![]() ![]() Having scored a season-low 17 points in a loss seven days prior, Patrick Mahomes and the Chiefs were at their offensive best with all the world watching. Mahomes the magnificent gets this one against the G.O.A.T.This range opens the door for outperformance but just barely and assumes inflationary pressures won’t become worse than forecast. The company did not give specific guidance for revenue but is expecting adjusted EPS in the range of $5.60 to $5.90 verse the consensus $5.80. Looking forward, the company is expecting revenue strength to continue and is taking steps to mitigate margin decline (cough cough higher prices on some products) but it may not be enough to keep investors happy. Moving down to the bottom line, the $1.94 in GAAP and $1.29 in adjusted earnings both missed by $0.06 despite the revenue strength. Medical segment profit fell 46% on rising supply chain costs that include labor and shipping. Moving on to the margin, the pharma segment profit increased by 1% but was offset by a decline in the medical segment. The revenue strength was driven by a 13% increase in pharma sales that were underpinned by COVID-19 products and a 5% increase in medical sales. The company reported $43.97 billion in consolidated revenue which is up 12.% over last year and beat the consensus by 510 basis points but serious margin pressure cut into the bottom line. Cardinal Health Reports Mixed QuarterĬardinal Health had a good quarter if one mixed in relation to the analyst’s estimates. As for the dividend, the company is paying out only 33% of its earnings and keeping the increases to the low-single-digits so we see a very high likelihood for the 26th consecutive distribution increase to be declared early next calendar year. This is equal to 21% of the stocks market capitalization and will surely be a boost to share prices in that time. The key takeaway is that cash flow remains strong as well, strong enough to sustain the high 3.9% dividend yield and allow the board to authorize a new repurchase program.Ĭardinal Health’s board authorized a new repurchase program worth $3 billion over $3 years. Aside from that, business is strong if hampered by inflation. The good news is that a group settlement appears to be moving forward and proving some clarity for investors. The dark cloud hanging over the company’s head is opioids and its role in distributing them. The company is a middleman for pharmacy and medical products of all manner and well-positioned in an industry growing in both patient count and dollar spent per patient. We’ve liked Cardinal Health (NYSE: CAH)for a long time. High-Yield Dividend Aristocrat Cardinal Health Is A Steal 7 Blue-Chip Dividend Stocks That Won’t be Impacted by Rising Interest Rates.7 Mid-Cap Stocks That Can be the Perfect Fit at Any Time.7 Stocks to Buy to Outrun Rising Interest Rates.7 Sports Betting Stocks to Buy for Their Long-Term Possibilities.7 Water Stocks to Buy as the World Dries Up.7 Solar Stocks Leading the Clean Energy Boom.7 Railroad Stocks to Keep Your Portfolio Chugging Along.7 Agricultural Stocks to Buy to Keep Your Portfolio Well Fed.7 Streaming Stocks that Will Stand up to Streaming Fatigue.7 Cash Rich Stocks That Offer Safety in Any Market.7 Small-Cap Stocks That Could Rocket Higher in 2023.United Health Group Continues to Justify a Premium Valuation.Should Investors Look to Bag Shares of Kroger’s or Albertson’s?.Is NVIDA Stock Getting Too Cheap to Ignore?.Here are 3 Stocks That Benefit From a Strong U.S.Watch These 3 Economic Reports to Impact Interest Rate Hikes.The Bottom Is In For JPMorgan Chase & Co.Fisker is Entering a Critical Stage That Could Reward Investors.Biogen's Stock Pullback Offers a Second Chance. ![]() ![]() Google, Amazon and Tesla, 3 Big Stocks Set to Move Higher.The Trader's Guide to Equities Research. ![]()
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