Is the business good?
How good a business is CAH?
Cardinal Health earns 59% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
59%
Return on invested capital · cost of capital 9.0% · 50 points above what the capital costs: growth creates value
- Operating margin
- 1.0%
Operating margin · Healthcare median 3.4% · 12 months to Q2 2026
- Cash conversion
- 3.31×
Cash conversion · −0.37× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −2.5%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2021 | 0.29% |
| FY2022 | −0.33% |
| FY2023 | 0.37% |
| FY2024 | 0.55% |
| FY2025 | 1.0% |
| FY2026 | 1.0% |
Details›
- Gross margin12 months to Q2 2026
- 3.7%
- Operating margin12 months to Q2 2026
- 1.0%
- Net margin12 months to Q2 2026
- 0.68%
- Free cash flow margin
- 2.3%
- Revenue, trailing twelve months
- $244.7B
- Free cash flow, trailing twelve months
- $5.50B
- Net income, trailing twelve months
- $1.66B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 59%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Healthcare
Ranks #70 of 345 by Smart Score