MCK

It has been about a month since the last earnings report for Cardinal Health (CAH). Shares have added about 2.5% in that time frame, outperforming the S&P 500. Will the recent positive trend continue leading up to its next earnings release, or is Cardinal due for a pullback? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent drivers for Cardinal Health, Inc. before we dive into how investors and analysts have reacted as of late. Cardinal Health reported fourth-quarter fiscal 2026 adjusted earnings per share of $2.91, beating the Zacks Consensus Estimate by 20.3%. The bottom line improved 40% year over year, aided by higher operating earnings, IEEPA tariff refunds, a lower tax rate and a reduced share count. GAAP earnings per share in the quarter was $1.70 compared with $1.00 in the year-ago period. Full-year fiscal 2026 adjusted EPS was $11.26, up 37% compared to the figure at the end of the fiscal 2025 period. The company reported GAAP EPS of $7.23 in fiscal 2026, compared with $6.45 in the year-ago period. For the fiscal fourth quarter, revenues were up 6% on a year-over-year basis to $63.67 billion. The top line, however, missed the Zacks Consensus Estimate by 2.9%. For full-year fiscal 2026, CAH registered revenues of $254.25 billion, up 14% compared with fiscal 2025. Pharmaceutical and Specialty Solutions Pharmaceutical and Specialty Solutions revenues increased 6% year over year to $58.85 billion. The improvement was driven by brand and specialty pharmaceutical sales growth from existing customers. The segment’s profit totaled $645 million, up 21% from the year-ago period’s level. The upside was primarily driven by contributions from brand and specialty products and positive generics program performance. Global Medical Products and Distribution Revenues in this segment totaled $3.13 billion, down 2% year over year. The decline primarily reflected lower distribution volumes and the recognition of expected IEEPA tariff refund repayments to customers, partially offset by Cardinal Health brand growth. The segment reported a profit of $150 million compared with $70 million in the year-ago quarter. This improvement was primarily driven by IEEPA tariff refunds. Other This segment includes three operating segments — Nuclear and Precision Health Solutions, at-Home Solutions and OptiFreight Logistics. Revenues totaled $1.72 billion, up 7% year over year, driven by growth across all three operating segments. The segment’s profit amounted to $183 million, up 14% from the year-ago level. This upside was driven by growth in OptiFreight Logistics and at-Home Solutions. Gross profit increased 16% year over year to $2.56 billion. As a percentage of revenues, the gross margin in the reported quarter was approximately 4.0%, up almost 36 basis points year over year. Distribution, selling, general and administrative expenses totaled $1.63 billion, up 10% year over year. Operating income amounted to $729 million, up 70% year over year. Adjusted operating income increased 30% year over year to $935 million. The company exited the reported quarter with cash and cash equivalents of $4.86 billion compared with $3.94 billion at the end of the third quarter of fiscal 2026. Net cash provided by operating activities totaled $5.17 billion compared with $2.39 billion in the year-ago period. Cardinal Health raised its fiscal 2027 earnings guidance. CAH expects fiscal 2027 adjusted earnings per share in the range of $12.40-$12.60, implying growth of 13-15% from adjusted fiscal 2026 results excluding the IEEPA tariff refund benefit. The company expects revenues from the Pharmaceutical and Specialty Solutions segment to grow 3-5% year over year. Segmental profit is projected to increase 8-11%. Revenues from the Global Medical Products and Distribution segment are anticipated to grow 2-4%. Segmental profit is expected to be between $200 million and $220 million. Revenues from the Other segment are likely to increase 11-13%. Segmental profit is projected to grow 15-18%. Since the earnings release, investors have witnessed a upward trend in estimates review. Currently, Cardinal has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with a C. However, the stock was allocated a score of A on the value side, putting it in the top 20% for value investors. Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, Cardinal has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Cardinal is part of the Zacks Medical - Dental Supplies industry. Over the past month, McKesson (MCK), a stock from the same industry, has gained 1.5%. The company reported its results for the quarter ended June 2026 more than a month ago. McKesson reported revenues of $105.38 billion in the last reported quarter, representing a year-over-year change of +7.7%. EPS of $9.93 for the same period compares with $8.26 a year ago. For the current quarter, McKesson is expected to post earnings of $10.75 per share, indicating a change of +9% from the year-ago quarter. The Zacks Consensus Estimate has changed +1.6% over the last 30 days. McKesson has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of A. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

A month has gone by since the last earnings report for McKesson (MCK). Shares have added about 5.7% in that time frame, outperforming the S&P 500. But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is McKesson due for a pullback? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent catalysts for McKesson Corporation before we dive into how investors and analysts have reacted as of late. McKessonreported first-quarter fiscal 2027 adjusted earnings per share (EPS) of $9.93, up 20% year over year. The figure beat the Zacks Consensus Estimate of $9.44 by 5.2%, driven by strong operational growth in North American Pharmaceutical and Oncology & Multispecialty, along with a lower share count. GAAP EPS was $5.15 in the first quarter of fiscal 2027, down 18% from $6.25 in the year-ago quarter. The decline primarily reflected a $293 million redemption value adjustment related to redeemable noncontrolling interests in the Medical-Surgical Solutions segment. This impact was partly offset by organic growth across the enterprise and the absence of the prior-year $189 million pre-tax bad-debt provision tied to the Rite Aid bankruptcy. Revenues rose 8% to $105.38 billion and surpassed the consensus estimate of $104.39 billion by 1%. GLP-1 medication distribution revenues increased 24% year over year to $15 billion. The top line benefited from higher prescription volumes in North American Pharmaceutical and continued strength in oncology and multispecialty. Growth in specialty products and provider solutions also supported the quarterly performance. These gains were partially offset by lower branded pharmaceutical pricing following wholesale acquisition cost reductions in January 2026 and branded-to-generic conversions. Management noted that the decline in branded pricing affected revenues but did not have a meaningful impact on operating profit. Revenues from the North American Pharmaceutical segment increased 5% year over year to $86.77 billion. Growth reflected higher prescription transaction volumes, including increased specialty product volumes, partly offset by lower contributions from branded pharmaceuticals. Adjusted segment operating profit climbed 19% to $894 million. The improvement was driven by specialty product distribution to health systems and strategic accounts, as well as the timing of new product launches. Oncology & Multispecialty revenues surged 33% to $14.22 billion, supported by growth in provider solutions and specialty distribution, including contributions from acquisition. Excluding Core Ventures, revenues increased approximately 24%. Adjusted segment operating profit jumped 41% to $405 million. Excluding Core Ventures, operating profit grew approximately 15%, aided by higher specialty distribution volumes and organic and new business growth in provider solutions. Prescription Technology Solutions revenues rose 9% to $1.57 billion, reflecting higher prescription volumes in third-party logistics and access solutions. Adjusted operating profit advanced 13% to $303 million on higher demand for access solutions, including prior authorization services. Medical-Surgical Solutions revenues increased 4% to $2.82 billion, driven by growth across alternate sites of care and higher specialty pharmaceutical volumes. Adjusted operating profit declined 20% to $195 million due to product mix and one-time administrative expenses, partly offset by contributions from the extended care channel. Adjusted gross profit increased 13% year over year to $3.68 billion. The adjusted gross margin expanded approximately 15 basis points to 3.49%, reflecting growth in North American Pharmaceutical and Oncology & Multispecialty. Adjusted operating profit rose 16% to $1.65 billion. The adjusted operating margin improved roughly 11 basis points to 1.57%, as gross profit growth outpaced the 10% increase in adjusted operating expenses. McKesson ended the quarter with $5.16 billion in cash and cash equivalents, up from $3.98 billion at the end of fiscal 2026. Total liquidity was approximately $10 billion. Cumulative net cash provided by operating activities was $6.16 billion against cumulative net cash used in operating activities of $6.09 billion in the year-earlier period. The capital expenditures totaled $152 million. This resulted in negative free cash flow of $372 million, although trailing 12-month free cash flow remained approximately $6.1 billion. The company returned $2.6 billion to shareholders, including $2.5 billion through share repurchases and $102 million in dividends. Its board also approved a 15% quarterly dividend increase to 94 cents per share. McKesson raised its fiscal 2027 adjusted earnings guidance to $44.20-$45.00 per share from the previous projection of $43.80-$44.60. The revised outlook implies growth of 13-15%. The company continues to expect revenue growth of 5-9% and operating profit growth of 9-13%. North American Pharmaceutical operating profit growth is now anticipated at the high end of the prior 5.5-9.5% range. It turns out, estimates revision have trended upward during the past month. At this time, McKesson has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with a C. Charting a somewhat similar path, the stock was allocated a grade of B on the value side, putting it in the second quintile for this investment strategy. Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Interestingly, McKesson has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. McKesson is part of the Zacks Medical - Dental Supplies industry. Over the past month, Merit Medical (MMSI), a stock from the same industry, has gained 1%. The company reported its results for the quarter ended June 2026 more than a month ago. Merit Medical reported revenues of $418.84 million in the last reported quarter, representing a year-over-year change of +9.5%. EPS of $1.19 for the same period compares with $1.01 a year ago. Merit Medical is expected to post earnings of $1.04 per share for the current quarter, representing a year-over-year change of +13%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged. Merit Medical has a Zacks Rank #1 (Strong Buy) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of D. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report McKesson Corporation (MCK) : Free Stock Analysis Report Merit Medical Systems, Inc. (MMSI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in Cardinal Health, Inc.? Here are five stocks we like better. Cardinal Health delivered strong fiscal fourth-quarter results: Revenue rose 6% to $63.7 billion, operating income increased 30% to $935 million, and adjusted EPS climbed 40% to $2.91. Results included a one-time $100 million tariff-refund benefit, adding $0.31 to EPS. Pharmaceutical and specialty operations remained the main growth engine, with segment profit up 21% and specialty revenue growth exceeding 25% for fiscal 2026. Other growth businesses also posted solid gains, while medical products performance benefited substantially from the tariff-related item. Cardinal Health expects continued earnings growth in fiscal 2027, forecasting adjusted EPS of $12.40 to $12.60, or 13% to 15% growth excluding the tariff benefit. The company plans at least $1 billion in share repurchases and has expanded its buyback authorization to $6.4 billion. McKesson's Compounding Keeps Adding Up Cardinal Health (NYSE:CAH) reported fourth-quarter fiscal 2026 results marked by growth in revenue, operating earnings and adjusted earnings per share, supported by demand in its pharmaceutical and specialty businesses and a one-time tariff-related benefit in its medical products segment. For the quarter, total company revenue rose 6% to $63.7 billion. Gross profit increased 16% to $2.6 billion, while operating income climbed 30% to $935 million. Diluted non-GAAP earnings per share were $2.91, up 40% from the prior-year period. → SoundHound AI Sends a Loud Signal After Its Q2 Earnings Beat Doubt the Market? 3 Stocks to Rideout Fear, Uncertainty and Doubt CFO Aaron Alt said the quarter included a one-time $100 million net operating earnings benefit from anticipated refunds of tariffs imposed under the International Emergency Economic Powers Act, or IEEPA. The company expects to receive about $200 million in refunds, partly offset by amounts payable to customers that paid higher prices related to those tariffs. The benefit added $0.31 to fourth-quarter EPS. For the full fiscal year, Cardinal Health said revenue grew 14% to $254 billion, while gross margin increased 20% to $9.8 billion. Operating earnings rose 30% to $3.6 billion. The company reported full-year non-GAAP EPS of $11.26, which CEO Jason Hollar said was more than double the $5.07 reported in fiscal 2022. → 3 Dividend Champion Utilities for a Market That Can't Sit Still Medical Technology Stock Benefits from Rising Acute Care Demand Adjusted free cash flow totaled $5 billion for fiscal 2026, and the company ended the year with $4.9 billion of cash. Cardinal Health invested $649 million in capital expenditures during the year, including investments in automation, supply-chain technology, customer solutions and platform capabilities. The company repurchased $1.35 billion of shares during fiscal 2026 at an average price of $187 per share. Hollar also said the board authorized a $5 billion increase in the company’s share repurchase authority, bringing total authorization to $6.4 billion. Fourth-quarter revenue: $63.7 billion, up 6% year over year. Fourth-quarter operating income: $935 million, up 30%. Fourth-quarter diluted EPS: $2.91, up 40%. Fiscal 2026 adjusted free cash flow: $5 billion. Fiscal 2026 share repurchases: $1.35 billion. → Is Wingstop's Growth Story Losing Steam? The Pharmaceutical and Specialty Solutions segment generated fourth-quarter revenue of $58.8 billion, up 6%, and segment profit of $645 million, up 21%. Alt attributed the profit increase to growth across the company’s brand and specialty portfolios, along with continued demand in its generic-drug program and benefits from brand-to-generic conversions. The company said GLP-1 growth and changes tied to Inflation Reduction Act wholesale acquisition cost adjustments each affected segment revenue by roughly 500 basis points in opposite directions. Management said it expects the 2027 impact of IRA-related changes on revenue growth to be generally consistent with the second half of fiscal 2026, with no expected adverse effect on profit. Hollar said specialty business growth exceeded 25% in fiscal 2026, aided by specialty distribution and acquisitions. For fiscal 2027, the company expects specialty revenue to remain in double-digit growth territory, though below the rate seen in the prior year. Cardinal Health also highlighted expansion in its biopharma and cell-and-gene therapy operations. Its third-party logistics business secured two additional gene therapy commercialization agreements, Hollar said, bringing the company’s exclusive servicing relationships to nearly half of the cell-and-gene therapy market and about three-quarters of the total market. Global Medical Products and Distribution, or GMPD, reported fourth-quarter revenue of $3.1 billion, down 2%. The decline reflected expected customer payables associated with the anticipated tariff refund and lower distribution volumes. Segment profit rose $80 million to $150 million, but would have been $50 million excluding the $100 million IEEPA tariff-refund benefit. Management said Cardinal Health-brand product revenue in the U.S. declined 2% on a reported basis, but grew at least at a mid-single-digit rate for the sixth consecutive quarter when excluding the tariff impact. For fiscal 2027, Cardinal Health expects GMPD revenue growth of 2% to 4% and segment profit of $200 million to $220 million, representing about $50 million of growth from the fiscal 2026 result excluding the IEEPA benefit. The company said a modest tariff tailwind is expected to offset higher fuel and commodity costs, though a prolonged conflict in Iran could push GMPD results toward the lower end of its profit range. The company’s other growth businesses—at-Home Solutions, Nuclear & Precision Health Solutions, and OptiFreight Logistics—reported combined fourth-quarter revenue of $1.7 billion, up 7%, and segment profit of $183 million, up 14%. Hollar said at-Home Solutions recorded nearly 99% fill rates and its best quarter for on-time departures. The company completed its acquisition of Strive Medical and expects the acquisition of AdaptHealth’s Diabetes Health business to add scale to its home-care operations. Management said integration of the Advanced Diabetes Supply acquisition is ahead of schedule on synergies. Within Nuclear & Precision Health Solutions, Hollar said PET revenue grew more than 20% and theranostics revenue grew nearly 30% during the quarter. OptiFreight continued to see core volume growth and customer adoption of its Shipment Navigator and Tracking Beacon technology offerings, according to management. Cardinal Health set fiscal 2027 adjusted EPS guidance of $12.40 to $12.60, representing growth of 13% to 15% from a $10.95 baseline that excludes the one-time tariff-refund impact. The company reaffirmed its long-term target of 12% to 14% annual EPS growth. Management’s fiscal 2027 outlook includes: Pharmaceutical and Specialty Solutions revenue growth of 3% to 5% and profit growth of 8% to 11%. GMPD revenue growth of 2% to 4% and segment profit of $200 million to $220 million. Other growth businesses revenue growth of 11% to 13% and profit growth of 15% to 18%. Adjusted free cash flow of $3.5 billion to $4 billion. Capital expenditures of about $700 million. At least $1 billion in share repurchases. Alt said the company is not assuming material acquisitions in its fiscal 2027 guidance, though it has retained flexibility for tuck-in deals and potentially larger strategic actions. Cardinal Health also expects interest and other expense of $240 million to $290 million and an effective tax rate of 19% to 20% for the year. Cardinal Health is a multinational healthcare services and products company headquartered in Dublin, Ohio. Tracing its roots to the early 1970s, the company has grown into a major provider of supply chain and distribution services for the healthcare sector. Cardinal Health operates across a range of service lines that support hospitals, health systems, pharmacies, physician offices and clinical laboratories. The company's core activities include the wholesale distribution of branded and generic pharmaceuticals, the supply and distribution of medical-surgical products, and the provision of logistics and inventory management solutions. