Track market-moving stories before they get noisy

West Pharmaceutical said on Monday it appointed former Thermo Fisher Scientific executive Michel ​Lagarde as its top boss, effective ‌August 31, succeeding longtime chief Eric Green.

Atmos Energy (ATO - Free Report) came out with quarterly earnings of $3.47 per share, beating the Zacks Consensus Estimate of $3.37 per share. This compares to earnings of $3.03 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +3.07%. A quarter ago, it was expected that this natural gas utility would post earnings of $2.41 per share when it actually produced earnings of $2.44, delivering a surprise of +1.24%.

Over the last four quarters, the company has surpassed consensus EPS estimates three times.

Atmos, which belongs to the Zacks Utility - Gas Distribution industry, posted revenues of $1.96 billion for the quarter ended March 2026, missing the Zacks Consensus Estimate by 12.33%. This compares to year-ago revenues of $1.95 billion. The company has not been able to beat consensus revenue estimates over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Atmos shares have added about 11.7% since the beginning of the year versus the S&P 500's gain of 6%.

What's Next for Atmos?While Atmos has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Atmos was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.32 on $1.05 billion in revenues for the coming quarter and $8.30 on $5.56 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Utility - Gas Distribution is currently in the bottom 37% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

One other stock from the broader Zacks Utilities sector, Consolidated Water (CWCO - Free Report) , is yet to report results for the quarter ended March 2026. The results are expected to be released on May 11.

This developer and operator of desalination plants is expected to post quarterly earnings of $0.27 per share in its upcoming report, which represents a year-over-year change of -12.9%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Consolidated Water's revenues are expected to be $33.4 million, down 1% from the year-ago quarter.

Atmos Energy Corporation (ATO) Q2 2026 Earnings Call Transcript

2 hours ago

Lennar (NYSE:LEN) Updates Q3 2026 Earnings GuidanceLennar (NYSE:LEN) updated its third quarter 2026 earnings guidance. The company provided EPS guidance of 1.200-1.400 for the period, compared to the consensus estimate of 1.710.

NYSE:LEN

Read Lennar (NYSE:LEN) Updates Q3 2026 Earnings Guidance

3 hours ago

MSA Safety Incorporporated (NYSE:MSA) CFO Acquires $71,093.12 in StockMarketBeat

MSA Safety Incorporporated (NYSE:MSA - Get Free Report) CFO Julie Beck bought 448 shares of the stock in a transaction dated Thursday, June 11th. The stock was acquired at an average price of $158.69 per share, with a total value of $71,093.12. Following the completion of the purchase, the chief financial officer owned 3,825 shares of the company's stock, valued at $606,989.25. This represents a 13.27% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available through this link.

NYSE:MSA

Read MSA Safety Incorporporated (NYSE:MSA) CFO Acquires $71,093.12 in Stock

3 hours ago

Insider Selling: NBT Bancorp (NASDAQ:NBTB) Director Sells 2,100 Shares of StockMarketBeat

NBT Bancorp Inc. (NASDAQ:NBTB - Get Free Report) Director Heidi Hoeller sold 2,100 shares of the business's stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $48.03, for a total transaction of $100,863.00. Following the transaction, the director owned 11,560 shares of the company's stock, valued at approximately $555,226.80. This represents a 15.37% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink.

NASDAQ:NBTB

Read Insider Selling: NBT Bancorp (NASDAQ:NBTB) Director Sells 2,100 Shares of Stock

3 hours ago

Douglas Milne Sells 1,600 Shares of IGM Financial (TSE:IGM) StockMarketBeat

IGM Financial Inc. (TSE:IGM - Get Free Report) Director Douglas Milne sold 1,600 shares of the business's stock in a transaction that occurred on Tuesday, June 9th. The stock was sold at an average price of C$80.61, for a total value of C$128,976.00. Following the sale, the director directly owned 800 shares in the company, valued at C$64,488. The trade was a 66.67% decrease in their ownership of the stock.

TSE:IGM

Read Douglas Milne Sells 1,600 Shares of IGM Financial (TSE:IGM) Stock

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All investors love getting big returns from their portfolio, whether it's through stocks, bonds, ETFs, or other types of securities. However, when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.

Cash flow can come from bond interest, interest from other types of investments, and, of course, dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends make up large portions of long-term returns, and in many cases, dividend contributions surpass one-third of total returns.

Based in Dallas, Atmos Energy (ATO - Free Report) is in the Utilities sector, and so far this year, shares have seen a price change of 8.54%. The natural gas utility is currently shelling out a dividend of $1.00 per share, with a dividend yield of 2.2%. This compares to the Utility - Gas Distribution industry's yield of 3.08% and the S&P 500's yield of 1.42%.

Looking at dividend growth, the company's current annualized dividend of $4.00 is up 14.9% from last year. Over the last 5 years, Atmos Energy has increased its dividend 5 times on a year-over-year basis for an average annual increase of 8.75%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Atmos's current payout ratio is 49%, meaning it paid out 49% of its trailing 12-month EPS as dividend.

Looking at this fiscal year, ATO expects solid earnings growth. The Zacks Consensus Estimate for 2026 is $8.30 per share, which represents a year-over-year growth rate of 11.26%.

Investors like dividends for many reasons; they greatly improve stock investing profits, decrease overall portfolio risk, and carry tax advantages, among others. But, not every company offers a quarterly payout.

Big, established firms that have more secure profits are often seen as the best dividend options, but it's fairly uncommon to see high-growth businesses or tech start-ups offer their stockholders a dividend. Income investors have to be mindful of the fact that high-yielding stocks tend to struggle during periods of rising interest rates. That said, they can take comfort from the fact that ATO is not only an attractive dividend play, but is also a compelling investment opportunity with a Zacks Rank of #2 (Buy).

Key Takeaways ATO is expanding its customer base as rising natural gas demand and approved rates lift results. ATO invested $2B in fiscal Q2 2026, with 89% for upgrades; plans $4.2B investment in FY26.Atmos Energy raised dividend to $1/share quarterly, up 14.9% vs FY25, extending 42-year streak. Atmos Energy Corp. (ATO - Free Report) benefits from an expanding customer base, rising natural gas demand and newly approved rates, which boost the company’s financial performance. The company invests strategically to modernize and replace its aging transmission and distribution systems and underground storage infrastructure. This improves operational efficiency, enhances service reliability and supports long-term growth.

