Cardinal Health stock: strong quarter lifts earnings outlook

Published on 11/09/2026 at 13:46 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Cardinal Health stock enters fiscal 2027 after a strong first quarter and a higher earnings outlook. Segment execution remains mixed.

Strong quarter supports higher guidance

First-quarter revenue rose 5 percent year over year to 67.5 billion US dollars.
Non-GAAP diluted EPS advanced 28 percent to 3.26 US dollars.
Management raised fiscal 2027 non-GAAP EPS guidance to 12.80 to 13.00 US dollars.

Cardinal Health, US14149Y1082, Illustration mit AI erstellt.

Cardinal Health reported a strong start to fiscal 2027 on Thursday, November 5, and raised its full-year adjusted earnings outlook. In its Cardinal Health newsroom release, the company said first-quarter revenue increased 5 percent year over year to 67.5 billion US dollars.

Pharma segment leads performance

GAAP operating earnings rose 13 percent to 753 million US dollars, while GAAP diluted earnings per share increased 27 percent to 2.38 US dollars. Non-GAAP operating earnings climbed 17 percent to 1.001 billion US dollars, and non-GAAP diluted EPS advanced 28 percent to 3.26 US dollars from 2.55 US dollars a year earlier. The adjusted figures exclude items including acquisition-related costs, restructuring, litigation effects and other specified charges.

The Pharmaceutical and Specialty Solutions segment supplied most of the operating momentum. Revenue increased 6 percent to 62.6 billion US dollars, while segment profit rose 17 percent to 783 million US dollars, supported by brand and specialty pharmaceutical sales and the generics program. Other revenue increased 7 percent to 1.8 billion US dollars, and profit rose 16 percent to 193 million US dollars.

Global Medical Products and Distribution was weaker. Revenue was broadly unchanged at 3.2 billion US dollars, while segment profit fell 28 percent to 33 million US dollars. Cardinal Health attributed the decline to unfavorable distribution and foreign-exchange effects, partly offset by growth in its own-brand products.

Higher outlook, uneven quarterly path

Cardinal Health lifted fiscal 2027 non-GAAP diluted EPS guidance to 12.80 to 13.00 US dollars from 12.40 to 12.60 US dollars. The new range implies growth of 17 to 19 percent from the fiscal 2026 baseline excluding the IEEPA tariff refund, or 14 to 15 percent from reported fiscal 2026 results.

Management also raised its forecast for Pharmaceutical and Specialty Solutions profit growth to 10 to 12 percent from 8 to 11 percent. Other revenue growth is now expected at 12 to 14 percent, versus 11 to 13 percent previously, while profit growth guidance increased to 17 to 20 percent from 15 to 18 percent. The company lowered its expected non-GAAP effective tax rate to 18.5 to 19.5 percent and expects 231 million to 232 million diluted weighted-average shares after completing a 500 million US dollar accelerated share repurchase in the quarter.

Management said earnings growth should moderate in the second and third quarters before strengthening in the fourth quarter. For investors, the raised outlook improves the earnings framework, but the weaker medical-products segment and the expected quarterly cadence remain relevant execution risks.

Cardinal Health stock traded at 245.45 euros on Lang & Schwarz at 13:40 CET on Monday, November 9, 2026. Investors can follow the real-time quote of Cardinal Health stock.