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ABBV vs. CAH: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ABBV and CAH, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

ABBV dominates in value with a market cap of 321.13 billion USD, eclipsing CAH’s 36.59 billion USD by roughly 8.78×.

With betas of 0.55 for ABBV and 0.67 for CAH, both show similar volatility profiles relative to the overall market.

SymbolABBVCAH
Company NameAbbVie Inc.Cardinal Health, Inc.
CountryUSUS
SectorHealthcareHealthcare
IndustryDrug Manufacturers - GeneralMedical - Distribution
CEOMr. Robert A. Michael CPAMr. Jason M. Hollar
Price181.8 USD153.31 USD
Market Cap321.13 billion USD36.59 billion USD
Beta0.550.67
ExchangeNYSENYSE
IPO DateJanuary 2, 2013August 4, 1983
ADRNoNo

Performance Comparison

This chart compares the performance of ABBV and CAH over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of ABBV and CAH based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • CAH carries a sub-zero price-to-book ratio of -12.48, indicating negative equity. In contrast, ABBV (P/B 226.35) has positive book value.
SymbolABBVCAH
Price-to-Earnings Ratio (P/E, TTM)76.6223.62
Forward PEG Ratio (TTM)7.161.95
Price-to-Sales Ratio (P/S, TTM)5.600.16
Price-to-Book Ratio (P/B, TTM)226.35-12.48
Price-to-Free Cash Flow Ratio (P/FCF, TTM)20.8715.00
EV-to-EBITDA (TTM)23.5814.56
EV-to-Sales (TTM)6.730.18
EV-to-Free Cash Flow (TTM)25.0816.79

Dividend Comparison

ABBV’s dividend yield of 3.51% is about 166% higher than CAH’s 1.32%, underscoring its stronger focus on returning cash to shareholders.

SymbolABBVCAH
Dividend Yield (TTM)3.51%1.32%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ABBV and CAH, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • With current ratios of 0.76 and 0.94, both ABBV and CAH have less current assets than short-term liabilities, which could strain their working capital and force reliance on additional financing.
  • Both ABBV (quick ratio 0.64) and CAH (quick ratio 0.50) fall below 0.8, meaning their most liquid assets—excluding inventory—aren’t enough to meet short-term obligations. This could force them to rely on receivables, inventory turn, or external financing.
  • ABBV carries high leverage (debt-to-equity ratio 49.22), whereas CAH has negative equity (-2.60), each presenting distinct capital-structure concerns.
SymbolABBVCAH
Current Ratio (TTM)0.760.94
Quick Ratio (TTM)0.640.50
Debt-to-Equity Ratio (TTM)49.22-2.60
Debt-to-Assets Ratio (TTM)0.510.15
Interest Coverage Ratio (TTM)6.1415.45