion, up 11%, missed Wall Street estimates of $62.1 billion.
Pharmaceutical and specialty-solutions revenue climbed 11% to $56.1 billion, while medical products and distribution was flat; net profit fell to $399 million after a $184 million oncology-related goodwill impairment.
After a $184M write-down in a key growth unit, is Cardinal Health's optimistic earnings forecast built on shaky ground?
As medical profits plunge 36%, is Cardinal Health's pharma boom masking a deep vulnerability in its supply chain?