Portfolio Grader currently ranks Cardinal Health Inc (NYSE:CAH) a Sell. The system for investing incorporated in this analytical tool developed by Louis Navellier researches and ranks nearly 5,000 stocks each week from a fundamental and quantitative perspective. The current overall Portfolio Grader recommendation on the shares has changed twice in the past month, which represents a greater level of change than is typical.
With a $21.4 billion market value, CAH ranks in the top 25% of its industry group, Health Care Providers & Services, and in the top 10% of its sector group, Health Care, in market value. From the perspective of investment attractiveness, the current Portfolio Grader ranking for CAH puts it 72 among the 83 companies in this industry group, a spot that is well below-average; squarely in the bottom quartile of the sector with a ranking of 630 among the 783 companies in the sector of its Health Care sector, and number 3,950 in the nearly 5,000 company Portfolio Grader universe.
Currently, Portfolio Grader ranks the Health Care sector number 8 among the 12 sectors in its universe putting it in the third quartile of all the GICS sectors. The Health Care Providers & Services industry group is ranked 29 among the 69 industry groups within the GICS sectors, placing it near the average in terms of the Navellier scoring system.
CAH scores are below-average in 7 of the 8 areas evaluated by Portfolio Grader in the ranking of company stocks.
The company's operational scores are below the industry norms for sales growth, operating margin, and earnings growth. Scores for visibility of earnings are worse than the industry norms for earnings revisions, earnings surprises, and earnings momentum. CAH's ranking for return on equity is much better than its industry group average but its grade for cash flow is below-average. Based on these fundamental scores, Cardinal Health places in the third quartile of the industry group.
Portfolio Grader uses the Navellier Proprietary Quantitative Score to measure CAH's shares from the viewpoint of risk/reward. This unique scoring methodology balances the relative value of CAH's shares based on the current price of the shares relative to its peers, the market and risk associated with its industry and sector groups. Using this risk/reward calculation, the company currently scores well below-average in its industry group compared to its peers.
Louis Navellier's proprietary Portfolio Grader stock ranking system assesses roughly 5,000 companies every week based on a number of fundamental and quantitative measures. Stocks are given a letter grade based on their results, with A being 'strong buy' and F being 'strong sell'. Explore the tool here.
Commentary provided by UpTick Data Technologies.