Cardinal Health Inc

CAH: XNYS (USA)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	$823.00	Ggbnjt	Pcmpyrxgb

Nonrenewal of OptumRx Contracts Throws a Wrench in Cardinal's Near-Term Dynamics

Keonhee Kim

Apr 22, 2024

Business Strategy and Outlook

Cardinal Health is one of three leading domestic wholesalers of branded, generic, and specialty pharmaceutical products. With roughly $190 billion in annual US drug distribution sales in fiscal 2023, the company supplies roughly one fourth of the overall market. Its two close competitors are Cencora and McKesson. Together, the three operate as a pharmaceutical wholesale and distribution oligopoly, supplying over 90% of the US market.

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United States