5 Stocks Positioned for Breakout Growth

4. Cencora, Inc. (NYSE:COR)

Stock Upside Potential: 23.91%

Number of Hedge Fund Holders: 61

Cencora Inc (NYSE:COR) is one of the stocks positioned for breakout growth. On March 24, UBS reiterated a Buy rating on Cencora Inc (NYSE:COR) with a $410 price target. The bullish stance is in response to the company’s announcement of the acquisition of EyeSouth’s partner’s retina business for $1.1 billion.

The acquisition marks an important milestone as it expands Cencora’s footprint into the specialty business by offering retina services. Additionally, the acquisition will be synergistic with the existing RCA business, with all providers on board. It will also strengthen the company’s retina platform, which generated $600 million in revenue and $75 million in EBITDA in 2022.

The company is to finance the deal using existing credit facilities and cash. The acquisition is also expected to be accretive to adjusted earnings per share in the first 12 months following the close. Evercore ISI analysts have also reiterated their optimism about the acquisition as a positive development. The analyst’s firm maintains an Outperform rating on the stock with a $420 price target.

Cencora, Inc. (NYSE:COR) is a leading global pharmaceutical solutions organization that acts as a primary wholesale distributor, connecting drug manufacturers with healthcare providers. It distributes brand-name, generic, and specialty drugs to hospitals, pharmacies, and clinics while providing logistics, supply chain optimization, and commercialization services for biopharma companies.