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Cardinal Health Q4 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Integer Holdings Corporation ITGR delivered adjusted earnings per share (EPS) of $1.60 in the second quarter of 2026, up 3.2% year over year. The figure beat the Zacks Consensus Estimate by 15.9%. The adjustments include expenses related to the amortization of intangible assets and restructuring and restructuring-related charges, among others. GAAP EPS for the quarter was 69 cents, down 33.7 % from the prior-year quarter. Integer Holdings registered revenues of $464.1 million in the second quarter, down 2.6% year over year. However, the figure topped the Zacks Consensus Estimate by 2.2%. Organically, revenues decreased 1.5%. Integer Holdings operates through three product lines — Cardio and Vascular (C&V); Cardiac Rhythm Management & Neuromodulation (CRM&N) and Other Markets. In the second quarter of 2026, the C&V product line generated revenues of $280.3 million, down 2.3% year over year. Organically, sales declined 2.5%. The decrease primarily reflected the previously communicated impact from two new Electrophysiology products. The CRM&N product line reported revenues of $173.7 million, up 1% year over year. Organic sales also increased 1%. Growth in the product line was partially offset by the previously communicated impact from one new Neuromodulation product. Revenues from Other Markets totaled $10.1 million, down 42.8% from $17.6 million in the prior-year quarter. Organically, sales declined 13.5%. The sharp reported decrease primarily reflected Integer Holdings’ strategic exit from the Portable Medical business. Integer Holdings generated a gross profit of $112.9 million in the second quarter, down 12.6% year over year. The gross margin in the reported quarter contracted about 280 basis points (bps) to 24.3% from 27.1% in the prior-year period. Selling, general and administrative expenses were $57.7 million, up 9% year over year. Research, development and engineering costs were $11.3 million in the quarter, down 20.8% year over year. Total operating expenses of $78.4 million increased 12.3% year over year. Adjusted operating profit totaled $73 million, reflecting a decline of 10.2% from the prior-year quarter. Adjusted operating margin in the second quarter contracted about 130 bps to 15.7% from 17.1% a year ago. Integer Holdings exited the second quarter of 2026 with cash and cash equivalents of $21.4 million compared with $8.1 million at the first-quarter end. Total debt (including the current portion) at the end of second-quarter 2026 was $1.24 billion, down from $1.25 billion at the end of the first quarter. Cumulative cash flow from operating activities at the end of second-quarter 2026 was $84.4 million compared with $75.1 million a year ago. Integer Holdings Corporation price-consensus-eps-surprise-chart | Integer Holdings Corporation Quote Integer Holdings and KKR separately announced a definitive agreement under which an affiliate of KKR-managed investment funds will acquire all outstanding Integer shares for $127 per share in cash. The transaction carries an enterprise value of $5.7 billion. Given the pending transaction, Integer Holdings withdrew its previously issued financial outlook. The company also canceled its previously scheduled second-quarter earnings conference call and webcast. Integer Holdings exited the second quarter of 2026 with a mixed performance. Revenues declined year over year, reflecting continued pressure from previously communicated product-related headwinds and the strategic exit from Portable Medical. However, adjusted EPS increased 3.2%, supported by a relatively stable adjusted net income despite the softer top line. On the product-line front, performance remained uneven. Cardio & Vascular sales declined as two new Electrophysiology products continued to weigh on results, while Cardiac Rhythm Management & Neuromodulation posted modest growth despite the impact from one new Neuromodulation product. Profitability also remained under pressure, with adjusted operating income declining 10.2% and gross margin contracting year over year. Still, operating cash flow for the first six months improved to $84.4 million from $75.1 million a year ago. The company withdrew its previously issued 2026 financial outlook in light of the pending acquisition. Integer Holdings and KKR announced a definitive agreement under which an affiliate of KKR-managed investment funds will acquire all outstanding shares of ITGR for $127 per share in cash, valuing the transaction at an enterprise value of $5.7 billion.The transaction is expected to close by the end of 2026. Integer Holdings currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the broader medical space are McKesson MCK, Phibro Animal Health PAHC andCardinal Health CAH. McKesson carries a Zacks Rank #2 (Buy) at present and has an estimated long-term growth rate of 13.7%. MCK’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 3.09%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. McKessonshares have gained 8.8% against the industry’s 12.7% decline in the year-to-date period. Phibro Animal Health, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 21.5%. PAHC’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 16.25%. Phibro Animal Health stock has climbed 44.2% against the industry’s 17.1% decline in the year-to-date period. Cardinal Health, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 17%. CAH’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 10.27%. Cardinal Health’s shares have lost 2.6% compared with the industry’s 3.1% decline in the year-to-date period. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report Phibro Animal Health Corporation (PAHC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

QuidelOrtho Corporation QDEL delivered adjusted earnings per share (EPS) of 13 cents in second-quarter 2026, up 8.3% year over year. The figure beat the Zacks Consensus Estimate by 425%. The adjustments include expenses related to the amortization of intangibles, acquisition and integration costs, among others. GAAP loss per share for the quarter was $1.36 compared with the year-earlier loss of $3.77. QuidelOrtho registered revenues of $630.9 million in the second quarter of 2026, which increased 2.8% year over year on a reported basis and 1.9% at constant exchange rate (CER). The figure surpassed the Zacks Consensus Estimate by 2.65%. In the second quarter, Respiratory revenues were $47.9 million (up 2.6% on a reported basis and 2.5% at CER), while Non-Respiratory revenues were $583 million (up 2.8% on a reported basis and 1.8% at CER). QuidelOrtho derives revenues from five business units — Labs, Immunohematology, Donor Screening, Point of Care and Molecular Diagnostics. As a result of the wind-down of the U.S. Donor Screening portfolio, the previously reported Transfusion Medicine business unit is now presented in its two product categories — Immunohematology and Donor Screening. In the second quarter, Labs revenues were $382.9 million, up 3.6% on a reported basis and 2.4% at CER. Immunohematology revenues were $134.2 million in the second quarter, up 1.4% and 0.7% on a reported basis and at CER, respectively. Donor Screening revenues were $4 million in the second quarter, down 69.9% on a reported basis and 69.5% at CER. Point of Care revenues amounted to $108.2 million in the second quarter, reflecting increases of 16.3% on a reported basis and 15.7% at CER. Molecular Diagnostics revenues totaled $1.6 million in the second quarter, down 71.4% on a reported basis and 72% at CER. Geographically, QuidelOrtho derives revenues from North America, Europe, the Middle East and Africa (EMEA), China, Latin America and Japan and other Asia-Pacific markets (JPAC). Revenues from North America amounted to $327.4 million, reflecting an increase of 5.4% on a reported basis and 5.8% at constant exchange rate (CER). EMEA revenues amounted to $91.2 million, reflecting an increase of 4.5% on a reported basis and 1.5% at CER. Revenues from China amounted to $67.8 million, reflecting a decrease of 18.7% on a reported basis and 23.3% at CER. Revenues from JPAC amounted to $74.3 million, reflecting an uptick of 2.9% on a reported basis and 10.5% at CER. Revenues from Latin America amounted to $70.2 million, reflecting an uptick of 16.4% on a reported basis and 7.8% at CER. QuidelOrtho Corporation price-consensus-eps-surprise-chart | QuidelOrtho Corporation Quote In the quarter under