Cardinal Health Delivers 70% EPS Jump, Guides FY27 Above Long-Term Target, and Authorizes $5B Buyback
CAH sits 81% above its 52-week low of $137.75.
Summary
Cardinal Health reported Q4 FY26 GAAP EPS of $1.70 (up 70%) and non-GAAP EPS of $2.91 (up 40%), with FY27 guidance above long-term targets. The board authorized a $5.0 billion incremental share repurchase, bringing total authorization to $6.4 billion.
Key Events · Earnings and Guidance · CAH
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Q4 Earnings Beat Across the Board
GAAP diluted EPS surged 70% to $1.70; non-GAAP diluted EPS rose 40% to $2.91, including a $0.31 IEEPA tariff refund benefit. Revenue grew 6% to $63.7 billion.
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FY27 Guidance Above Long-Term Target
Non-GAAP EPS guidance of $12.40–$12.60 implies 13–15% growth, exceeding the company's long-term EPS growth target. All segments are expected to grow profit.
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$5.0 Billion Incremental Buyback Authorized
The board approved a $5.0 billion increase to the share repurchase program, bringing total authorization to $6.4 billion. An additional $350 million accelerated buyback was completed in FY26, totaling $1.4 billion for the year.
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Capital Structure Simplification
A new $4.0 billion revolving credit facility replaces three historic facilities, and a long-term renewal of the Kroger wholesaler distribution contract was announced.
Analysis · CAH · Trade & Services
A standout quarter saw GAAP EPS climb 70% to $1.70 and non-GAAP EPS rise 40% to $2.91, fueled by broad-based strength across all five operating segments. FY26 non-GAAP EPS of $11.26 exceeded expectations, and the FY27 guidance of $12.40–$12.60 implies 13–15% growth, outpacing the company's long-term target. The board authorized a $5.0 billion incremental share repurchase, lifting the total authorization to $6.4 billion, and completed an additional $350 million accelerated buyback. A new $4.0 billion revolving credit facility simplifies the capital structure, while the long-term renewal of the Kroger contract secures a key distribution relationship. Together, the results and capital return signal strong operational momentum and confidence in sustained growth.
At the time of this filing, CAH was trading at $248.67 on NYSE in the Trade & Services sector, with a market capitalization of approximately $55.5B. The 52-week trading range was $137.75 to $244.87. This filing was assessed with positive market sentiment and an importance score of 9 out of 10.