Cardinal Health rises on extended CVS distribution deal

Cardinal Health Inc (NYSE:CAH) experienced a 3.7% increase in shares on Thursday following the announcement of an extension of its drug distribution agreement with CVS Health through June 2032. The pharmaceutical distributor entered into a binding Letter of Intent to extend its existing distribution agreement with CVS Health through June 30, 2032, maintaining the current scope of distribution services.

Cardinal Health's CEO, Jason Hollar, expressed appreciation for the long-standing partnership with CVS Health and reiterated the company's commitment to delivering best-in-class capabilities. The company reaffirmed its fiscal year 2027 non-GAAP EPS guidance of 13% to 15% growth, or $12.40 to $12.60, and maintained its long-term non-GAAP EPS growth rate guidance of 12% to 14%.

Further updates may be provided during the upcoming first quarter earnings call on November 5, 2026. Cardinal Health distributes pharmaceuticals and specialty products, manufactures and distributes medical and laboratory products, and provides home-health and direct-to-patient products and services.

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