Core Viewpoint - Cardinal Health, Inc. is poised to report strong fiscal second-quarter earnings for 2026, with significant growth in earnings per share (EPS) anticipated due to various strategic initiatives and market performance [1][2][5]. Financial Performance - Analysts expect Cardinal Health to report a profit of $2.31 per share on a diluted basis, reflecting a 19.7% increase from $1.93 per share in the same quarter last year [2]. - For the full fiscal year, EPS is projected to be $9.86, up 19.7% from $8.24 in fiscal 2025, with further growth expected to $10.90 in fiscal 2027, representing a year-over-year increase of 10.6% [3]. Stock Performance - Cardinal Health's stock has outperformed the S&P 500 Index, which gained 16.4% over the past 52 weeks, with CAH shares increasing by 74.3% during the same period [4]. - The company also significantly outperformed the Health Care Select Sector SPDR Fund, which returned 12.8% in the same timeframe [4]. Strategic Initiatives - The strong performance of Cardinal Health is attributed to the acquisition of Solaris Health, which added over 750 providers to its MSO platform, alongside robust organic growth in pharmaceuticals, generics, and specialty solutions [5]. - New customer acquisitions, effective cost controls, and investments in automation and logistics are enhancing profitability, with double-digit growth expected in specialty platforms such as autoimmune, urology, and oncology [5]. Recent Developments - On October 30, Cardinal Health shares rose more than 15% following the release of Q1 results, where adjusted EPS of $2.55 exceeded Wall Street expectations of $2.21, and revenue reached $64 billion, surpassing forecasts of $59.1 billion [6]. - The company anticipates full-year adjusted EPS to be in the range of $9.65 to $9.85 [6].

Core Insights - McKesson Corporation has a market capitalization of $97.9 billion and is a leader in healthcare services and information technology, operating through four segments: U.S. Pharmaceutical, Prescription Technology Solutions, Medical-Surgical Solutions, and International [1] Financial Performance - McKesson is expected to announce its fiscal Q2 2026 results on November 5, with analysts forecasting an adjusted EPS of $8.92, representing a 26.2% increase from $7.07 in the same quarter last year [2] - For fiscal 2026, analysts predict an adjusted EPS of $38.12, a 15.3% increase from $33.05 in fiscal 2025 [3] Stock Performance - Over the past 52 weeks, McKesson's stock has increased by 54.9%, outperforming the S&P 500 Index's rise of 15.1% and the Health Care Select Sector SPDR Fund's decline of 3.1% [4] Recent Developments - Despite reporting a better-than-expected Q1 2026 adjusted EPS of $8.26 and revenue of $97.83 billion, McKesson's shares fell by 5.8% the following day due to a 10.7% drop in GAAP EPS to $6.25, attributed to a $189 million bad debt provision related to the Rite Aid bankruptcy [5] Analyst Ratings - The consensus rating for McKesson stock is bullish, with a "Strong Buy" rating from 12 out of 17 analysts, while the average price target is $839.27, indicating a potential upside of 6.3% from current levels [6]

Core Insights - Cardinal Health, Inc. is a healthcare services and products company with a market cap of $36.6 billion, providing a range of services including pharmaceutical distribution and healthcare product manufacturing [1] - The company is expected to announce its fiscal first-quarter earnings for 2026 on October 30, with analysts predicting a profit of $2.21 per share, a 17.6% increase from the previous year [2] - For the full fiscal year, analysts forecast an EPS of $9.45, reflecting a 14.7% increase from $8.24 in fiscal 2025, and an expected rise to $10.58 in fiscal 2027 [3] Stock Performance - Cardinal Health's stock has underperformed compared to the S&P 500 Index, which gained 14.7% over the past 52 weeks, while CAH shares increased by 39% [4] - Following a mixed Q4 earnings report, CAH shares dropped 7.2%, despite an adjusted EPS of $2.08 beating estimates, while revenue of $60.2 billion slightly missed expectations [5] Analyst Ratings - The consensus opinion on CAH stock is bullish, with a "Strong Buy" rating from 11 out of 15 analysts, while four analysts recommend a "Hold" [6] - The average analyst price target for CAH is $179.80, indicating a potential upside of 15.5% from current levels [6]