Cardinal HealthLTS:0HTG +0.19%83 Pretax Margin % is 0.64% as of Mar. 2026, which is 49% above its 10-year median of 0.43. GuruFocus rates LTS:0HTG with a GF Score™ of 83/100 and a GF Value™ of $140.72 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 117 Medical Distribution companies, Cardinal Health ranks worse than 73.5% on this metric.
The historical rank and industry rank for Cardinal Health's Pretax Margin % or its related term are showing as below:
LTS:0HTG'
s Pretax Margin % Range Over the Past 10 Years
Min: -2.47 Med: 0.43 Max: 1.87
Current: 0.8
LTS:0HTG's Pretax Margin % is ranked worse than 73.5% of 117
companies
in the Medical Distribution industry
Industry Median: 2.37
vs LTS:0HTG: 0.80
Cardinal Health (LTS:0HTG) Pretax Margin % Explanation
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
Cardinal Health Pretax Margin % Related Terms
Cardinal Health Pretax Margin % Historical Data
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The historical data trend for Cardinal Health's Pretax Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
LTS:0HTG vs COR, MCK, HSIC: Pretax Margin % Comparison
For the Medical Distribution subindustry, Cardinal Health's Pretax Margin %, along with its competitors' market caps and Pretax Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Cardinal Health Pretax Margin % vs Medical Distribution Industry
For the Medical Distribution industry and Healthcare sector, Cardinal Health's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Cardinal Health's Pretax Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Cardinal Health (LTS:0HTG) has a Pretax Margin % of 0.64% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Cardinal Health and its competitors. This is 49% above median its historical median of 0.43. According to the industry distribution chart, Cardinal Health ranks #86 out of 117 companies in the Medical Distribution industry, placing it in the top 73.5%.
Is Cardinal Health's Pretax Margin % too high?
Cardinal Health's current Pretax Margin % of 0.64% is 49% above median its 10-year median of 0.43. The Medical Distribution industry median Pretax Margin % is 2.37. Cardinal Health's value of 0.64% is 73% below this industry median. Based on the distribution chart, Cardinal Health ranks #86 out of 117 companies in the Medical Distribution industry, which is below the industry midpoint. Overall, Cardinal Health has a GF Score™ of 83/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Cardinal Health's Pretax Margin % compare to COR and MCK?
According to the Medical Distribution industry distribution chart, Cardinal Health ranks #86 out of 117 companies for Pretax Margin %. This places Cardinal Health in the lower half of its industry. The industry median Pretax Margin % is 2.37. Cardinal Health's value of 0.64% is 73% below this benchmark. While the company's 10-year median is 0.43 vs. the industry median of 2.37, Cardinal Health has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for a Medical Distribution company?
The median Pretax Margin % among Medical Distribution companies is 2.37, based on 117 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Cardinal Health's current Pretax Margin % of 0.64% is 73% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Cardinal Health and its competitors. For the Medical Distribution industry, the median Pretax Margin % is 2.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cardinal Health's current Pretax Margin % is 0.64%, which is 49% above median its own 10-year median of 0.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cardinal Health stock overvalued right now?
Based on GuruFocus' analysis, Cardinal Health (LTS:0HTG) is currently considered Significantly Overvalued. The stock's GF Value™ is $140.72, compared to a current price of $238.69 — trading 69.6% above its estimated fair value. The current Pretax Margin % is 0.64%, which is 49% above median its 10-year median of 0.43 and 73% below the Medical Distribution industry median of 2.37. Cardinal Health's overall GF Score™ is 83/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Cardinal Health (LTS:0HTG), the current Pretax Margin % is 0.64% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Cardinal Health (LTS:0HTG) Overvalued in 2026?
Based on GuruFocus' analysis, Cardinal Health stock appears to be overvalued.
The current stock price of $238.69 is trading 69.6% above its estimated GF Value™ of $140.72.
GuruFocus considers Cardinal Health to be Significantly Overvalued.
Key valuation signals for LTS:0HTG:
Pretax Margin %: 0.64% (49% above median its 10-year median of 0.43)
GF Value™: $140.72 vs. price of $238.69 (69.6% above fair value)
Industry Position: 73% below the Medical Distribution median (#86 of 117)
No single metric tells the full story. See the LTS:0HTG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cardinal Health is one of three leading pharmaceutical wholesalers in the US, engaged in sourcing and distributing of branded, generic, and specialty pharmaceutical products to pharmacies (retail chains, independent, and mail order), hospital networks, and healthcare providers. Cardinal, Cencora, and McKesson hold well over 90% of the US pharmaceutical wholesale industry. Cardinal Health also supplies medical-surgical products and equipment to healthcare facilities in North America, Europe, and Asia.
83GF Score
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