WallStSmart

Cardinal Health Inc (CAH)vsWestern Digital Corporation (WDC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cardinal Health Inc generates 2179% more annual revenue ($244.67B vs $10.73B). CAH leads profitability with a 68.0% profit margin vs 35.6%. WDC appears more attractively valued with a PEG of 0.69. WDC earns a higher WallStSmart Score of 55/100 (C).

CAH

Buy

53

out of 100

Grade: C-

Growth: 7.3Profit: 7.5Value: 8.7Quality: 5.8
Piotroski: 4/9Altman Z: 4.30

WDC

Buy

55

out of 100

Grade: C

Growth: 2.0Profit: 9.0Value: 7.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CAHUndervalued (+13.6%)

Margin of Safety

+13.6%

Fair Value

$259.58

Current Price

$207.83

$51.75 discount

UndervaluedFair: $259.58Overvalued
WDCSignificantly Overvalued (-311.2%)

Margin of Safety

-311.2%

Fair Value

$66.57

Current Price

$293.10

$226.53 premium

UndervaluedFair: $66.57Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CAH4 strengths · Avg: 9.5/10
Profit MarginProfitability
68.0%10/10

Keeps 68 of every $100 in revenue as profit

Operating MarginProfitability
123.0%10/10

Strong operational efficiency at 123.0%

Altman Z-ScoreHealth
4.3010/10

Safe zone — low bankruptcy risk

Revenue GrowthGrowth
18.8%8/10

18.8% revenue growth

WDC4 strengths · Avg: 9.3/10
Return on EquityProfitability
41.1%10/10

Every $100 of equity generates 41 in profit

Profit MarginProfitability
35.6%10/10

Keeps 36 of every $100 in revenue as profit

Market CapQuality
$100.21B9/10

Large-cap with strong market position

PEG RatioValuation
0.698/10

Growing faster than its price suggests

Areas to Watch

CAH2 concerns · Avg: 3.5/10
P/E RatioValuation
30.3x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

WDC4 concerns · Avg: 3.0/10
P/E RatioValuation
29.9x4/10

Moderate valuation

Price/BookValuation
14.0x4/10

Trading at 14.0x book value

Revenue GrowthGrowth
-41.0%2/10

Revenue declined 41.0%

EPS GrowthGrowth
-95.9%2/10

Earnings declined 95.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : CAH

The strongest argument for CAH centers on Profit Margin, Operating Margin, Altman Z-Score. Profitability is solid with margins at 68.0% and operating margin at 123.0%. Revenue growth of 18.8% demonstrates continued momentum.

Bull Case : WDC

The strongest argument for WDC centers on Return on Equity, Profit Margin, Market Cap. Profitability is solid with margins at 35.6% and operating margin at 15.4%. PEG of 0.69 suggests the stock is reasonably priced for its growth.

Bear Case : CAH

The primary concerns for CAH are P/E Ratio, Return on Equity.

Bear Case : WDC

The primary concerns for WDC are P/E Ratio, Price/Book, Revenue Growth.

Key Dynamics to Monitor

CAH profiles as a growth stock while WDC is a declining play — different risk/reward profiles.

WDC carries more volatility with a beta of 1.85 — expect wider price swings.

CAH is growing revenue faster at 18.8% — sustainability is the question.

WDC generates stronger free cash flow (653M), providing more financial flexibility.

Bottom Line

WDC scores higher overall (55/100 vs 53/100), backed by strong 35.6% margins. 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.

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Western Digital Corporation

TECHNOLOGY · COMPUTER HARDWARE · USA

Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage services.

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