Core Insights - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] - The Zacks Momentum Style Score helps investors identify stocks with strong momentum, addressing the challenges of defining momentum [2] Company Overview: Cardinal Health (CAH) - Cardinal Health currently holds a Momentum Style Score of A, indicating strong momentum potential [3] - The company has a Zacks Rank of 2 (Buy), suggesting it is positioned for outperformance in the market [4] Performance Metrics - Over the past week, CAH shares increased by 6.76%, while the Zacks Medical - Dental Supplies industry saw a slight decline of 0.03% [6] - In a longer timeframe, CAH's monthly price change is 29.83%, significantly outperforming the industry's 1.27% [6] - Over the last quarter, CAH shares rose by 36.13%, and over the past year, they increased by 68.94%, compared to the S&P 500's gains of 6.44% and 13.97%, respectively [7] Trading Volume - CAH's average 20-day trading volume is 2,610,722 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Outlook - In the past two months, 6 earnings estimates for CAH have been revised upwards, with no downward revisions, leading to an increase in the consensus estimate from $9.45 to $9.79 [10] - For the next fiscal year, 5 estimates have also moved higher, indicating positive sentiment around CAH's earnings potential [10] Conclusion - Given the strong performance metrics and positive earnings outlook, CAH is positioned as a solid momentum pick with a Momentum Score of A and a Zacks Rank of 2 (Buy) [12]

Core Viewpoint - The market anticipates Cencora (COR) will report a year-over-year increase in earnings driven by higher revenues in its upcoming earnings report for the quarter ended June 2025 [1][3]. Earnings Expectations - Cencora is expected to post quarterly earnings of $3.78 per share, reflecting a year-over-year increase of +13.2% [3]. - Revenues are projected to reach $80.33 billion, representing an 8.2% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 0.39% higher in the last 30 days, indicating a positive reassessment by analysts [4]. - The Most Accurate Estimate for Cencora is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +1.49% [12]. Earnings Surprise Prediction - A positive Earnings ESP reading suggests a likely earnings beat, especially when combined with a Zacks Rank of 2 (Buy) [10][12]. - Cencora has a Zacks Rank of 2, indicating a strong likelihood of exceeding the consensus EPS estimate [12]. Historical Performance - In the last reported quarter, Cencora exceeded the expected earnings of $4.08 per share by delivering $4.42, resulting in a surprise of +8.33% [13]. - The company has beaten consensus EPS estimates in each of the last four quarters [14]. Industry Comparison - Another player in the Zacks Medical Services industry, Organon (OGN), is expected to report earnings of $0.94 per share, indicating a year-over-year decline of -16.1% [18]. - Organon's revenues are projected to be $1.55 billion, down 3.4% from the previous year [18]. - Despite a stable consensus EPS estimate, Organon has a positive Earnings ESP of +5.32% and a Zacks Rank of 2, suggesting it may also beat consensus estimates [19].

Core Insights - Cencora reported quarterly earnings of $4.42 per share, exceeding the Zacks Consensus Estimate of $4.08 per share, and up from $3.80 per share a year ago, representing an earnings surprise of 8.33% [1] - The company achieved revenues of $75.45 billion for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 0.85% and increasing from $68.41 billion year-over-year [2] - Cencora has consistently outperformed consensus EPS and revenue estimates over the last four quarters [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $3.80 on revenues of $80.95 billion, and for the current fiscal year, it is $15.37 on revenues of $317.7 billion [7] - The trend of estimate revisions for Cencora is favorable, contributing to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Medical Services industry, to which Cencora belongs, is currently ranked in the top 27% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Group 1 - McKesson's stock closed at $679.33, showing a +1.13% change, outperforming the S&P 500's loss of 3.46% [1] - Over the last month, McKesson's shares increased by 4.85%, while the Medical sector and S&P 500 experienced losses of 10.85% and 5.27% respectively [1] Group 2 - McKesson is expected to report earnings of $9.81 per share on May 8, 2025, reflecting a year-over-year growth of 58.74% [2] - The consensus revenue estimate for McKesson is $93.7 billion, indicating a 22.72% growth compared to the same quarter last year [2] Group 3 - Recent revisions to analyst forecasts for McKesson can indicate shifts in short-term business patterns, with positive revisions suggesting a favorable business outlook [3] - The Zacks Rank system, which incorporates estimate changes, provides actionable ratings for stocks [4] Group 4 - McKesson currently holds a Zacks Rank of 3 (Hold), with the consensus EPS estimate moving 0.26% lower over the last 30 days [5] - The Forward P/E ratio for McKesson is 17.85, which is higher than the industry average of 15.09 [6] - McKesson has a PEG ratio of 1.26, compared to the Medical - Dental Supplies industry's average PEG ratio of 1.55 [6] Group 5 - The Medical - Dental Supplies industry, which includes McKesson, has a Zacks Industry Rank of 75, placing it in the top 31% of over 250 industries [7] - Industries in the top 50% of the Zacks Rank tend to outperform those in the bottom half by a factor of 2 to 1 [7]