** Cardinal Health CAH.N to buy healthcare management firm Solaris Health for $1.9 billion as drug distributor looks to expand its specialty business
** Total quarterly sales came in below analysts' estimates - data compiled by LSEG
BAR WAS HIGH
** Citi ("Neutral", PT:$160) says CAH fell slightly short of high expectations driven by insignificant costs adding up
** Says urology-focused Solaris buy makes "strategic sense" as segment offers more diverse revenue stream, lessens potential most-favored-nation drug pricing risk
** Leerink Partners ("Outperform", PT:$186) says "bar was high" for Cardinal going into Q4 results
** Adds, "quarter was a pause on the back of what's been an incredibly strong multi-year run"
** Morgan Stanley ("Overweight", PT:$190) says heightened expectations for distributors "leaving little or no room for error" dragged CAH shares down post results
** Brokerage says more focus should be on strength in underlying fundamentals across pharma and specialty unit
** J.P.Morgan ("Neutral", PT:$178) says Solaris acquisition would modestly boost guidance in low single-digit increase, but CAH hasn't yet included this in its 2026 outlook
(Reporting by Siddhi Mahatole)
((siddhi.mahatole@thomsonreuters.com))
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