review, QuidelOrtho’s adjusted gross profit declined 0.2% year over year to $279.9 million. The adjusted gross margin contracted 130 basis points (bps) to 44.4%. Adjusted selling, marketing and administrative expenses increased 2% year over year to $174 million. Adjusted research and development expenses remained flat year over year at $45 million. Adjusted operating expenses of $219 million increased 2% year over year. Adjusted operating profit totaled $60.2 million, flat year over year. Adjusted operating margin in the second quarter contracted 30 bps to 9.5%. QuidelOrtho exited the second quarter of 2026 with cash and cash equivalents of $123.4 million compared with $140.4 million at the end of the first quarter of 2026. Total debt (including short-term debt) at the end of second-quarter 2026 was $2.89 billion compared with $2.69 billion at the end of the first quarter of 2026. Cumulative net cash used by operating activities at the end of the second quarter was $143.6 million, against net cash provided by operating activities of $18.8 million a year ago. QuidelOrtho lowered its 2026 revenue guidance to $2.52-$2.60 billion from $2.70-$2.75 billion. Management expects China weakness to persist through the year and adopted more conservative assumptions for the upcoming respiratory season amid lower test positivity and softer early indicators. Adjusted EBITDA guidance was reduced to $540-$560 million from $615-$630 million, with the margin outlook lowered to 21%-22% from 23%. Adjusted earnings guidance now calls for 65-90 cents per share compared with the previous range of $1.80-$2.00. Following the reduced guidance for 2026, shares of the company lost around 25% in Friday’s trading session. QuidelOrtho ended the second quarter of 2026 on a strong note, with both earnings and revenues surpassing the Zacks Consensus Estimate. The company benefited from solid growth in its Labs and Point of Care businesses, while strength across North America, JPAC and Latin America was encouraging. Adjusted EBITDA rose year over year and the corresponding margin expanded, reflecting benefits from productivity initiatives and disciplined expense management. However, persistent weakness in China and a softer respiratory testing environment remain major concerns. China revenues declined sharply amid uncertainty related to proposed in vitro diagnostics pricing guidelines, while the company also adopted a more cautious outlook for the upcoming respiratory season. These headwinds prompted QuidelOrtho to lower its 2026 revenues, adjusted EBITDA and adjusted earnings guidance and withdraw its free cash flow outlook. Negative operating cash flow, elevated leverage and weak cash conversion also remain key areas to watch. Meanwhile, progress on the NULEXA point-of-care molecular platform remains a key positive. Following the LEX Diagnostics acquisition, QuidelOrtho has advanced manufacturing scale-up, supply-chain readiness and commercial launch preparations. Management expects customer placements and test utilization to gain momentum during the upcoming respiratory season, with NULEXA providing a platform for future menu expansion and leveraging the company’s existing point-of-care commercial infrastructure. QDEL currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the broader medical space are McKesson MCK, Phibro Animal Health PAHC and Cardinal Health CAH. McKesson carries a Zacks Rank #2 (Buy) at present and has an estimated long-term growth rate of 13.7%. MCK’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 3.09%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. McKessonshares have gained 8.8% against the industry’s 12.7% decline in the year-to-date period. Phibro Animal Health, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 21.5%. PAHC’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 16.25%. Phibro Animal Health stock has climbed 44.2% against the industry’s 17.1% decline in the year-to-date period. Cardinal Health, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 17%. CAH’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 10.27%. Cardinal Health’s shares have lost 2.6% compared with the industry’s 3.1% decline in the year-to-date period. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report QuidelOrtho Corporation (QDEL) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report Phibro Animal Health Corporation (PAHC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in McKesson Corporation? Here are five stocks we like better. McKesson raised its fiscal 2027 outlook after a stronger-than-expected first quarter, with revenue up 8% to $105.4 billion and adjusted EPS up 20% to $9.93. The company now expects adjusted EPS of $44.20 to $45.00 for the full year. North American Pharmaceutical led results, while GLP-1 distribution revenue surged 24% year over year to $15 billion. Oncology & Multispecialty and Prescription Technology Solutions also delivered double-digit operating-profit growth. McKesson advanced the planned separation of its Medical-Surgical Solutions business under the Wellverse brand, while returning $2.6 billion to shareholders through buybacks and dividends and raising its quarterly dividend 15%. 3 Healthcare Stocks With Fresh Dividend Hikes and Different Income Profiles McKesson (NYSE:MCK) reported fiscal first-quarter 2027 results that exceeded its expectations, citing broad-based momentum across its operating businesses and prompting the healthcare services company to raise its full-year adjusted earnings outlook. Revenue rose 8% to $105.4 billion, while adjusted diluted earnings per share increased 20% to $9.93. Chair and CEO Brian Tyler said three reporting segments posted double-digit operating-profit growth, supported by stable utilization, volume growth and the company’s portfolio of healthcare distribution, specialty and technology services. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling MarketBeat Week in Review – 07/27- 07/31 “Our first quarter performance reflects the continued momentum across the enterprise and reinforces our confidence in our strategy and the durability of our operating model,” Tyler said. McKesson raised its fiscal 2027 adjusted EPS outlook to a range of $44.20 to $45.00, from prior guidance of $43.80 to $44.60. The revised outlook implies adjusted EPS growth of 13% to 15%, excluding the impact of the Norway divestiture and a fiscal 2026 gain tied to the sale of an equity investment within The US Oncology Network. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High McKesson's Compounding Keeps Adding Up The company expects fiscal-year revenue growth of 5% to 9% and operating-profit growth of 9% to 13%. North American Pharmaceutical revenue increased 5% to $86.8 billion. The segment’s operating profit rose 19% to $894 million, driven by specialty distribution growth, including health systems and strategic accounts, as well as the timing of new product launches. → No Hangover: Revisiting Microsoft One Week After Earnings Chief Financial Officer Kenny Cheung said higher prescription volumes and specialty-product volumes supported revenue growth, partly offset by lower branded-drug pricing following wholesale acquisition cost reductions in January 2026 and branded-to-generic conversions. Cheung said branded pricing declines did not have a meaningful effect on operating profit because more than 95% of McKesson’s branded-drug business is fee-for-service. GLP-1 medication distribution revenue totaled $15 billion during the quarter, up approximately $3 billion, or 24%, from the prior year. Revenue from GLP-1 products rose 13% sequentially. Tyler said the company continues to see growth in both the cash-pay and covered segments of the GLP-1 market. For the full year, McKesson expects North American Pharmaceutical revenue growth of 4% to 8% and operating-profit growth at the high end of its previous 5.5% to 9.5% range. The company said its forecast includes accelerated investments during the second half of fiscal 2027, focused on growth and artificial intelligence, with returns expected to begin in fiscal 2028. Oncology & Multispecialty revenue rose 33% to $14.2 billion, while operating profit climbed 41% to $405 million. Excluding contributions from the Core Ventures acquisition, completed in June 2025, segment revenue grew approximately 24% and operating profit increased about 15%. Cheung attributed the results to expansion within existing provider solutions and specialty distribution, new business wins and the Core Ventures contribution. Tyler said Florida Cancer Specialists, which McKesson acquired through Core Ventures, has performed at the high end of the guidance range provided at the time of the acquisition. The U.S. Oncology Network expanded to approximately 3,400 providers and treats more than 2 million patients annually, according to Tyler. McKesson also said PRISM Vision includes more than 200 providers across 97 locations. Its Sarah Cannon Research Institute joint venture participated in research contributing to 43 of the 52 adult oncology drugs approved by the FDA in 2025, the company said. Prescription Technology Solutions revenue increased 9% to $1.6 billion, and operating profit rose 13% to $303 million. Results reflected higher prescription volumes in third-party logistics and access solutions, including prior authorization services. McKesson said it began supporting the CMS Medicare GLP-1 Bridge program in July, providing