Cardinal Health raises full-year profit forecast, tops estimates

Published 12/06/2025, 11:56
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Investing.com -- Cardinal Health (NYSE:CAH) raised its full-year adjusted earnings per share (EPS) forecast, surpassing analyst expectations.

Shares rose 0.5% in pre-market Thursday trade.

The healthcare services company now expects adjusted EPS of $8.15 to $8.20 for the current fiscal year, up from its previous guidance of $8.05 to $8.15. The new forecast exceeds the average analyst estimate of $8.14, according to Bloomberg Consensus data.

Cardinal Health also established preliminary guidance for fiscal year 2026, projecting adjusted EPS of $9.10 to $9.30, which represents 13% growth at the mid-point compared to the current year’s outlook.

The company confirmed its long-term target of 12% to 14% compound annual growth rate (CAGR) for adjusted EPS from fiscal years 2026 through 2028. Additionally, Cardinal Health raised its long-term profit growth target for its Pharmaceutical (TADAWUL:2070) and Specialty Solutions segment to 5% to 7% normalized growth.

In terms of cash flow, the company expects to generate at least $10 billion in total adjusted free cash flow over the next three years. Cardinal Health also increased its baseline share repurchase plans to at least $750 million per year.

The company is hosting an Investor Day starting at 9 a.m. ET, where management will provide details on growth strategies, updated long-term financial outlook, and capital allocation plans. The company noted that its capital allocation framework will remain unchanged.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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