Cardinal Health (STU:CLH) ROCE %: 13.47% (As of Mar. 2026)


STU:CLH Cardinal Health Inc STU:CLH
71 GF Score
Price €209.00
GF Value €124.03
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Cardinal Health ROCE %?

Cardinal Health STU:CLH +0.14% 71 ROCE % is 13.47% as of Mar. 2026. GuruFocus rates STU:CLH with a GF Score™ of 71/100 and a GF Value™ of €124.03 (Significantly Overvalued). The stock has 6 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Cardinal Health's annualized ROCE % for the quarter that ended in Mar. 2026 was 13.47%.

Cardinal Health  (STU:CLH) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Cardinal Health ROCE % Related Terms

Cardinal Health ROCE % Historical Data

* Premium members only.

The historical data trend for Cardinal Health's ROCE % 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.

Cardinal Health ROCE % Chart

Cardinal Health Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.86 -4.53 6.42 13.16 19.00

Cardinal Health Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 23.30 12.94 18.43 19.34 13.47
STU:CLH
71GF Score
Cardinal Health Inc STU:CLH
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Cardinal Health ROCE % Calculation

Cardinal Health's annualized ROCE % for the fiscal year that ended in Jun. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Jun. 2025 )  (A: Jun. 2024 )(A: Jun. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Jun. 2025 )  (A: Jun. 2024 )(A: Jun. 2025 )
=2007.972/( ( (41917.409 - 33109.56) + (46056.774 - 33723.699) )/ 2 )
=2007.972/( (8807.849+12333.075)/ 2 )
=2007.972/10570.462
=19.00 %

Cardinal Health's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=1705.78/( ( (49602.882 - 36990.156) + (49035.985 - 36320.485) )/ 2 )
=1705.78/( ( 12612.726 + 12715.5 )/ 2 )
=1705.78/12664.113
=13.47 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

* 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.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 13.47% mean?
Cardinal Health (STU:CLH) has a ROCE % of 13.47% as of Mar. 2026.
Is Cardinal Health's ROCE % too high?
Cardinal Health's current ROCE % is 13.47%. The Medical Distribution industry median ROCE % is 8.92. Cardinal Health's value of 13.47% is 51% above this industry median. Overall, Cardinal Health has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Cardinal Health's ROCE % compare to COR and MCK?
Cardinal Health's ROCE % of 13.47% can be compared against companies in the Medical Distribution industry. The industry median ROCE % is 8.92. Cardinal Health's value of 13.47% is 51% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Medical Distribution company?
The median ROCE % among Medical Distribution companies is 8.92, based on 117 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Cardinal Health's current ROCE % of 13.47% is 51% above 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 ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Medical Distribution industry, the median ROCE % is 8.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cardinal Health's current ROCE % is 13.47%. 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 (STU:CLH) is currently considered Significantly Overvalued. The stock's GF Value™ is €124.03, compared to a current price of €209.00 — trading 68.5% above its estimated fair value. The current ROCE % is 13.47% and 51% above the Medical Distribution industry median of 8.92. Cardinal Health's overall GF Score™ is 71/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Cardinal Health (STU:CLH), the current ROCE % is 13.47% 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 (STU:CLH) Overvalued in 2026?

Based on GuruFocus' analysis, Cardinal Health stock appears to be overvalued. The current stock price of €209.00 is trading 68.5% above its estimated GF Value™ of €124.03. GuruFocus considers Cardinal Health to be Significantly Overvalued.

Key valuation signals for STU:CLH:

  • ROCE %: 13.47%
  • GF Value™: €124.03 vs. price of €209.00 (68.5% above fair value)
  • GF Score™: 71/100 with 6 warning signs
  • Industry Position: 51% above the Medical Distribution median

No single metric tells the full story. See the STU:CLH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Cardinal Health Business Description

Address 7000 Cardinal Place, Dublin, OH, USA, 43017
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.
71GF Score

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ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€209.00
Price
€124.03
GF Value