Let’s focus on the factors that make this Zacks Rank #2 (Buy) stock a strong investment pick at the moment. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Projections for ATO & Surprise History The Zacks Consensus Estimate for ATO’s fiscal 2026 and 2027 earnings have moved up 1.58% and 1.37%, respectively, in the past 60 days. The Zacks Consensus Estimate for ATO’s  2026 and 2027 sales is pinned at $5.47 billion and $6.02 billion, indicating year-over-year growth of 16.39% and 9.90%, respectively.

ATO’s long-term (three to five years) earnings growth rate is 6.82%.

ATO has surpassed earnings in the three quarters and missed earnings estimates in one of the last four reported quarters, resulting in an average positive earnings surprise 2.33%.

ATO’s Stable Investments Atmos Energy invested $2 billion during the second quarter of fiscal 2026. Of the total spending,  89% was dedicated to infrastructure upgrades aimed at ensuring safe and reliable customer service. The company aims to invest $4.2 billion during fiscal 2026.

ATO’s Shareholder Return ProgramAtmos Energy has a dividend yield of 2.25% versus the Zacks S&P 500 composite’s average of 1.42%. The company announced a dividend of $1 per share, resulting in an annualized dividend of $4, reflecting a 14.9% increase from fiscal 2025.

The company has been rewarding its shareholders with a continuous increase in dividends for 42 years. It targets nearly 6-8% dividend growth through 2030, subject to approval by the board of directors.

ATO’s Debt Position The debt-to-capital ratio measures the proportion of a company’s total capital funded by debt, reflecting its financial leverage and long-term solvency. ATO’s total debt-to-capital is 39.24%, which is lower than the industry’s 54.47%, indicating stronger financial stability and lower leverage risk.

ATO’s time earned ratio (TIE) at the end of the fiscal second quarter of 2026 was 12.1. The TIE ratio measures a company’s ability to meet long-term debt obligations, indicating how effectively operating earnings cover interest expenses and reflecting its overall financial stability and solvency.

Price Performance of ATOIn the past three months, Atmos Energy shares have plunged 5.8% compared with the industry’s 4.2% fall.

Image Source: Zacks Investment Research

Other Stocks to Consider Some other top-ranked stocks from the same sector are American States Water (AWR - Free Report) , Duke Energy (DUK - Free Report) and Consolidated Edison (ED - Free Report) each carry a Zacks Rank #2 at present.

AWR, DUK and ED dividend yields are 2.65%, 3.41% and 3.30%, respectively.

The Zacks Consensus Estimate for American States Water, Duke Energy and Consolidated Edison 2026 EPS is pegged at $3.71, $6.71 and $6.09, suggesting year-over-year growth of 10.09%,6.34% and 6.84%, respectively.

All investors love getting big returns from their portfolio, whether it's through stocks, bonds, ETFs, or other types of securities. However, when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.

While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends make up large portions of long-term returns, and in many cases, dividend contributions surpass one-third of total returns.

Headquartered in Dallas, Atmos Energy (ATO - Free Report) is a Utilities stock that has seen a price change of 3.22% so far this year. Currently paying a dividend of $1.00 per share, the company has a dividend yield of 2.31%. In comparison, the Utility - Gas Distribution industry's yield is 3.09%, while the S&P 500's yield is 1.44%.

Looking at dividend growth, the company's current annualized dividend of $4.00 is up 14.9% from last year. Over the last 5 years, Atmos Energy has increased its dividend 5 times on a year-over-year basis for an average annual increase of 8.75%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Atmos's current payout ratio is 49%, meaning it paid out 49% of its trailing 12-month EPS as dividend.

Earnings growth looks solid for ATO for this fiscal year. The Zacks Consensus Estimate for 2026 is $8.38 per share, representing a year-over-year earnings growth rate of 12.33%.

From greatly improving stock investing profits and reducing overall portfolio risk to providing tax advantages, investors like dividends for a variety of different reasons. However, not all companies offer a quarterly payout.

High-growth firms or tech start-ups, for example, rarely provide their shareholders a dividend, while larger, more established companies that have more secure profits are often seen as the best dividend options. Income investors have to be mindful of the fact that high-yielding stocks tend to struggle during periods of rising interest rates. With that in mind, ATO presents a compelling investment opportunity; it's not only an attractive dividend play, but the stock also boasts a strong Zacks Rank of #2 (Buy).

A month has gone by since the last earnings report for Atmos Energy (ATO - Free Report) . Shares have lost about 7.6% in that time frame, underperforming the S&P 500.

But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Atmos due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the latest earnings report in order to get a better handle on the important catalysts.

Atmos Energy Q2 Earnings Surpass Estimates, Revenues Increase Y/Y

Atmos Energy posted second-quarter fiscal 2026 earnings of $3.47 per share, which beat the Zacks Consensus Estimate of $3.37 by 2.97%. The bottom line improved 14.52% from the year-ago quarter’s $3.03.

ATO’s RevenuesThe company reported revenues of $1.96 billion, which missed the Zacks Consensus Estimate of $2.24 billion by 12.37%. However, the top line rose 0.61% from the prior-year quarter’s $1.95 billion.

Highlights of ATO’s Q2 ReleaseOperation and maintenance expenses in the second quarter of fiscal 2026 amounted to $195.8 million, down 16.08% from the year-ago quarter’s level.

Operating income in the second quarter of fiscal 2026 was $764.8 million, a 21.60% increase from $628.9 million in the year-ago quarter.

Through May 6, 2026, new rates worth $136.1 million were implemented, while rates worth $598.4 million await approval from the authorities before being put into effect.

ATO reported net income of $581.9 million in the second quarter of fiscal 2026, a 19.84% increase from $485.6 million in the year-ago quarter.

Atmos Energy incurred interest expenses of $48.7 million, down 2.63% from the year-earlier quarter’s level.

The company reported 159.4 million cubic feet of consolidated distribution throughput for the quarter, down 18.85% from the year-ago quarter’s reported actuals.

ATO’s Segmental DetailsDistribution: Net income totaled $437.3 million, a 14.89% increase from $380.6 million in the year-ago quarter.

Pipeline and Storage: Income amounts to $144.6 million, reflecting a 37.80% increase from $104.9 million reported in the year-ago quarter.

