Checking the Overall Picture for Cardinal Health, Inc. (CAH)

Cardinal Health, Inc. (CAH) is an interesting player in the Services space, with a focus on Drugs Wholesale. The stock has been active on the tape, currently trading at $72.36, up from yesterday’s close by 1.69%. Given the stock’s recent action, it seemed like a good time to take a closer look at the company’s recent data.

Fundamental Analysis

Cardinal Health, Inc. (CAH) currently trades with a market capitalization of $22.79 Billion. That value represents a market adjusting for revenues that have been growing by 6.14 % on a quarterly year/year basis as of the company’s last quarterly report.

You can get a sense of how sustainable that is by a levered free cash flow of $1.64 Billion over the past twelve months. Generally speaking, earnings are expected to fall in coming quarters. Analysts are forecasting earnings of $1.52 on a per share basis this quarter. Perhaps, that suggests something about why 1.36% of the outstanding share supply is held by institutional investors.

Technical Analysis

We’ve taken a serious look at this stock from a fundamental perspective, but the tale of the tape may offer more hints about what lies under the surface. Looking at the stock’s movement on the chart, Cardinal Health, Inc. recorded a 52-week high of $84.88. It is now trading 12.52% off that level. The stock is trading $68.94 its 50-day moving average by -3.42%. The stock carved out a 52-week low down at $54.66.

In recent action, Cardinal Health, Inc. (CAH) has made a move of +8.45% over the past month, which has come on weak relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 17.8, and it’s gotten there by action that has been more volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 3.99% with $313.40 Million sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of CAH.

Previous articleChecking the Overall Picture for Arcadia Biosciences, Inc. (RKDA)
Next articleChecking the Overall Picture for Dermira, Inc. (DERM)