CAH FCF Yield Analysis
Higher than 47% of Healthcare sector peers
Updated 5h ago·SEC filings & market data
Key Takeaway
FCF Yield measures the free cash flow a company generates relative to its market value, expressed as a percentage; at 3.3%, Cardinal Health produces $3.30 in free cash flow for every $100 of equity value.
Sector Performance
47th percentileCAH
3.3%
Sector Median
3.4%
Sector Avg
-16.2%
Prior Period
3.4%(Aug 2026)
Deep Analysis
FCF Yield measures the free cash flow a company generates relative to its market value, expressed as a percentage; at 3.3%, Cardinal Health produces $3.30 in free cash flow for every $100 of equity value.
This sits just below the healthcare sector median of 3.4%, placing the stock at the 47th percentile among peers—essentially in the middle of the pack. The trend is limited: year-over-year change is N/A, but the quarter-over-quarter change is -2.9%, with historical values showing 3.3% most recently versus 3.4% prior. The combination of a near-median level and a small quarterly decline implies modest downside risk from cash generation, but no acute pressure given the lack of longer-term data. This level and trend support the overall NEUTRAL verdict, as the metric neither signals a standout cash generator nor a clear weakness relative to the sector.
Frequently Asked Questions
What does the FCF Yield tell investors about CAH?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
How does CAH's FCF Yield compare to its sector?
CAH's FCF Yield of 3.3% compares to a Healthcare sector median of 3.4%, placing it in the 47th percentile.
Who are CAH's closest peers by FCF Yield?
The closest Healthcare peers by FCF Yield include: ABT (3.4%), BIO (3.9%), A (2.8%), RVTY (4.2%), ALGN (4.3%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master CAH's Valuation
Get the complete institutional research report covering all fundamental and technical metrics.
View full CAH research report →CAH
3.3%
Sector Median
3.4%
Sector Avg
-16.2%
How CAH's FCF Yield compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.