infrastructure for eligibility determination, electronic prior authorizations and pharmacy claims transactions. The company said that once a prior authorization request is submitted to a payer, 95% receive a determination within 30 minutes. McKesson continued preparations to separate its Medical-Surgical Solutions business. Tyler said the unit will operate under the name Wellverse, with a phased transition expected to begin in January 2027. During the quarter, McKesson completed Apollo Funds’ previously announced minority investment in the business. Apollo now holds approximately 13% of Medical-Surgical Solutions, while McKesson retains majority ownership and continues to consolidate the unit’s results. The company also completed a $2.25 billion senior secured Term Loan B, following a $1 billion secured Term Loan A, and established a $1 billion revolving credit facility that remained undrawn during the quarter. Cheung said these financing arrangements support the business’s separation. Medical-Surgical Solutions revenue increased 4% to $2.8 billion, aided by alternate-site-of-care growth and higher specialty pharmaceutical volumes. Operating profit declined 20% to $195 million due to product mix and a one-time administrative expense, partly offset by extended-care channel contributions. McKesson ended the quarter with $5.2 billion in cash and cash equivalents and approximately $10 billion in total liquidity. Free cash flow was negative $372 million, including $152 million in capital expenditures, although trailing 12-month free cash flow totaled approximately $6.1 billion. The company repurchased $2.5 billion of shares during the quarter, including $2.25 billion through an accelerated share repurchase program at an initial average price of about $755 per share. It returned $2.6 billion to shareholders through repurchases and dividends. In July, the board approved a 15% increase in the quarterly dividend, representing McKesson’s 10th consecutive annual increase. Management expects approximately $4.5 billion to $4.9 billion in free cash flow and roughly $5 billion in share repurchases for fiscal 2027. Tyler said McKesson is monitoring healthcare policy developments, including potential reforms to the 340B drug-pricing program and the Inflation Reduction Act’s Part B provisions. He said it would be premature to estimate financial effects from 340B proposals still under review, while noting the Part B program is not scheduled to take effect until January 2028. McKesson Corporation (NYSE: MCK) is a global healthcare services and distribution company that supplies pharmaceuticals, medical-surgical products and health care technology solutions. Founded in 1833 and headquartered in Irving, Texas, McKesson operates across the drug distribution and healthcare services value chain, connecting manufacturers, pharmacies, hospitals and health systems to help manage the movement of medicines and clinical supplies. The company's core activities include pharmaceutical wholesale distribution and logistics, specialty pharmacy services, and the provision of medical-surgical supplies to acute and non-acute care providers. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "McKesson Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Rigetti Computing RGTI reported second-quarter 2026 adjusted loss per share of 5 cents, wider than 4 cents in the prior-year quarter. The metric also missed the Zacks Consensus Estimate of earnings by 66.7%. GAAP loss per share in the reported quarter was 16 cents compared with 13 cents in the prior-year quarter. The company reported total revenues of $5.1 million, up 185.3% year over year. The top line surpassed the Zacks Consensus Estimate by 4.68%. Shares of this company lost 3.5% in yesterday’s after-market trading. The company’s shares have plunged 22.6% in the year-to-date period compared with the industry’s decrease of 5.8%. However, the broader S&P 500 Index has increased 12.4% in the same time frame. Image Source: Zacks Investment Research Rigetti’s second-quarter 2026 revenues benefited from growing demand for its on-premises quantum computing systems, including Novera-based deployments, along with broader engagement across government, academic and commercial customers. In the quarter under review, RGTI’s gross profit surged 286.6% year over year to $2.2 million. The gross margin expanded roughly 1,120 basis points to 42.6%. Selling, general and administrative expenses increased 37.5% year over year to $9.5 million. Research and development expenses rose 53.3% year over year to $20.7 million. Total operating expenses of $30.3 million increased 47.9% year over year. Operating loss for the quarter under review totaled $28.1 million compared with $19.9 million in the prior-year quarter. RGTI exited the second quarter of 2026 with cash, cash equivalents and short-term available-for-sale investments of $393.7 million compared with $418.2 million at the end of the first quarter of 2026. The company ended the quarter with no debts on its balance sheet. Cumulative net cash provided by operating activities at the second-quarter end was $14.9 million against net cash used in operating activities of $369.7 million a year ago. Rigetti exited second-quarter 2026 with mixed results, wherein revenues surpassed the Zacks Consensus Estimate, but earnings missed the same. Strong year-over-year revenue growth, driven by on-premises Novera QPU and system deliveries, was encouraging. Customer engagement also broadened across government, academic and commercial markets. Rigetti continued to fulfill on-premises system commitments, including its 108-qubit program for C-DAC in India. The company also expanded its collaboration with Hewlett Packard Enterprise and the Pittsburgh Supercomputing Center. A 9-qubit Novera system is set to be deployed at PSC’s TangleLab testbed to support hybrid quantum-classical computing research. On the technology front, Rigetti continued to advance its Cepheus platform. Cepheus-1-108Q operated at approximately 99.1% median two-qubit gate fidelity, 99.9% median single-qubit gate fidelity and gate speeds of about 60 nanoseconds. The company also demonstrated median two-qubit gate fidelities of 99.8% and 99.6% on its 9-qubit and 36-qubit systems, respectively. Rigetti remains focused on improving coherence time through chip design, fabrication, materials and process enhancements. Its longer-term roadmap targets roughly 1,000 qubits, 99.9% two-qubit gate fidelity and gate speeds below 50 nanoseconds. The Department of Commerce letter of intent for up to $100 million of potential funding could further support R&D aimed at addressing scaling challenges in superconducting quantum computing. However, profitability remains a concern. Non-GAAP net loss widened to $16 million from $13.3 million a year ago, while operating loss increased to $28.1 million. Higher research and development and selling, general and administrative expenses continued to weigh on results. Rigetti also faces the technical challenge of improving coherence and fidelity as systems scale to higher qubit counts. The Department of Commerce funding is subject to definitive award documentation and milestone requirements. Nevertheless, the company ended the quarter with $541.3 million in cash, cash equivalents and available-for-sale investments and no debt, providing financial flexibility to support its technology roadmap and system deployments. Rigetti Computing, Inc. price-consensus-eps-surprise-chart | Rigetti Computing, Inc. Quote RGTI carries a Zacks Rank #3 (Hold) at present. Some better-ranked stocks in the broader medical space are McKesson MCK, Phibro Animal Health PAHC andCardinal Health CAH. McKesson carries a Zacks Rank #2 (Buy) at present and has an estimated long-term growth rate of 13.7%. MCK’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 3.09%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. McKessonshares have gained 8.8% against the industry’s 12.7% decline in the year-to-date period. Phibro Animal Health, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 21.5%. PAHC’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 16.25%. Phibro Animal Health stock has climbed 44.2% against the industry’s 17.1% decline in the year-to-date period. Cardinal Health, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 17%. CAH’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 10.27%. Cardinal Health’s shares have lost 2.6% compared with the industry’s 3.1% decline in the year-to-date period. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Rigetti Computing, Inc. (RGTI) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report Phibro Animal Health Corporation (PAHC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Cardinal Health CAH is scheduled to report fourth-quarter fiscal 2027 results on Aug. 11, before market open. The Zacks Consensus Estimate for sales is pegged at $65.61 billion, implying 9.1% year-over-year growth. The bottom line estimate is pinned at $2.42, suggesting growth of 16.4%. The EPS estimates have remained stable over the past seven days. The company delivered an earnings surprise of 13.21% in the last reported quarter. Its earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 10.27%. Our proven model predicts an earnings beat for Cardinal Health this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. This is not the case here, as you will see below. Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate ($2.45 per share) and the Zacks Consensus Estimate is +1.24% for CAH. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter. Zacks Rank: The company carries a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Cardinal Health, Inc. price-eps-surprise | Cardinal Health, Inc. Quote Cardinal Health is expected to have delivered robust performance during the fourth quarter of fiscal 2026, supported by sustained momentum in its Pharmaceutical and Specialty Solutions business and continued strength across its higher-margin growth businesses. Pharmaceutical demand is likely to have remained healthy across specialty, branded, generic and consumer health products. The ongoing expansion of the company's specialty platform, including Solaris integration and its Specialty Alliance physician network, should have continued to boost revenue growth. Management had previously indicated that specialty revenues were growing at more than 20% and were expected to exceed $50 billion in fiscal 2026, suggesting that the segment likely remained a key driver of earnings. Within the Pharmaceutical segment, profit growth is expected to have continued outpacing revenue growth, supported by favorable branded and specialty product contributions, resilient generic market dynamics, and preserved economics on distribution contracts despite Inflation Reduction Act (IRA)-related pricing changes. However, revenue growth may have remained moderate due to lower wholesale acquisition cost (WAC) pricing under the IRA, slower GLP-1 growth normalization and ongoing loss-of-exclusivity transitions. The Global Medical Products and Distribution (GMPD) segment is likely to have remained a mixed performer. Continued growth in Cardinal Health-branded products, cost optimization initiatives and operational simplification should have supported underlying execution, although tariffs, selective customer volume losses and inflationary pressures on certain product categories may have continued weighing on profitability. Meanwhile, the company's Other businesses — At-Home Solutions, Nuclear and Precision Health Solutions, and OptiFreight Logistics — are expected to have sustained their robust growth trend, aided by strong demand, theranostics expansion, ADS integration synergies and logistics volume gains. Continued investments in technology, automation and distribution infrastructure are also likely to have supported long-term growth. Cardinal Health's disciplined capital allocation, ongoing share repurchases and resilient operating execution are expected to have supported another quarter of healthy earnings growth despite persistent pricing and tariff-related headwinds. In the year-to-date period, CAH shares have rallied 15.6%, outperforming its industry’s 4.8% growth over the same period. CAH has also comfortably outpaced the S&P 500’s 12.7% gain, underscoring strong investor confidence in the company's specialty momentum and expansion in theranostic and at-home services. Image Source: Zacks Investment Research CAH has also delivered markedly stronger returns than its MedTech peers. While McKesson MCK has gained 6.2% year to date, Cencora COR has declined 3.8%. The stock has also significantly outperformed the broader Zacks Medical sector, which has generated a modest 0.9% return during the same period. From a valuation standpoint, Cardinal Health is trading at a forward 12-month price-to-earnings (P/E) multiple of 19.5X, reflecting a premium valuation relative to its MedTech peers. The elevated multiple suggests that investors are assigning a higher valuation to the company's long-term growth prospects, particularly its specialty expansion and productivity gains from high-growth businesses. CAH currently trades well above Cencora, which carries a forward 12-month P/E of 16.65X, and McKesson, which is valued at 18.84X sales. Image Source: Zacks Investment Research Cardinal Health's focus on transforming its business toward higher-margin specialty healthcare services, while reinforcing the resilience of its core Pharmaceutical distribution franchise, is likely to drive long-term growth. Management continues to expand its Specialty platform through investments in specialty distribution, physician management services (MSOs), biopharma solutions and strategic acquisitions. The integration of Solaris into the Specialty Alliance, continued expansion of its multi-specialty physician network through tuck-in acquisitions, and growing collaboration between Specialty Networks, MSOs and Nuclear businesses are expected to deepen customer relationships and drive above-market specialty growth. The company also expects specialty revenues to exceed $50 billion in fiscal 2026, underscoring the increasing importance of this business to long-term earnings. Cardinal Health continues to strengthen its pharmaceutical distribution network through automation, productivity initiatives, and technology investments, enabling it to deliver record service levels while preserving distribution economics despite pricing changes under the Inflation Reduction Act (IRA). Beyond Pharma, Cardinal Health is building multiple long-term growth engines across At-Home Solutions, Nuclear and Precision Health Solutions, and OptiFreight Logistics, all of which continue to benefit from favorable healthcare trends. The company is investing to expand its home health distribution capacity, integrate ADS, grow the ContinuCare Pathway program, and capitalize on the ongoing shift toward home-based care. Cardinal Health's Nuclear and Precision Health Solutions segment continues to strengthen its position in theranostics through increased Actinium-225 production capacity and expanding pharmaceutical collaborations, supporting future growth as targeted cancer therapies gain traction. At the same time, the company is advancing enterprise-wide initiatives focused on operational efficiency, supply-chain resilience, prudent capital deployment, and selective acquisitions, while pursuing a multiyear turnaround effort in GMPD. Combined with robust cash flow, continued buybacks, technology investments, and a growing mix of higher-margin businesses, these efforts should support durable earnings growth and long-term value creation for shareholders. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

10x Genomics TXG reported a second-quarter 2026 loss of 14 cents per share against earnings of 28 cents in the year-ago quarter, representing a 150% year-over-year decline. Still, the figure beat the Zacks Consensus Estimate of a loss of 23 cents by 38.1%. Revenues of $151 million declined 12.6% year over year but surpassed the Zacks Consensus Estimate of $146.9 million by 2.8%. Excluding non-recurring patent litigation settlement revenues in both periods, revenues increased 3%. Shares of TXG lost 5% in yesterday’s after-market trading. The company’s shares have surged 194% in the year-to-date period against the industry’s decrease of 6.5%. However, the broader S&P 500 Index has increased 12.4% in the same time frame. Image Source: Zacks Investment Research Products and services revenues totaled $149.1 million, up 2.7% year over year. Total consumables revenues were $130.8 million, with Single Cell consumables increasing 3.1% year over year to $88.5 million and Spatial consumables rising 16.2% to $42.3 million. Total instrument revenues declined 47.2% year over year to $7.7 million. Single Cell instrument revenues fell 46.1% year over year to $3.1 million, while Spatial instrument revenues dropped 47.8% to $4.6 million. Management noted that the decline in Spatial instruments reflected customers moderating purchases of existing products ahead of the Atera launch. Services revenues increased 26% year over year to $10.7 million. Total Americas revenues were $85 million, down 19.9% from the prior-year quarter. However, excluding non-recurring license and royalty revenues in both periods, Americas revenues increased 6% year over year, indicating better underlying performance than the reported comparison suggests. EMEA revenues rose 15.1% year over year to $39.9 million. Asia-Pacific revenues declined 18.7% year over year to $26 million. Management noted that the prior-year Asia-Pacific results benefited from roughly $4 million of purchasing activity pulled forward in China ahead of potential tariff changes. In the quarter under review, TXG’s gross profit declined 10.1% year over year to $112.5 million. However, the gross margin expanded 200 basis points (bps) to 74%, primarily driven by lower manufacturing costs, including $2.6 million of tariff refunds and lower inventory write-downs. Selling, general and administrative expenses increased 5.7% year over year to $78.7 million. Research and development expenses declined 7.2% year over year to $56.8 million. Total operating expenses of $132.1 million increased 39.1% year over year, mainly due to a lower gain on settlement compared with the prior-year quarter. Excluding settlement gains, operating expenses were approximately flat year over year. Total operating loss was $19.6 million against an operating income of $30.1 million in the year-ago quarter. TXG exited the second quarter of 2026 with cash, cash equivalents and marketable securities of $552 million, up from $539.8 million at the end of the first quarter of 2026. Importantly, the company ended the quarter with no debt on its balance sheet, underscoring a solid solvency position. The company raised its 2026 revenue guidance to $610 million-$630 million from the prior range of $600 million-$625 million. Excluding non-recurring patent litigation settlement revenues in both 2026 and 2025, the updated outlook represents growth of 2% to 5% over 2025. Management attributed the increase to first-half performance and the $1.6 million of settlement revenue recognized during the second quarter. The outlook assumes that the broader academic funding environment remains roughly consistent with recent conditions, leaving potential improvement in funding outside the company's current guidance assumptions. 