Cardinal Health Exceeds Estimates In 2Q

Deutsche Bank has issued a company alert on Cardinal Health CAH after the company's 2Q far exceeded analyst estimates. In the report, Deutsche Bank writes "CAH reported FY2Q'11 EPS of $0.69, well above our EPS estimate of $0.63 and the Reuter's consensus estimate of $0.61. CAH also reported revenue of $25.4 Bn (total growth of 2%), above our estimate of $25.0 Bn. The Pharma segment grew 2%, while the Medical segment declined 1% (as expected). Adjusted OM came in at 1.47% vs. 1.44% in FY2Q'10. Pharma segment profits grew 11% y‐o‐y, while Medical segment profits were flat due to tough comps." Deutsche Bank maintains its Buy rating and $46 price target. Cardinal Health closed yesterday at $41.69.