ATO’s Financial HighlightsAs of March 31, 2026, Atmos Energy reported a strong balance sheet with approximately $4.1 billion in available liquidity.

As of March 31, 2026, ATO had cash and cash equivalents of $127.1 million compared with $203.8 million as of Sept. 30, 2025.

Net cash flow provided by operating activities in the first six months of fiscal 2026 was $1.03 billion compared with $1.20 billion in the year-ago period.

During the second quarter of fiscal 2026, the company issued $600 million of 5.45% 30-year senior notes and settled $672 million through equity forward arrangements.

In the second quarter of fiscal 2026, the company invested nearly $2.0 billion, with 85% of the amount allocated to improving the safety and reliability of its distribution and transportation systems.

ATO’s FY26 GuidanceAtmos Energy reaffirms fiscal 2026 guidance in the range of $8.40-$8.50 per share. The Zacks Consensus Estimate is pegged at $8.30 per share, lower than the company’s guided range.

ATO anticipates its fiscal 2026 capital expenditure to be $4.2 billion.

Total net income is expected to be in the range of $1.41-$1.43 billion.

ATO's board of directors has declared a quarterly dividend of $1.00 per common share. The indicated annual dividend for fiscal 2026 is $4.00, which represents a 14.9% increase from fiscal 2025.

How Have Estimates Been Moving Since Then?Analysts were quiet during the last two month period as none of them issued any earnings estimate revisions.

VGM ScoresAt this time, Atmos has a subpar Growth Score of D, however its Momentum Score is doing a lot better with an A. However, the stock has a grade of D on the value side, putting it in the bottom 40% for this investment strategy.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook Atmos has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Key Takeaways Cardinal Health's Pharmaceutical & Specialty revenues rose 19% to about $61B in Q3 fiscal 2026.CAH said specialty revenues grew more than 20%, with fiscal 2026 specialty sales seen above $50B.Cardinal Health highlighted oncology growth above 30% and deeper specialty ecosystem integration. Cardinal Health’s (CAH - Free Report) Pharmaceutical & Specialty Solutions segment continues to be the primary engine of enterprise growth, delivering another standout quarter in the third quarter of fiscal 2026. Segment revenues climbed 19% to approximately $61 billion, while segment profit increased 29%, underscoring the segment’s growing importance to Cardinal Health’s earnings profile. The strength reflects broad-based demand, expanding specialty capabilities and operational leverage across the platform.

The strong performance can be attributed to healthy growth across brand pharmaceuticals, specialty products, and generics, demonstrating the breadth of Cardinal Health’s pharmaceutical distribution model. Management highlights continued strong pharmaceutical demand across categories, with specialty and branded products making particularly strong contributions to profit growth. Generics also remains a positive contributor, supported by stable market dynamics and the company’s Red Oak sourcing partnership.

Specialty remains the most important structural growth driver. Cardinal Health reported more than 20% specialty revenue growth in the third quarter and reiterated expectations for specialty revenues to exceed $50 billion in fiscal 2026, reflecting momentum across both upstream manufacturer partnerships and downstream provider networks. Demand trends remain especially strong in oncology, urology, and other specialty therapies, supported by physician engagement through Specialty Alliance MSOs and expanding biopharma solutions capabilities.

The company is also deepening integration across its specialty ecosystem. The ongoing onboarding of Solaris and GI Alliance distribution volumes, alongside tuck-in acquisitions within Specialty Alliance, is expanding physician reach and reinforcing cross-platform synergies. Management emphasized that oncology alone continued to grow more than 30%, highlighting robust patient demand and increasing market penetration.

Looking ahead, sustainability appears favorable. Positive demographic trends, increasing specialty drug utilization and deeper manufacturer partnerships continue to support demand. While mix shifts and IRA pricing changes may create revenue volatility, Cardinal Health’s strong profit growth suggests the segment’s momentum remains fundamentally intact.

Peer UpdatesThe rising demand for specialty solutions, along with attractive margins, has also led the other two leading pharmaceutical distributors — McKesson (MCK - Free Report) and Cencora (COR - Free Report) — to expand into this space.

McKesson continues to deepen its specialty strategy as a key earnings driver, particularly through its oncology and multispecialty platforms. It reported strong revenue and double-digit EPS growth in the fourth quarter of fiscal 2026, supported by strong demand across oncology services, biopharma solutions and pharmaceutical distribution.

MCK highlighted that its oncology network now includes about 3,400 providers, reflecting the expanding scale of its specialty ecosystem. The company is also integrating assets, such as Florida Cancer Specialists and PRISM Vision, strengthening provider services and specialty drug distribution.

With specialty distribution volumes and provider solutions driving operating profit growth, McKesson’s oncology and multispecialty platform is emerging as a key contributor to its long-term earnings expansion.

Cencora is similarly leaning into specialty pharmaceuticals and MSO expansion to accelerate earnings growth. COR reported 6% adjusted operating income growth and 7.5% adjusted EPS growth in the quarter, driven largely by its U.S. Healthcare Solutions segment and specialty drug demand.

The company recently expanded its MSO footprint through the acquisition of OneOncology, complementing Retina Consultants of America and strengthening its specialty ecosystem. Cencora expects these physician-focused platforms to deepen relationships with biopharma companies and specialty providers.

As specialty innovation and complex therapies grow, Cencora believes these MSO partnerships will enhance distribution volumes, support physicians and create new earnings growth opportunities for it.

CAH’s Price Performance, Valuation and EstimatesShares of CAH have lost 11.2% so far this year compared with the industry’s 12.6% decline.

Image Source: Zacks Investment Research

From a valuation standpoint, Cardinal Health trades at a forward price-to-earnings ratio of 15.5, above the industry average. It is also higher than its five-year median of 13.65. CAH carries a Value Score of A.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for Cardinal Health’s fiscal 2026 earnings implies a 30.1% rise from the year-ago period’s level.

Image Source: Zacks Investment Research

The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Roughly a year ago, 24/7 Wall St. ran a piece titled Forget UnitedHealth. Cardinal Health Is the Best Healthcare Stock to Buy Right Now, arguing that Cardinal Health (NYSE: CAH | CAH Price Prediction) was the safer healthcare bet while UnitedHealth Group (NYSE: UNH) reeled from a Department of Justice probe, a leadership shake-up, and a 50% drawdown. Twelve months later, the question for a retirement-focused investor is sharper: which one should you actually own today?

