Cencora (NYSE:COR) Issues Quarterly Earnings Results, Beats Expectations By $0.08 EPS

Cencora (NYSE:COR) issued its earnings results on Wednesday. The company reported $4.66 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.58 by $0.08, FiscalAI reports. Cencora had a return on equity of 110.72% and a net margin of 1.03%. The company had revenue of $88.35 billion for the quarter, compared to the consensus estimate of $87.95 billion. During the same quarter last year, the company earned $3.84 EPS. The firm’s quarterly revenue was up 5.5% on a year-over-year basis.

Here are the key takeaways from Cencora’s conference call:

• Cencora reported fiscal 2026 adjusted operating income growth of 14% and adjusted diluted EPS of $17.97, up 12%. Adjusted free cash flow was $3.8 billion, and the company announced a 10% increase to its quarterly dividend.
• The company is consolidating specialty capabilities into a new segment, targeting long-term operating income growth in the mid-teens; its fiscal 2027 segment outlook is 18%–21%, including the OneOncology acquisition contribution. Cencora expects specialty distribution revenue to reach approximately $100 billion in fiscal 2027.
• Fiscal 2027 adjusted EPS guidance is $19.40–$19.75, representing 8%–10% growth, or 10%–12% excluding the assumed MWI-Covetrus merger impact. Management projects operating income growth of 8.5%–11% excluding businesses in Other, ahead of its long-term targets.
• Reported fiscal 2027 operating income growth guidance is 4%–6%, with businesses in Other expected to reduce growth by about five percentage points; the Pharmaceutical Distribution and Services segment is forecast to grow operating income just 2%–4%, partly due to a customer volume shift and foreign exchange. Adjusted free cash flow is expected to decline to approximately $3.5 billion from $3.8 billion.

Cencora Trading Down 1.9%

Shares of NYSE:COR traded down $6.30 during trading on Friday, hitting $333.38. The company had a trading volume of 1,575,733 shares, compared to its average volume of 1,469,790. The stock has a market cap of $63.62 billion, a price-to-earnings ratio of 18.60, a price-to-earnings-growth ratio of 1.84 and a beta of 0.58. The company has a debt-to-equity ratio of 3.01, a current ratio of 0.94 and a quick ratio of 0.58. The company has a fifty day simple moving average of $324.83 and a two-hundred day simple moving average of $317.36. Cencora has a one year low of $244.82 and a one year high of $377.54.

Cencora Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, November 30th. Stockholders of record on Friday, November 13th will be paid a $0.66 dividend. This represents a $2.64 annualized dividend and a dividend yield of 0.8%. The ex-dividend date of this dividend is Friday, November 13th. This is a positive change from Cencora’s previous quarterly dividend of $0.60. Cencora’s dividend payout ratio is 14.73%.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on the stock. Leerink Partners raised their target price on shares of Cencora from $388.00 to $405.00 and gave the company an “outperform” rating in a research note on Thursday. Royal Bank Of Canada reiterated a “sector perform” rating and issued a $330.00 price target on shares of Cencora in a research note on Tuesday, September 8th. Weiss Ratings raised shares of Cencora from a “buy (b-)” rating to a “buy (b)” rating in a report on Tuesday, October 6th. Argus increased their price objective on shares of Cencora from $340.00 to $380.00 and gave the company a “buy” rating in a report on Tuesday, October 20th. Finally, Wells Fargo & Company raised their price objective on Cencora from $331.00 to $395.00 and gave the company an “overweight” rating in a research report on Tuesday, August 11th. Thirteen research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company’s stock. According to data from MarketBeat, Cencora currently has an average rating of “Moderate Buy” and an average price target of $368.73.

Insider Activity at Cencora

In related news, EVP Elizabeth Campbell sold 11,300 shares of the company’s stock in a transaction dated Monday, August 24th. The shares were sold at an average price of $324.12, for a total transaction of $3,662,556.00. Following the transaction, the executive vice president directly owned 19,455 shares in the company, valued at approximately $6,305,754.60. This represents a 36.74% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.38% of the company’s stock.

Cencora Company Profile

Cencora, formerly known as AmerisourceBergen, is a global pharmaceutical services company that connects pharmaceutical manufacturers with healthcare providers. Its core business includes sourcing and distributing medicines and other healthcare products to pharmacies, hospitals, health systems and other care providers.

The company also provides services supporting specialty pharmaceuticals, including logistics, consulting and solutions for manufacturers and healthcare organizations. These services help manage the handling and delivery of complex medicines and support access to treatments.

Cencora serves customers in the United States and internationally.