Cardinal Health, Inc. (CAH) vs Henry Schein, Inc. (HSIC)

Cardinal Health, Inc. and Henry Schein, Inc. are both Medical Distribution companies. Cardinal Health, Inc. is the larger, with a market value of $51.6B against $9.5B — 5.4× the size. Henry Schein, Inc. trades at the lower P/E: 25.0× against 30.3×. Cardinal Health, Inc. grew revenue faster over the last twelve months: 14.2% against 6.49%. Henry Schein, Inc. has the higher net margin (2.96% vs 0.67%) and the lower return on invested capital (6.97% vs 125.1%). Across the 21 metrics below, Cardinal Health, Inc. leads on 11 and Henry Schein, Inc. on 10.

Valuation

Metric CAH HSIC Medical Distribution median
P/E 30.34 24.96 —
P/S 0.20 0.72 0.23
P/B n/m 2.57 —
Price to free cash flow 11.41 17.22 —
EV/EBITDA 15.69 12.01 15.49
EV/Sales 0.22 0.89 0.65
Earnings yield 3.30% 4.01% (22.94%)
Free cash flow yield 8.76% 5.81% (11.43%)

Profitability

Metric CAH HSIC Medical Distribution median
Gross margin 3.84% 31.32% 8.01%
Operating margin 1.03% 5.00% 0.46%
Net margin 0.67% 2.96% (6.08%)
Free cash flow margin 1.79% 4.18% 0.00%
Return on equity (63.98%) 10.20% 0.00%
Return on assets 3.10% 3.62% 0.00%
Return on invested capital 125.05% 6.97% 0.00%

Growth

Metric CAH HSIC Medical Distribution median
Revenue growth (TTM) 14.23% 6.49% 11.54%
EPS growth (last fiscal year) 12.09% 7.21% —
Revenue growth, 5-year CAGR 9.37% 5.43% 8.18%
Net income growth, 5-year CAGR 22.91% (0.30%) 0.00%

Health

Metric CAH HSIC Medical Distribution median
Debt to equity (3.26) 0.64 (0.34)
Current ratio 0.88 1.32 1.05
Net debt to EBITDA 1.13 2.27 (0.01)

Dividend

Metric CAH HSIC Medical Distribution median
Dividend yield 1.98% — —
Payout ratio 1.99 0.00 0.00

Size

Metric CAH HSIC Medical Distribution median
Market cap 51.55b 9.53b 172.03m

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