The honest answer requires grading the original call and then asking what the next year looks like. We’ll judge both names on past 12-month performance, recent momentum, and forward analyst views.

Round 1: 12-Month Total Return The contrarian trade won. From the original article’s publication on May 29, 2025, through May 11, 2026, UnitedHealth returned 35.2%, climbing from $296.80 to $401.16. Cardinal Health, the recommended pick, returned 21.8%, moving from $153.00 to $186.35. Both produced solid gains, yet the “buy the wreck” trade in UnitedHealth beat the “ride the leader” trade in Cardinal Health by a meaningful margin on a total-return basis.

Cardinal Health delivered solid gains. UnitedHealth simply rebounded harder once CEO Stephen Hemsley’s turnaround took hold. Winner: UnitedHealth.

Round 2: Recent Momentum The trend lines have inverted on shorter windows. UnitedHealth posted a 27.0% gain over the past month and is up 20.9% year-to-date, fueled by a Q1 2026 adjusted EPS of $7.23, versus the $6.61 consensus estimate, and a raised full-year outlook calling for adjusted EPS above $18.25. The medical cost ratio improved 90 basis points to 83.9%, the central data point bears had been hammering.

Cardinal Health has gone the other way. The stock is down 10.7% over the past month and down 6.6% year-to-date, even after Q3 FY26 produced a non-GAAP EPS beat of $3.17 against $2.79. The market punished a 2.09% revenue miss, a 30.27% year-over-year operating income decline, and a $184 million goodwill impairment in Navista and ION. Winner: UnitedHealth.

Round 3: Forward Analyst View Here the script flips. Cardinal Health screens better on the upside scoreboard. The Wall Street consensus target is $245.27, implying material upside, with an analyst mix of three Strong Buy, 12 Buy, two Hold, and zero Sell ratings (88% bullish). The 24/7 Factor target of $231.18 implies 24.0% upside, and management has now raised FY26 non-GAAP EPS guidance to $10.70 to $10.80, or 30% to 31% growth.

UnitedHealth’s setup is tighter. The consensus target is $387.27, which is less than the current share price, and the 24/7 Factor target of $437.34 implies 9.1% upside. Coverage is still positive (82% bullish), but the rally has eaten much of the cushion, and the DOJ Medicare actions and a 965,000-member Medicare Advantage decline remain live overhangs. Winner: Cardinal Health.

The Verdict The original 24/7 Wall St. call to forget UnitedHealth aged poorly on the headline question. UnitedHealth won the trailing 12 months and the past 30 days. Acknowledging that directly matters more than defending the past pick.

For new money today, the decision splits clearly by investor profile. For retirement investors who want larger scale, a heavier dividend (UnitedHealth paid out $2.0 billion in Q1 2026 alone), and exposure to a turnaround already validated by results, UnitedHealth lines up with that profile. Retirement investors with a slightly longer horizon and a tolerance for near-term drawdown will find that Cardinal Health fits the brief. The analyst community is more bullish, the implied upside is wider, EPS growth guidance is faster, and a beta of 0.54 keeps portfolio volatility contained.

On a risk-adjusted basis, the setup currently favors Cardinal Health: UnitedHealth has already completed much of its rebound, while Cardinal Health screens with wider implied upside and faster EPS growth guidance.

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

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Kiplinger’s Personal Finance May 2026 letter makes it clear that if you are looking for yield, the door is wide open across the entire risk spectrum. We are seeing a massive spread, with opportunities ranging from stable 3% municipal bonds to 13% for those willing to get aggressive with business development companies. This is unfolding while the Federal Reserve holds the funds rate steady at 3.75%, even as the war in Iran throws a curveball at the market by hiking inflation expectations and long-term rates.

While the “artificial intelligence fervor” that dominated for years seemed to hit a wall in late 2025, the current income landscape hasn’t missed a beat. Investors are now weighing relatively safe plays, like intermediate-term tax-exempt funds yielding 3.3%, against spicier options like exchange-listed bond snippets yielding 6%. The income is there for the taking, but the real question for 2026 is how long the Middle East conflict lasts and how much risk you are actually willing to stomach to grab those double-digit returns.

This Kiplinger’s May 2026 infographic illustrates the range of available yields, from 3% to 13%, across different investment categories and their associated risk levels, ranging from cash to credit. The 3% Floor: Cash and Short Treasuries The bottom of the risk spectrum is currently a battleground between safety and shrinking purchasing power. While the Federal Reserve holds the funds rate steady at 3.75%, the war in Iran has thrown a curveball, pushing inflation expectations and long-term rates higher. With headline inflation projected at 3% to 4% by the end of 2026, the real yield on standard cash equivalents is effectively a wash.

This narrow margin is the price of principal protection in a market that just weathered a massive geopolitical shock. For those who need more than a “break-even” result, the move is to step slightly out on the risk ladder. Municipal bond funds offering a tax-equivalent 4.3% or mortgage-debt funds yielding 5.4% provide the necessary lift to actually outrun rising costs without diving into the “spicier,” high-risk territory of double-digit yields.

The 4% to 5% Middle: The Treasury Curve and Investment-Grade Dividends The middle of the range is where the curve does most of the work. The 5-year Treasury yields 4.13%, the 10-year offers 4.47%, and the 30-year tops out at 5.02%. TIPS at the 10-year point pay a real yield of 2.00%, which is the inflation-adjusted version of the same trade. The 10Y-2Y spread of 0.48% is positive but compressed, at the 6th percentile over the past year.

Blue-chip dividend equities sit alongside this band rather than above it. Johnson & Johnson (NYSE:JNJ | JNJ Price Prediction) pays a yield of 2.26% on its $1.34 quarterly dividend, the 64th consecutive annual increase. Cardinal Health (NYSE:CAH) yields about 1.1%. Both are dividend-growth names, and the income case rests on the compounding of the raise rather than the starting yield.

The 5% to 7% Tier: Financials and Capital Returns Financial-services dividends layered on top of buybacks form the next step up. Morgan Stanley (NYSE:MS) carries a $4.00 annual dividend for a yield near 2.1%, supported by a Q1 2026 ROTCE of 27.1% and $1.75 billion in Q1 buybacks. Charles Schwab (NYSE:SCHW) lifted its quarterly payout 19% to $0.32 per share after Q1 2026 net income rose 30% on client assets of $11.77 trillion. The yield on Schwab is still modest at roughly 1.4%, but the dividend growth rate is the relevant figure for buyers focused on income five years out.

