Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Cardinal Health, Inc. (0HTG.L)

Company Dividend Discount ModelIndustry: Medical - Equipment & ServicesSector: Healthcare

Valuation Snapshot

Stable Growth$136.10 - $334.69$203.24
Multi-Stage$540.84 - $597.17$568.44
Blended Fair Value$385.84
Current Price$156.96
Upside145.82%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS-2.79%0.72%2.052.072.182.322.382.362.402.412.402.13
YoY Growth---1.00%-4.95%-6.08%-2.44%0.70%-1.39%-0.69%0.69%12.70%11.30%
Dividend Yield--1.31%1.88%2.51%3.48%4.81%5.03%5.08%4.47%3.58%2.74%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)1,595.00
(-) Cash Dividends Paid (M)495.00
(=) Cash Retained (M)1,100.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)319.00199.38119.63
Cash Retained (M)1,100.001,100.001,100.00
(-) Cash Required (M)-319.00-199.38-119.63
(=) Excess Retained (M)781.00900.63980.38
(/) Shares Outstanding (M)240.75240.75240.75
(=) Excess Retained per Share3.243.744.07
LTM Dividend per Share2.062.062.06
(+) Excess Retained per Share3.243.744.07
(=) Adjusted Dividend5.305.806.13
WACC / Discount Rate2.56%2.56%2.56%
Growth Rate-1.28%-0.28%0.72%
Fair Value$136.10$203.24$334.69
Upside / Downside-13.29%29.49%113.23%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)1,595.001,590.461,585.941,581.431,576.931,572.451,619.62
Payout Ratio31.03%42.83%54.62%66.41%78.21%90.00%92.50%
Projected Dividends (M)495.00681.16866.251,050.291,233.271,415.211,498.15

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate2.56%2.56%2.56%
Growth Rate-1.28%-0.28%0.72%
Year 1 PV (M)657.50664.16670.82
Year 2 PV (M)807.12823.55840.15
Year 3 PV (M)944.59973.591,003.18
Year 4 PV (M)1,070.631,114.681,160.07
Year 5 PV (M)1,185.901,247.191,311.00
PV of Terminal Value (M)125,540.51132,029.35138,783.76
Equity Value (M)130,206.25136,852.52143,768.98
Shares Outstanding (M)240.75240.75240.75
Fair Value$540.84$568.44$597.17
Upside / Downside244.57%262.16%280.46%

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