Friday December 21, 11:40 AM
Cardinal Health "outperform," target price reduced
NEW YORK, December 21 (newratings.com) - Analysts at Robert W Baird maintain their "outperform" rating on Cardinal Health Inc (ticker: CAH), while reducing their estimates for the company. The target price has been reduced from $80 to $72.
In a research note published this morning, the analysts mention that the company expects to record $12-$14 million in total charges due to the voluntary recall of Alaris Pump Module. The current-quarter results of Cardinal Health (NYSE: CAH - news) 's CTS (NYSE: CTS - news) segment are likely to be adversely affected by the remaining accrual of $8-$10 million, the analysts say. Cardinal Health's performance has been weak over the past few quarters and there is growing concern over the ability of the company's stock to return to its historic valuation, Robert W Baird adds. The EPS estimate for 2008 has been reduced from $4.00 to $3.98.
© 2007 New Ratings
Click here for more articles from NewRatings.com
|
|
|
Send Article by Email