The 7% to 13% Range: Closed-End Funds and Credit The upper band is where structure starts to matter more than the headline yield. Closed-end funds that use leverage and option overlays fall within the 7% to 9% range. Eaton Vance Tax-Advantaged Dividend Income Fund (NYSE:EVT) pays $0.1646 monthly, an annualized $1.9752, for a distribution rate of roughly 7.5% on its $26.27 price. The fund’s emphasis on tax-advantaged dividend income and modest leverage is representative of the CEF segment as a whole.

Yields toward the 13% end of Kiplinger’s range typically come from business development companies, mortgage REITs, leveraged credit funds, and some MLPs. Those vehicles entail credit risk, interest-rate sensitivity, and return-of-capital mechanics that the Treasury bill at the other end of the spectrum does not. The distribution rate quoted on the screen and the total return credited to the account are often different.

The Full Range The income landscape currently ranges from 3% for municipal bond funds to 13% for business development companies. Every jump in yield across this curve is tied to a clear increase in credit, structural, or complexity risk. While the Iran war threw a curveball, pushing inflation expectations and long-term interest rates higher, attractive income opportunities remain available for those willing to navigate the fallout.

The market is still heavily influenced by the duration of the Middle East conflict, but the menu of income plays has stabilized since the initial shock. Investors are choosing between lower-risk paths, such as tax-exempt funds yielding 3.3%, and higher-risk options, such as business development companies that lend to private businesses for double-digit returns.

Ultimately, the strategy depends on a saver’s appetite for potential price swings versus the need for a reliable current yield.

Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market's attention and produce exceptional returns. But finding a growth stock that can live up to its true potential can be a tough task.

In addition to volatility, these stocks carry above-average risk by their very nature. Also, one could end up losing from a stock whose growth story is actually over or nearing its end.

However, the task of finding cutting-edge growth stocks is made easy with the help of the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects.

Cardinal Health (CAH - Free Report) is on the list of such stocks currently recommended by our proprietary system. In addition to a favorable Growth Score, it carries a top Zacks Rank.

Research shows that stocks carrying the best growth features consistently beat the market. And returns are even better for stocks that possess the combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy).

While there are numerous reasons why the stock of this prescription drug distributor is a great growth pick right now, we have highlighted three of the most important factors below:

Earnings GrowthEarnings growth is arguably the most important factor, as stocks exhibiting exceptionally surging profit levels tend to attract the attention of most investors. For growth investors, double-digit earnings growth is highly preferable, as it is often perceived as an indication of strong prospects (and stock price gains) for the company under consideration.

While the historical EPS growth rate for Cardinal is 17.1%, investors should actually focus on the projected growth. The company's EPS is expected to grow 30.1% this year, crushing the industry average, which calls for EPS growth of 7.5%.

Impressive Asset Utilization RatioGrowth investors often overlook asset utilization ratio, also known as sales-to-total-assets (S/TA) ratio, but it is an important feature of a real growth stock. This metric exhibits how efficiently a firm is utilizing its assets to generate sales.

Right now, Cardinal has an S/TA ratio of 4.49, which means that the company gets $4.49 in sales for each dollar in assets. Comparing this to the industry average of 0.66, it can be said that the company is more efficient.

While the level of efficiency in generating sales matters a lot, so does the sales growth of a company. And Cardinal looks attractive from a sales growth perspective as well. The company's sales are expected to grow 15.2% this year versus the industry average of 1.9%.

Promising Earnings Estimate RevisionsBeyond the metrics outlined above, investors should consider the trend in earnings estimate revisions. A positive trend is a plus here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

The current-year earnings estimates for Cardinal have been revising upward. The Zacks Consensus Estimate for the current year has surged 4.3% over the past month.

Bottom LineWhile the overall earnings estimate revisions have made Cardinal a Zacks Rank #2 stock, it has earned itself a Growth Score of B based on a number of factors, including the ones discussed above.

You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

This combination indicates that Cardinal is a potential outperformer and a solid choice for growth investors.

It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.

The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.

Zacks Premium also includes the Zacks Style Scores.

What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.

Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.

The Style Scores are broken down into four categories:

Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.

Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.

Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.

VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.

#1 (Strong Buy) stocks have produced an unmatched +23.7% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.

This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.

That's where the Style Scores come in.

To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.

As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.

For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: Cardinal Health (CAH - Free Report) Headquartered in Dublin, OH, Cardinal Health is one of the world’s largest healthcare services and products providers, operating across Pharmaceutical & Specialty Solutions, Global Medical Products & Distribution (GMPD), and Other growth businesses. The company serves nearly 90% of U.S. hospitals, delivers more than 43,000 pharmaceutical shipments daily, and manages a broad portfolio of medical, surgical, and laboratory products.The Pharmaceutical and Specialty Solutions segment distributes a wide range of pharmaceutical products, including branded and generic drugs, specialty pharmaceuticals, and consumer health products. This segment also provides biopharma solutions, offering data-driven insights, analytics, and commercialization support to pharmaceutical manufacturers. CAH delivers specialty drug distribution services in areas such as oncology, gastroenterology, and rheumatology. Its pharmacy management services cater to hospital and retail pharmacies, enhancing medication access and supply chain efficiency. The company also operates nuclear pharmacies, compounding radiopharmaceuticals used in diagnostic imaging and treatment. It currently has nearly 130 nuclear pharmacies and 30 PET cyclotron facilities.

CAH is a #2 (Buy) on the Zacks Rank, with a VGM Score of A.

Momentum investors should take note of this Medical stock. CAH has a Momentum Style Score of B, and shares are up 0.4% over the past four weeks.

Nine analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.41 to $10.72 per share. CAH also boasts an average earnings surprise of +10.3%.

With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, CAH should be on investors' short list.

While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.

Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.

One company value investors might notice is Cardinal Health (CAH - Free Report) . CAH is currently sporting a Zacks Rank #2 (Buy) and an A for Value. The stock is trading with P/E ratio of 15.48 right now. For comparison, its industry sports an average P/E of 15.74. Over the past 52 weeks, CAH's Forward P/E has been as high as 20.15 and as low as 13.69, with a median of 15.30.

