Cardinal Health (CAH) closed the most recent trading day at $232.51, moving +1.38% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.21%. On the other hand, the Dow registered a gain of 1.03%, and the technology-centric Nasdaq decreased by 0.22%.

Shares of the prescription drug distributor have depreciated by 2.91% over the course of the past month, underperforming the Medical sector's loss of 0.43%, and the S&P 500's gain of 1.7%.

The investment community will be paying close attention to the earnings performance of Cardinal Health in its upcoming release. The company is slated to reveal its earnings on August 11, 2026. The company is predicted to post an EPS of $2.42, indicating a 16.35% growth compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $65.61 billion, indicating a 9.06% increase compared to the same quarter of the previous year.

CAH's full-year Zacks Consensus Estimates are calling for earnings of $10.77 per share and revenue of $256.24 billion. These results would represent year-over-year changes of +30.7% and +15.12%, respectively.

Any recent changes to analyst estimates for Cardinal Health should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been a 0.51% rise in the Zacks Consensus EPS estimate. Cardinal Health is currently sporting a Zacks Rank of #2 (Buy).

With respect to valuation, Cardinal Health is currently being traded at a Forward P/E ratio of 19.05. This expresses a premium compared to the average Forward P/E of 17.31 of its industry.

Also, we should mention that CAH has a PEG ratio of 1.12. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. CAH's industry had an average PEG ratio of 1.84 as of yesterday's close.

The Medical - Dental Supplies industry is part of the Medical sector. This group has a Zacks Industry Rank of 98, putting it in the top 40% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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Cardinal Health, Inc. (CAH): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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