10x Genomics price-consensus-eps-surprise-chart | 10x Genomics Quote 10x Genomics exited the second quarter of 2026 with better-than-expected results, as both earnings and revenues beat the Zacks Consensus Estimate. Reported revenues declined year over year due to lower non-recurring license and royalty revenues. However, the underlying business remained resilient. Products and Services revenues increased, supported by growth in Single Cell and Spatial consumables and higher services revenues. Gross margin expansion was another positive, although the company swung to an operating loss from year-ago operating income. Atera remained the key development in the quarter. Customer response was strong, with booked orders at the end of the second quarter already well above the roughly 40 instruments previously expected for 2026. TXG continues to expect shipments of around 40 units this year as manufacturing capacity ramps. The company expects Atera-related transition dynamics to weigh on third-quarter revenues as customers moderate purchases of existing Spatial products. A significant sequential revenue increase is expected in the fourth quarter as Atera shipments begin contributing more meaningfully. TXG also strengthened its multiomics and diagnostics strategy during the quarter. The company acquired Proteintech Genomics, adding advanced protein-detection capabilities to its Single Cell and Spatial platforms. It also announced multi-year research collaborations with Cleveland Clinic and Lausanne University Hospital to advance diagnostic applications in cancer care. Meanwhile, TXG ended the quarter with $552 million in cash, cash equivalents and marketable securities, providing financial flexibility to support product development and commercialization efforts. TXG currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks from the broader medical space are McKesson MCK, Phibro Animal Health PAHC and Cardinal Health CAH. McKesson carries a Zacks Rank #2 (Buy) at present and has an estimated long-term growth rate of 13.7%. MCK’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 3.09%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. McKesson shares have gained 8.8% against the industry’s 12.7% decline in the year-to-date period. Phibro Animal Health, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 21.5%. PAHC’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 16.25%. Phibro Animal Health stock has climbed 44.2% against the industry’s 17.1% decline in the year-to-date period. Cardinal Health, carrying a Zacks Rank of 2 at present, has an estimated long-term growth rate of 17%. CAH’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 10.27%. Cardinal Health’s shares have lost 2.6% compared with the industry’s 3.1% decline in the year-to-date period. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report 10x Genomics (TXG) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report Phibro Animal Health Corporation (PAHC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

McKesson Corporation MCK reported first-quarter fiscal 2027 adjusted earnings per share (EPS) of $9.93, up 20% year over year. The figure beat the Zacks Consensus Estimate of $9.44 by 5.2%, driven by strong operational growth in North American Pharmaceutical and Oncology & Multispecialty, along with a lower share count. GAAP EPS was $5.15 in the first quarter of fiscal 2027, down 18% from $6.25 in the year-ago quarter. The decline primarily reflected a $293 million redemption value adjustment related to redeemable noncontrolling interests in the Medical-Surgical Solutions segment. This impact was partly offset by organic growth across the enterprise and the absence of the prior-year $189 million pre-tax bad-debt provision tied to the Rite Aid bankruptcy. Revenues rose 8% to $105.38 billion and surpassed the consensus estimate of $104.39 billion by 1%. GLP-1 medication distribution revenues increased 24% year over year to $15 billion. The top line benefited from higher prescription volumes in North American Pharmaceutical and continued strength in oncology and multispecialty. Growth in specialty products and provider solutions also supported the quarterly performance. These gains were partially offset by lower branded pharmaceutical pricing following wholesale acquisition cost reductions in January 2026 and branded-to-generic conversions. Management noted that the decline in branded pricing affected revenues but did not have a meaningful impact on operating profit. Shares of MCK gained 1.7% in after-hours trading on Aug. 5, following better-than-expected sales and EPS performance as well as raised guidance. The stock has risen 6.9% year to date compared with the industry’s 2.1% growth. The S&P 500 Index has advanced 13.2% over the same period. Image Source: Zacks Investment Research Revenues from the North American Pharmaceutical segment increased 5% year over year to $86.77 billion. Growth reflected higher prescription transaction volumes, including increased specialty product volumes, partly offset by lower contributions from branded pharmaceuticals. Adjusted segment operating profit climbed 19% to $894 million. The improvement was driven by specialty product distribution to health systems and strategic accounts, as well as the timing of new product launches. Oncology & Multispecialty revenues surged 33% to $14.22 billion, supported by growth in provider solutions and specialty distribution, including contributions from acquisition. Excluding Core Ventures, revenues increased approximately 24%. Adjusted segment operating profit jumped 41% to $405 million. Excluding Core Ventures, operating profit grew approximately 15%, aided by higher specialty distribution volumes and organic and new business growth in provider solutions. Prescription Technology Solutions revenues rose 9% to $1.57 billion, reflecting higher prescription volumes in third-party logistics and access solutions. Adjusted operating profit advanced 13% to $303 million on higher demand for access solutions, including prior authorization services. Medical-Surgical Solutions revenues increased 4% to $2.82 billion, driven by growth across alternate sites of care and higher specialty pharmaceutical volumes. Adjusted operating profit declined 20% to $195 million due to product mix and one-time administrative expenses, partly offset by contributions from the extended care channel. Adjusted gross profit increased 13% year over year to $3.68 billion. The adjusted gross margin expanded approximately 15 basis points to 3.49%, reflecting growth in North American Pharmaceutical and Oncology & Multispecialty. Adjusted operating profit rose 16% to $1.65 billion. The adjusted operating margin improved roughly 11 basis points to 1.57%, as gross profit growth outpaced the 10% increase in adjusted operating expenses. McKesson ended the quarter with $5.16 billion in cash and cash equivalents, up from $3.98 billion at the end of fiscal 2026. Total liquidity was approximately $10 billion. Cumulative net cash provided by operating activities was $6.16 billion against cumulative net cash used in operating activities of $6.09 billion in the year-earlier period. The capital expenditures totaled $152 million. This resulted in negative free cash flow of $372 million, although trailing 12-month free cash flow remained approximately $6.1 billion. The company returned $2.6 billion to shareholders, including $2.5 billion through share repurchases and $102 million in dividends. Its board also approved a 15% quarterly dividend increase to 94 cents per share. McKesson raised its fiscal 2027 adjusted earnings guidance to $44.20-$45.00 per share from the previous projection of $43.80-$44.60. The revised outlook implies growth of 13-15%. The company continues to expect revenue growth of 5-9% and operating profit growth of 9-13%. North American Pharmaceutical operating profit growth is now anticipated at the high end of the prior 5.5-9.5% range. McKesson Corporation price-consensus-eps-surprise-chart | McKesson Corporation Quote McKesson exited the first quarter of fiscal 2027 on a strong note, with both earnings and revenues surpassing estimates. The company’s performance was broad-based, led by North American Pharmaceutical, Oncology & Multispecialty and Prescription Technology Solutions. Specialty distribution remained a key growth driver, supported by higher prescription volumes, provider-solution growth and continued demand for access services. MCK’s oncology and multispecialty platform, along with its expanding biopharma services capabilities, continues to support operating momentum. The company completed the sale of an approximately 13% minority interest in Medical-Surgical Solutions to Apollo Funds for $1.25 billion. It also established a $2.25 billion secured term loan facility