Cardinal Health (CAH) Stock: Could It Hit $68?

By Amit Chowdhry ● May 19, 2022
  • The shares of Cardinal Health Inc (NYSE: CAH) have received a $68 price target from Evercore ISI. These are the details.

The shares of Cardinal Health Inc (NYSE: CAH) have received a $68 price target from Evercore ISI. And Evercore ISI analyst Elizabeth Anderson upgraded Cardinal Health from an “In Line” rating to an “Outperform” rating while increasing the price target from $55.

Anderson adjusted the rating after looking deeper at the trajectory of the medical segment for 2023. And Anderson noted the business can drive about $16.7 billion in revenue, or about 6% year-over-year growth.

Plus Anderson believes this segment is being undervalued by the market. Even after assigning a two-turn discount to Cardinal’s Pharma segment compared to its two closest peers, Anderson arrives at a fundamental value for the Pharma business of about $57 per share, which indicates the market is assigning zero value to the Medical segment.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.