CAH is also sporting a PEG ratio of 1.24. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CAH's industry currently sports an average PEG of 1.81. Over the past 52 weeks, CAH's PEG has been as high as 1.88 and as low as 1.22, with a median of 1.49.

Finally, our model also underscores that CAH has a P/CF ratio of 15.27. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 16.55. Within the past 12 months, CAH's P/CF has been as high as 17.47 and as low as 12.96, with a median of 15.12.

These are just a handful of the figures considered in Cardinal Health's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that CAH is an impressive value stock right now.

For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.

Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.

Zacks Premium also includes the Zacks Style Scores.

What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.

Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.

The Style Scores are broken down into four categories:

Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.

Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.

Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.

VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.

It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.

This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.

That's where the Style Scores come in.

You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.

Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.

A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: Cardinal Health (CAH - Free Report) Headquartered in Dublin, OH, Cardinal Health is one of the world’s largest healthcare services and products providers, operating across Pharmaceutical & Specialty Solutions, Global Medical Products & Distribution (GMPD), and Other growth businesses. The company serves nearly 90% of U.S. hospitals, delivers more than 43,000 pharmaceutical shipments daily, and manages a broad portfolio of medical, surgical, and laboratory products.The Pharmaceutical and Specialty Solutions segment distributes a wide range of pharmaceutical products, including branded and generic drugs, specialty pharmaceuticals, and consumer health products. This segment also provides biopharma solutions, offering data-driven insights, analytics, and commercialization support to pharmaceutical manufacturers. CAH delivers specialty drug distribution services in areas such as oncology, gastroenterology, and rheumatology. Its pharmacy management services cater to hospital and retail pharmacies, enhancing medication access and supply chain efficiency. The company also operates nuclear pharmacies, compounding radiopharmaceuticals used in diagnostic imaging and treatment. It currently has nearly 130 nuclear pharmacies and 30 PET cyclotron facilities.

CAH is a #2 (Buy) on the Zacks Rank, with a VGM Score of A.

It also boasts a Value Style Score of A thanks to attractive valuation metrics like a forward P/E ratio of 18.36; value investors should take notice.

For fiscal 2026, nine analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.41 to $10.72 per share. CAH boasts an average earnings surprise of +10.3%.

With a solid Zacks Rank and top-tier Value and VGM Style Scores, CAH should be on investors' short list.

On June 04, 2026, Cardinal Health Inc CAH shares rose 3.0%, bringing the current price to $201.74. The stock has traded within a 52-week range of $137.75 to $233.60. This recent uptick is noteworthy in the context of its year-to-date performance, which shows a decline of 1.4%. However, over the past year, the stock has appreciated by 32.4%.

GF Value™ verdict: Shares are trading at $201.74, which is 43.6% above the GF Value™ estimate of $140.52, indicating that the stock is overvalued.GF Score™: The stock has a score of 85/100, suggesting strong overall performance metrics.Notable signal: There have been no insider transactions in the last 3 months, indicating stable insider sentiment. Is CAH Overvalued or Undervalued? According to the GF Value™, Cardinal Health Inc CAH is currently significantly overvalued. The current share price of $201.74 exceeds the GF Value™ estimate of $140.52 by 43.6%. This disparity highlights a potential risk for investors, as the stock's price may not be sustainable if it does not align with its intrinsic value. A margin of safety is essential for any investment, and the current valuation suggests that the stock may be trading well above a reasonable entry point.

GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. Since CAH is classified as significantly overvalued, potential investors might want to exercise caution and look for more favorable pricing before considering a position in the company.

How Does CAH's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 30.9x 29.2x Forward P/E 16.8x N/A Currently, Cardinal Health's P/E (TTM) ratio is 30.9x, which is 6% above its 5-year median P/E of 29.2x. This indicates that the stock is trading above its historical valuation metrics. When comparing this P/E analysis to the GF Value™ verdict, it agrees that CAH is overvalued, reinforcing the view that investors should be cautious regarding the stock's current pricing.

What Does CAH's GF Score™ Tell Us? The GF Score™ ranks stocks from 0 to 100 based on five key aspects: Financial Strength, Profitability, Growth, Valuation, and Momentum. Stocks with higher GF Score™ values have been found to generate higher long-term returns (backtested 2006-2021).

Metric Rating GF Score™ 85 Financial Strength 7/10 Profitability 7/10 Growth 8/10 Valuation 5/10 Momentum 8/10 The GF Score™ of 85/100 indicates that Cardinal Health has strong performance across multiple metrics. The strongest areas are Growth and Momentum, both rated at 8/10, suggesting that the company has demonstrated a robust ability to expand and maintain positive price movements. However, the Valuation score of 5/10 indicates that the stock's current valuation may not be justified based on its financial performance metrics.

What Are Insiders Doing with CAH Stock? In the last three months, there have been no insider transactions for Cardinal Health Inc CAH . This lack of activity could suggest that insiders are not currently making significant moves, which may imply stability in their outlook on the company's performance. However, it is also essential to consider that active insider buying or selling could provide additional insights into the company's future prospects.

What This Means for Investors Based on the GF Value™ analysis, Cardinal Health Inc CAH is currently considered overvalued. With the stock trading significantly above its intrinsic value, potential investors may want to proceed with caution until a more favorable entry point arises.

For the complete analysis, visit the Cardinal Health Inc CAH stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is CAH's GF Score™?

The GF Score™ for Cardinal Health Inc is 85/100, indicating strong overall performance metrics and the potential for high long-term returns.

Is CAH overvalued or undervalued?

Cardinal Health Inc is currently considered overvalued, with the share price exceeding the GF Value™ estimate by 43.6%.

What is CAH's P/E ratio?

