Jim Cramer on Cardinal: “Gotta Put That One Behind”

Cardinal Health, Inc. (NYSE:CAH) was among the stocks Jim Cramer highlighted, as he discussed the massive AI infrastructure buildout. Cramer mentioned the stock during the episode and said:

Cardinal Health, a company that had repeatedly come on Mad Money telling a terrific story, just imploded. Did I tell people to buy it? Well, it’s in my Trust. Ouch. Gotta put that one behind, but only after further investigation.

Photo by Adam Nowakowski on Unsplash

Cardinal Health, Inc. (NYSE:CAH) supplies branded, generic, and specialty medicines and provides pharmacy and specialty drug services. The company also makes and distributes medical and surgical products and procedure kits. During the April 23 episode, Cramer said that he is a “huge believer” in the company, as he commented:

Next, I’m a huge believer in Cardinal Health with a stock that’s just been annihilated here without any reason, other than, I think, a vicious rotation out of healthcare. Cardinal’s down from $233 to $204. It’s beaten the quarterly estimates repeatedly, shifts its model from being a pure middleman to being a drug wholesaler, to being a manager of services to its clients… Given the complexity of large independent medical organizations, Cardinal’s filling a gap in management for specialty chains that really don’t know how to run their own business. I think there’s maybe many more to come. High growth that now trades at less than 20 times earnings. To me, Cardinal’s a steal. Although we’ve been buying it for the Charitable Trust, and admittedly, I started early. Some would say wrong. Okay.

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