to support the planned separation. McKesson announced Wellverse as the future standalone company’s name. The business is expected to begin operating under the new identity in January 2027 as part of a phased transition. McKesson currently carries a Zacks Rank #2 (Buy). Some other top-ranked stocks from the broader medical space are West Pharmaceutical WST, The Cooper Companies COO and Cardinal Health CAH, each carrying a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. West Pharmaceutical reported second-quarter 2026 adjusted earnings per share (EPS) of $2.37, which beat the Zacks Consensus Estimate by 13.9%. Revenues of $872.3 million surpassed the Zacks Consensus Estimate by 4.2%. West Pharmaceutical has an estimated long-term earnings growth rate of 16%. WST’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 17.40%. The Cooper Companies reported a second-quarter fiscal 2026 adjusted EPS of $1.21, which beat the Zacks Consensus Estimate by 10.00%. Revenues of $1.08 billion beat the Zacks Consensus Estimate by 2.6%. The Cooper Companies has an estimated long-term earnings growth rate of 8.3%. COO’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 5.80%. Cardinal Health reported a third-quarter fiscal 2026 adjusted EPS of $3.17, which beat the Zacks Consensus Estimate by 13.2%. Revenues of $60.94 billion missed the Zacks Consensus Estimate by 2.3%. Cardinal Health has an estimated long-term earnings growth rate of 17%. CAH’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 10.27%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report McKesson Corporation (MCK) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report The Cooper Companies, Inc. (COO) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

LivaNova LIVN reported adjusted earnings per share (EPS) of $1.26 for the second quarter of 2026, up 20% year over year. The figure beat the Zacks Consensus Estimate by 16.7%. GAAP EPS for the quarter was $1.93 compared with 50 cents in the year-ago period. Revenues totaled $390.6 million, up 10.8% year over year and 9.8% at constant currency. The top line surpassed the Zacks Consensus Estimate by 2.9%. Revenue growth reflected strength across all regions, driven by robust performance in Cardiopulmonary and Epilepsy businesses, as well as a one-time tariff refund benefit. Year to date, the company’s shares have gained 27% against the industry’s decline of 10.1%. The broader S&P 500 Index has increased 12.7% in the same time frame. Image Source: Zacks Investment Research LivaNova derives revenues primarily from two reportable segments — Cardiopulmonary and Neuromodulation. Cardiopulmonary Cardiopulmonary revenues were $221.6 million, up 11.2% year over year on a reported basis and up 9.9% at constant currency. Growth was led by Europe and primarily reflected higher Essenz Perfusion System sales, strong consumables demand and favorable realized pricing. Heart-lung machine revenues increased in the mid-teens, supported by higher Essenz placements and sustained favorable price premiums. Cardiopulmonary consumables revenues grew in the high single digits, driven by low-double-digit growth in oxygenators and perfusion tubing kits. This was partly offset by lower growth in autotransfusion systems and cannula. Neuromodulation Neuromodulation revenues totaled $166.9 million, reflecting growth of 10.1% year over year on a reported basis and 9.5% at constant currency. The improvement was driven by higher volumes and favorable realized pricing across all regions. Within Neuromodulation, Epilepsy revenues increased 10% year over year at constant currency. Performance benefited from improved reimbursement, expanding market access and growing clinical evidence supporting Vagus Nerve Stimulation (VNS) Therapy. Management cited reduced volume discounting, annual price increases and stronger new-patient implant activity as contributors to the segment’s growth. In the quarter under review, U.S. revenues totaled $199.4 million, up 5.8% year over year on both a reported and constant-currency basis. Europe revenues totaled $81.8 million, up 22.5% year over year on a reported basis and up 20% at constant currency. Europe was the primary growth driver for the Cardiopulmonary segment in the second quarter, supported by Essenz Perfusion System sales, strong consumables demand and favorable realized price. Rest of World revenues were $109.4 million, up 12.5% year over year on a reported basis and up 10.7% at constant currency. U.S. Epilepsy revenues rose 8%, while combined Europe and Rest of World Epilepsy revenues increased 15% year over year on a constant-currency basis. In the quarter under review, LivaNova’s gross profit increased 14.5% year over year to $273.7 million. The gross margin expanded 230 basis points (bps) to 70.1%. Adjusted gross margin improved 210 bps to 71%, aided by favorable pricing and a $6 million net refund related to previously paid IEEPA tariffs. Selling, general and administrative expenses increased 14.7% year over year to $158.1 million, reflecting planned investments in IT infrastructure. Research and development expenses rose 13.8% to $53.7 million, primarily due to higher spending on the obstructive sleep apnea program. Adjusted operating income totaled $90.8 million, up 17.3% year over year. The adjusted operating margin expanded 130 bps to 23.2%. LivaNova exited second-quarter 2026 with cash and cash equivalents of $516.6 million compared with $539.7 million at the end of first-quarter 2026. Cumulative net cash provided by operating activities at the end of second-quarter 2026 was $81.8 million compared with $86.9 million a year ago. LivaNova has raised its outlook for the full year 2026. The company expects 2026 revenue growth of 8-9% at constant currency (up from 7-8% previously). Foreign currency is projected to provide an approximately 1% tailwind. Cardiopulmonary growth is expected at 9.5-10.5% (up from 8.5-9.5% previously), while Epilepsy growth is forecast at 7-8% (up from 6-7% previously). Adjusted earnings per share are projected between $4.30 and $4.40 (up from $4.20-$4.30 previously). Adjusted operating margin guidance remains 20-21%. However, adjusted free cash flow guidance was lowered to $140-$160 million from $160-$180 million as capital spending rises to $135 million. The Zacks Consensus Estimate for revenues and adjusted EPS is pegged at $1.52 billion and $4.24, respectively. LivaNova PLC price-consensus-eps-surprise-chart | LivaNova PLC Quote LivaNova exited the second quarter of 2026 with better-than-expected earnings and revenues, supported by solid Cardiopulmonary and Epilepsy growth. Record quarterly revenues, margin expansion and raised full-year top- and bottom-line guidance were encouraging. Favorable pricing, higher Essenz placements, oxygenator demand and improved VNS Therapy momentum also supported performance. In Cardiopulmonary, the company entered a long-term agreement with Thermo Fisher Scientific to secure a critical oxygenator component. Combined with internal manufacturing improvements and a new production line expected to begin operations in the second half of 2026, the agreement should support higher oxygenator output and help address unmet demand. LivaNova continues to target a 2028 launch for its next-generation oxygenator. In Neuromodulation, improved reimbursement and CORE-VNS clinical evidence continued to support physician confidence, patient referrals and earlier adoption of VNS Therapy in Epilepsy. The limited market release of LivaNova’s cloud-based clinician portal also progressed, while its next-generation implantable pulse generator remains on track for a 2027 launch. In obstructive sleep apnea, PolySync increased the cumulative apnea-hypopnea index response rate to 84.5%, strengthening the therapy’s clinical profile. The company now expects to submit the MRI-compatible OSA system’s PMA supplement between the second half of 2026 and the first half of 2027. LivaNova currently carries a Zacks Rank #2 (Buy). Some other top-ranked stocks from the broader medical space are West Pharmaceutical WST, McKesson MCK and Cardinal Health CAH, each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here. West Pharmaceutical reported second-quarter 2026 adjusted earnings per share (EPS) of $2.37, which beat the Zacks Consensus Estimate by 13.9%. Revenues of $872.3 million surpassed the Zacks Consensus Estimate by 4.2%. West Pharmaceutical has an estimated long-term earnings growth rate of 16%. WST’s earnings surpassed estimates in the trailing four quarters, the average surprise being 17.4%. McKesson reported a first-quarter fiscal 2027 adjusted EPS of $9.93, which beat the Zacks Consensus Estimate by 5.2%. Revenues of $105.4 billion surpassed the Zacks Consensus Estimate by 0.95%. McKesson has an estimated long-term earnings growth rate of 13.7%. MCK’s earnings surpassed estimates in the trailing four quarters, the average surprise being 4.3%. Cardinal Health reported a third-quarter fiscal 2026 adjusted EPS of $3.17, which beat the Zacks Consensus Estimate by 13.2%. Revenues of $60.94 billion missed the Zacks Consensus Estimate by 2.3%. Cardinal Health has an estimated long-term earnings growth rate of 17%. CAH’s earnings surpassed estimates in the trailing four quarters, the average surprise being 10.3%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report LivaNova PLC (LIVN) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research