Research
Research Alert: CFRA Maintains Buy Rating On Shares Of Cencora
CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We cut our target by $86 to $300, a 16.9x multiple of our FY 26 (Sep.) EPS estimate of $17.73 (up from $17.55; our FY 27 estimate is raised to $19.67 from $19.58), between COR's three- and five-year historical forward averages of 17.4x and 15.8x, respectively. Shares declined significantly following a Q2 revenue miss (3.3% below consensus), impacted by customer losses and manufacturer list price reductions, causing a cut to annual sales growth guidance to 5% from 8%. Positively, the International Healthcare segment's revenue grew 13% (7% in constant currency) and operating income increased 14% (13% in constant currency), supported by a rebound in the global specialty logistics business, which achieved its second straight quarter of operating income growth. We look favorably on COR raising FY 26 adjusted operating income growth guidance (13% midpoint vs. 12.5%) as well as adjusted EPS guidance ($17.65-$17.90 from $17.45-$17.75 previously), supported by the resumption of share repurchases ($1B by year-end).
$COR