Cardinal Health Inc (CAH)vsJohnson & Johnson (JNJ)
CAH
Cardinal Health Inc
$192.88
-4.90%
HEALTHCARE · Cap: $47.73B
JNJ
Johnson & Johnson
$229.85
+1.10%
HEALTHCARE · Cap: $547.28B
Smart Verdict
WallStSmart Research — data-driven comparison
Cardinal Health Inc generates 154% more annual revenue ($244.67B vs $96.36B). JNJ leads profitability with a 21.8% profit margin vs 0.7%. CAH appears more attractively valued with a PEG of 1.32. JNJ earns a higher WallStSmart Score of 59/100 (C).
CAH
Buy53
out of 100
Grade: C-
JNJ
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+73.1%
Fair Value
$834.93
Current Price
$192.88
$642.05 discount
Margin of Safety
-43.5%
Fair Value
$160.13
Current Price
$229.85
$69.72 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
18.8% revenue growth
Mega-cap, among the largest globally
Every $100 of equity generates 26 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 27.4%
Generating 1.5B in free cash flow
Areas to Watch
Moderate valuation
ROE of 0.0% — below average capital efficiency
0.7% margin — thin
Operating margin of 1.2%
Moderate valuation
Expensive relative to growth rate
Earnings declined 52.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : CAH
The strongest argument for CAH centers on Altman Z-Score, Revenue Growth. Revenue growth of 18.8% demonstrates continued momentum. PEG of 1.32 suggests the stock is reasonably priced for its growth.
Bull Case : JNJ
The strongest argument for JNJ centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 21.8% and operating margin at 27.4%.
Bear Case : CAH
The primary concerns for CAH are P/E Ratio, Return on Equity, Profit Margin. Thin 0.7% margins leave little buffer for downturns.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
CAH profiles as a growth stock while JNJ is a mature play — different risk/reward profiles.
CAH carries more volatility with a beta of 0.65 — expect wider price swings.
CAH is growing revenue faster at 18.8% — sustainability is the question.
JNJ generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
JNJ scores higher overall (59/100 vs 53/100), backed by strong 21.8% margins. CAH offers better value entry with a 73.1% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Cardinal Health Inc
HEALTHCARE · MEDICAL DISTRIBUTION · USA
Cardinal Health, Inc. is an American multinational health care services company.
Visit Website →Johnson & Johnson
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Johnson & Johnson (J&J) is an American multinational corporation founded in 1886 that develops medical devices, pharmaceuticals, and consumer packaged goods. Its common stock is a component of the Dow Jones Industrial Average and the company is ranked No. 36 on the 2021 Fortune 500 list of the largest United States corporations by total revenue. Johnson & Johnson is one of the world's most valuable companies, and is one of only two U.S.-based companies that has a prime credit rating of AAA, higher than that of the United States government.
Visit Website →Compare with Other MEDICAL DISTRIBUTION Stocks
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