UNH - Drug Distributing Giant Cardinal Health Will Not Renew OptumRx Distribution Pact Stock Plunges | Benzinga
Monday, Cardinal Health, Inc. (NYSE:CAH) announced that its pharmaceutical distribution contracts with OptumRx, which expire at the end of June 2024, will not be renewed.
OptumRx is a subsidiary of UnitedHealth Group Inc (NYSE:UNH).
Cardinal Health reaffirmed its fiscal 2024 adjusted EPS guidance of $7.20-$7.35 versus the consensus of $7.29.
With a market cap of almost $26 billion, Cardinal Health is a distributor of pharmaceuticals, a global manufacturer and distributor of medical and laboratory products, and a provider of performance and data solutions for healthcare facilities.
Despite the nonrenewal of the OptumRx contracts, Cardinal Health reiterated its Pharmaceutical and Specialty Solutions long-term segment profit CAGR target of 4%-6% and its consolidated non-GAAP EPS CAGR target of 12%-14% for fiscal years 2024 to 2026, relative to ...