The current recommendation of Strong Sell for Cardinal Health Inc (NYSE:CAH) is the result of using Louis Navellier's Portfolio Grader stock evaluator, which incorporates his investing methodology. CAH has recently seen its Portfolio Grader rating downgraded over the last month from a Sell to a Strong Sell.
As one of the 783 companies in the GICS Health Care sector CAH is a member of the 83 company Health Care Providers & Services GICS industry group within this sector. CAH has a market value of $20.5 billion which is in the top quarter of its industry group The stock's Portfolio Grader ranking currently places it 73 among the 83 companies in this industry group, a position that is well below-average.
Portfolio Grader currently ranks the Health Care sector number 10 among the 12 sectors in its universe putting it in the bottom quartile of all the GICS sectors. The Health Care Providers & Services industry group is ranked 51 among the 69 industry groups within the GICS sectors, placing it below-average in terms of the Navellier scoring system.
Cardinal Health has attained below-average scores in 3 of the 8 fundamental 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 score for return on equity is decidedly better than its industry group average but its grade for cash flow is below-average. Cardinal Health's fundamental scores give CAH a place in the third quartile of the industry group.
Portfolio Grader quantitatively views CAH's shares using the Navellier Proprietary Quantitative Score. This metric looks at CAH's shares from the perspective of risk/reward. This exclusive scoring methodology assesses 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. Based on 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.