Cardinal Health, Inc. (NYSE:CAH) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a note issued to investors on Monday.

According to Zacks, “Cardinal Health ended fourth-quarter fiscal 2017 on a solid note, courtesy of an encouraging performance at the Medical segment. Although, the Pharmaceutical segment witnessed strong growth in the Specialty business and gained a huge number of Pharmaceutical Distribution customers, profits at the segment were hurt by generic pharmaceutical pricing and the loss of a major Pharmaceutical Distribution customer. Over the past one year, the company has underperformed the broader industry with respect to price. Increasing generic pricing pressure is a major headwind. Intensifying competition and customer concentration are other bottlenecks. A sluggish macroeconomic scenario and tough product pricing environment are likely to impede growth. Meanwhile, the company is banking on strategic buyouts, joint ventures and supply agreements to drive growth. A solid fiscal 2018 guidance instills our confidence in the stock.”

Several other brokerages have also recently commented on CAH. Vetr cut Cardinal Health from a “buy” rating to a “hold” rating and set a $77.92 target price on the stock. in a report on Thursday, June 1st. Cowen and Company decreased their target price on Cardinal Health from $89.00 to $82.00 and set a “market perform” rating on the stock in a report on Tuesday, April 25th. Jefferies Group LLC restated a “hold” rating and set a $77.00 target price on shares of Cardinal Health in a report on Thursday, July 27th. Evercore ISI increased their target price on Cardinal Health from $77.50 to $78.00 and gave the stock an “outperform” rating in a report on Tuesday, May 2nd. Finally, ValuEngine cut Cardinal Health from a “buy” rating to a “hold” rating in a report on Friday, June 2nd. Two analysts have rated the stock with a sell rating, fourteen have issued a hold rating and four have given a buy rating to the company. Cardinal Health presently has an average rating of “Hold” and a consensus price target of $80.46.

Shares of Cardinal Health (CAH) opened at 69.05 on Monday. The company has a 50-day moving average of $77.38 and a 200 day moving average of $77.27. Cardinal Health has a 12-month low of $62.70 and a 12-month high of $84.90. The firm has a market cap of $21.82 billion, a P/E ratio of 17.13 and a beta of 0.80.

Cardinal Health (NYSE:CAH) last announced its earnings results on Wednesday, August 2nd. The company reported $1.31 EPS for the quarter, topping the consensus estimate of $1.24 by $0.07. The company had revenue of $32.97 billion for the quarter, compared to analysts’ expectations of $32.73 billion. Cardinal Health had a return on equity of 26.20% and a net margin of 0.99%. The business’s revenue for the quarter was up 5.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.14 earnings per share. Equities analysts predict that Cardinal Health will post $5.07 EPS for the current year.

TRADEMARK VIOLATION WARNING: This report was published by American Banking News and is the property of of American Banking News. If you are accessing this report on another publication, it was stolen and republished in violation of international copyright & trademark laws. The original version of this report can be viewed at https://www.americanbankingnews.com/2017/08/07/cardinal-health-inc-nysecah-downgraded-by-zacks-investment-research.html.

In other Cardinal Health news, CEO of Cardinal Health’s pharmaceutical segment Jon L. Giacomin sold 23,270 shares of the stock in a transaction dated Friday, May 12th. The stock was sold at an average price of $72.87, for a total value of $1,695,684.90. Following the transaction, the insider now owns 55,440 shares of the company’s stock, valued at $4,039,912.80. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 0.94% of the company’s stock.

A number of institutional investors have recently added to or reduced their stakes in the stock. Advisory Services Network LLC bought a new position in Cardinal Health during the first quarter valued at $120,000. JFS Wealth Advisors LLC raised its position in Cardinal Health by 14.3% in the second quarter. JFS Wealth Advisors LLC now owns 1,949 shares of the company’s stock valued at $152,000 after buying an additional 244 shares during the last quarter. Quadrant Capital Group LLC raised its position in Cardinal Health by 6.3% in the first quarter. Quadrant Capital Group LLC now owns 1,972 shares of the company’s stock valued at $156,000 after buying an additional 116 shares during the last quarter. Dupont Capital Management Corp bought a new position in Cardinal Health during the second quarter valued at $164,000. Finally, First Personal Financial Services raised its position in Cardinal Health by 127.5% in the second quarter. First Personal Financial Services now owns 2,209 shares of the company’s stock valued at $172,000 after buying an additional 1,238 shares during the last quarter. 87.09% of the stock is currently owned by hedge funds and other institutional investors.

About Cardinal Health

Cardinal Health, Inc is a healthcare services and products company. The Company operates through two segments: Pharmaceutical and Medical. The Pharmaceutical segment distributes branded and generic pharmaceutical, specialty pharmaceutical, over-the-counter healthcare and consumer products. This segment also operates nuclear pharmacies and cyclotron facilities; provides pharmacy management services to hospitals, as well as medication therapy management and patient outcomes services to hospitals, other healthcare providers and payers, and provides services to healthcare companies.

Get a free copy of the Zacks research report on Cardinal Health (CAH)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Analyst Recommendations for Cardinal Health (NYSE:CAH)

Receive News & Ratings for Cardinal Health Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Cardinal Health Inc. and related companies with MarketBeat.com's FREE daily email newsletter.