CAH's P/E (TTM) ratio is 30.9x, which is above its historical 5-year median of 29.2x, suggesting that the stock is trading at a higher valuation than in the past.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Posted by Defense World Staff on Apr 27th, 2026

B. Metzler seel. Sohn & Co. AG lowered its holdings in shares of Carrier Global Corporation (NYSE:CARR – Free Report) by 47.5% during the 4th quarter, according to the company in its most recent filing with the SEC. The fund owned 26,284 shares of the company’s stock after selling 23,750 shares during the period. B. Metzler seel. Sohn & Co. AG’s holdings in Carrier Global were worth $1,389,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Capital International Investors boosted its position in Carrier Global by 6.7% during the 3rd quarter. Capital International Investors now owns 57,982,302 shares of the company’s stock valued at $3,461,142,000 after buying an additional 3,630,524 shares during the period. State Street Corp boosted its position in Carrier Global by 1.4% during the 3rd quarter. State Street Corp now owns 33,377,339 shares of the company’s stock valued at $1,992,627,000 after buying an additional 473,692 shares during the period. Fisher Asset Management LLC boosted its position in Carrier Global by 0.6% during the 3rd quarter. Fisher Asset Management LLC now owns 15,139,140 shares of the company’s stock valued at $903,807,000 after buying an additional 90,585 shares during the period. Dodge & Cox boosted its position in Carrier Global by 5.1% during the 3rd quarter. Dodge & Cox now owns 13,427,697 shares of the company’s stock valued at $801,634,000 after buying an additional 651,648 shares during the period. Finally, PineStone Asset Management Inc. boosted its position in Carrier Global by 34.6% during the 4th quarter. PineStone Asset Management Inc. now owns 7,153,429 shares of the company’s stock valued at $377,987,000 after buying an additional 1,837,985 shares during the period. Institutional investors own 91.00% of the company’s stock.

Carrier Global Price Performance CARR stock opened at $61.08 on Monday. Carrier Global Corporation has a 1 year low of $50.24 and a 1 year high of $81.09. The company has a market cap of $51.03 billion, a P/E ratio of 35.72, a PEG ratio of 2.48 and a beta of 1.32. The firm has a 50-day moving average of $59.86 and a 200 day moving average of $57.55. The company has a debt-to-equity ratio of 0.80, a current ratio of 1.20 and a quick ratio of 0.85.

Carrier Global (NYSE:CARR – Get Free Report) last issued its quarterly earnings data on Thursday, February 5th. The company reported $0.34 EPS for the quarter, missing the consensus estimate of $0.36 by ($0.02). Carrier Global had a return on equity of 15.30% and a net margin of 6.82%.The company had revenue of $4.84 billion during the quarter, compared to analysts’ expectations of $5.05 billion. During the same quarter last year, the business earned $0.54 earnings per share. The business’s quarterly revenue was down 6.0% on a year-over-year basis. Carrier Global has set its FY 2026 guidance at 2.800-2.800 EPS. On average, sell-side analysts forecast that Carrier Global Corporation will post 2.74 EPS for the current year.

Carrier Global Dividend Announcement The business also recently disclosed a quarterly dividend, which will be paid on Friday, May 22nd. Shareholders of record on Monday, May 4th will be issued a $0.24 dividend. The ex-dividend date is Monday, May 4th. This represents a $0.96 annualized dividend and a yield of 1.6%. Carrier Global’s dividend payout ratio (DPR) is 56.14%.

Analyst Ratings Changes Several brokerages have weighed in on CARR. Evercore began coverage on shares of Carrier Global in a research report on Monday, April 13th. They set an “outperform” rating and a $75.00 price target for the company. Citigroup increased their price target on shares of Carrier Global from $70.00 to $72.00 and gave the company a “buy” rating in a research report on Friday, February 6th. Wolfe Research increased their price target on shares of Carrier Global from $75.00 to $76.00 and gave the company an “outperform” rating in a research report on Wednesday, April 8th. Zacks Research raised shares of Carrier Global from a “strong sell” rating to a “hold” rating in a research report on Tuesday, April 7th. Finally, Robert W. Baird increased their price target on shares of Carrier Global from $66.00 to $72.00 and gave the company an “outperform” rating in a research report on Friday, February 6th. Thirteen analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $69.79.

Check Out Our Latest Stock Report on Carrier Global

About Carrier Global (Free Report)

Carrier Global Corporation is a leading global provider of heating, ventilation and air conditioning (HVAC), refrigeration, fire and security, and building automation solutions. The company designs, manufactures and sells a broad portfolio of products that includes air conditioners, furnaces, heat pumps, chillers, rooftop units, commercial refrigeration systems, fire and smoke detection and suppression systems, security sensors and access controls, and a range of building controls and analytics software.

Further Reading Five stocks we like better than Carrier Global Want to see what other hedge funds are holding CARR? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Carrier Global Corporation (NYSE:CARR – Free Report).

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Investment strengthens Carrier's liquid cooling capabilities and enhances its QuantumLeap™ suite for thermal and integrated management solutions

, /PRNewswire/ -- Carrier Global Corporation (NYSE: CARR), global leader in intelligent climate and energy solutions, today announced that its venture group, Carrier Ventures, has expanded its investment in ZutaCore, a provider of direct-to-chip, waterless liquid cooling solutions.

The move strengthens a strategic partnership to support high-density AI data centers and advances Carrier's strategy to deliver integrated solutions across the data center thermal lifecycle. It expands its capabilities in advanced liquid cooling technologies, including interoperable single and two-phase cooling systems. These capabilities further enhance Carrier's broader QuantumLeap™ suite of thermal and integrated management solutions.

"AI is fundamentally reshaping data center architecture, with thermal management emerging as a key constraint to scale," said Christian Senu, Vice President, Global Data Centers, Carrier. "This investment strengthens our ability to deliver advanced liquid cooling solutions that help customers scale high-density AI infrastructure efficiently and with improved energy performance for today's chip thermal densities and next-generation architectures."

The follow-on investment builds on Carrier's 2025 investment in ZutaCore and comes as AI-driven chip power densities continue to rise, increasing demand for advanced cooling solutions, including liquid cooling.

"Our expanded partnership with Carrier reflects the need for new approaches to data center cooling," said Erez Freibach, Chairman and CEO, ZutaCore. "By combining ZutaCore's waterless, direct-to-chip technology with Carrier's system-level expertise, we are enabling the next generation of high-density AI data centers."

ZutaCore is a Foster City, California-based provider of direct-to-chip, waterless liquid cooling solutions. Its HyperCool® technology uses a closed-loop, two-phase system to remove heat at the source, enabling higher-density AI compute and improved energy efficiency.

For more information about Carrier Ventures' portfolio companies, visit https://www.carrier.com/us/en/innovation/.

About Carrier
Carrier Global Corporation, global leader in intelligent climate and energy solutions, is committed to creating innovations that bring comfort, safety and sustainability to life. Through cutting-edge advancements in climate solutions such as temperature control, air quality and transportation, we improve lives, empower critical industries and ensure the safe transport of food, life-saving medicines and more. Since inventing modern air conditioning in 1902, we lead with purpose: enhancing the lives we live and the world we share. We continue to lead because of our world-class, inclusive workforce that puts the customer at the center of everything we do. For more information, visit carrier.com or follow Carrier on social media at @Carrier.

Carrier. For the World We Share.

CARR-IR

 Contact:

Media Inquiries

Rob Six

561-281-2362

[email protected]

Investor Relations

Michael Rednor

561-365-2020

[email protected]

SOURCE Carrier Global Corporation

Data center orders up over 500%; backlog fully covers expected 2026 data center sales Total company orders1 up 11%; Commercial HVAC1 up 35% Net sales up 2%; organic sales down 1% GAAP EPS of $0.28 and adjusted EPS of $0.57 Net cash flows from operating activities of $79 million and free cash flow of ($15) million Returned ~$500 million to shareholders through dividends and repurchases Reaffirms full year outlook , /PRNewswire/ -- Carrier Global Corporation (NYSE: CARR), global leader in intelligent climate and energy solutions, today reported financial results for the first quarter of 2026.

"We started the year with better-than-expected sales performance across the portfolio," said Carrier Chairman & CEO David Gitlin. "Orders in our global Commercial HVAC1 business increased 35%, helped by data centers which were up over 500% in the quarter. The strong double-digit sequential increase in Commercial HVAC backlog gives us the confidence to drive our sixth consecutive year of double-digit growth in this business. CSA Light Commercial and CSE Residential both delivered growth, while CSA Residential came in better than expected. I am pleased with the team's performance in the first quarter, and we are reaffirming our full-year outlook."

1 Excludes NORESCO

First Quarter 2026 Results

Total Company

(Unaudited)

Three Months Ended

March 31,

(In millions)

2026

2025

Change

Net sales

$    5,341

$    5,218

2 %

Organic sales

(1) %

Operating profit

$      259

$      629

(59) %

Operating margin

4.8 %

12.1 %

(730) bps

Adjusted operating profit

$      594

$      848

(30) %

Adjusted operating margin

11.1 %

16.3 %

(520) bps

Diluted earnings per share:

Continuing operations

$     0.28

$     0.47

(40) %

Continuing operations - Adjusted

$     0.57

$     0.65

(12) %

Carrier's first-quarter sales of $5.3 billion increased 2% compared to the prior year. Organic sales declined 1%, more than offset by a 3% tailwind from foreign currency translation.

GAAP operating profit of $259 million in the quarter declined 59% from last year, driven by the CSA, CSE and CSAME segments. 

Adjusted operating profit of $594 million was down 30% from last year, predominantly due to lower sales in our CSA Residential business and continued headwinds in China Residential and Light Commercial (RLC).

Net earnings from continuing operations were $239 million and adjusted net earnings from continuing operations were $482 million. GAAP EPS from continuing operations was $0.28 and adjusted EPS was $0.57, down 40% and 12% year-over-year, respectively. The declines were primarily driven by lower operating profit, partially offset by a lower tax rate and benefits of a lower share count.

Climate Solutions Americas (CSA)

(Unaudited)

Three Months Ended

March 31,

(In millions)

2026

2025

Change

Net sales

$    2,501

$    2,572

(3) %

Organic sales

(3) %

Segment operating profit

$      373

$      570

(35) %

Segment operating margin

14.9 %

22.2 %

(730) bps

CSA segment sales declined 3%. Organic sales were down 3% driven by Residential, down about 12%, partially offset by strength in Light Commercial and Commercial1, up 9% and 1% respectively.

Segment operating margin decreased 730 basis points largely reflecting lower Residential sales and associated factory under-absorption.

1 Excludes NORESCO

Climate Solutions Europe (CSE)

(Unaudited)

Three Months Ended

March 31,

(In millions)

2026

2025

Change

Net sales

$    1,293

$    1,169

11 %

Organic sales

— %

Segment operating profit

$         89

$       105

(15) %

Segment operating margin

6.9 %

9.0 %

(210) bps

CSE segment sales increased 11%. Organic sales were flat with RLC up low-single digits and Commercial down mid-single digits.

Segment operating margin decreased 210 basis points driven by lower Commercial volume and higher promotions partially offset by RLC volume growth and strong productivity.

Climate Solutions Asia Pacific, Middle East & Africa (CSAME)

(Unaudited)

Three Months Ended

March 31,

(In millions)

2026

2025

Change

Net sales

$      834

$      826

1 %

Organic sales

(1) %

Segment operating profit

$        81

$      121

(33) %

Segment operating margin

9.7 %

14.6 %

(490) bps

CSAME segment sales increased 1%. Organic sales were down 1% mainly driven by RLC in China, partially offset by strong Commercial growth outside of China, particularly in India and Australia.

Segment operating margin decreased 490 basis points as expected, driven mainly by China RLC.

Climate Solutions Transportation (CST)

(Unaudited)

Three Months Ended

March 31,

(In millions)

2026

2025

Change

Net sales

$      713

$      651

10 %

Organic sales

5 %

Segment operating profit

$      101

$        97

4 %

Segment operating margin

14.2 %

14.9 %

(70) bps

CST sales increased 10% driven by strong growth in Container. Organic sales increased 5% with 38% growth in Container, partially offset by a decline in Global Truck and Trailer, down high-single digits.

Segment operating margin declined 70 basis points, due to unfavorable mix. 

Cash Flow

(Unaudited)

Three Months Ended

 March 31,

(In millions)

2026

2025

Net cash flows provided by operating activities

$         79

$       483

Less: Capital expenditures

(94)

(63)

Free cash flow

$        (15)

$       420

Net cash flows generated from operating activities were $79 million and capital expenditures were $94 million, resulting in free cash flow of ($15) million.

Full-Year 2026 Guidance**

Current Guidance**

Prior Guidance

Sales

~$22 billion

~$250 million revenue headwind from Riello exit

Organic* flat to up LSD

FX 1%

Net, Acquisitions / Divestitures (1%)

~$22 billion

~$350 million revenue headwind from Riello exit

Organic* flat to up LSD

FX 1%

Net, Acquisitions / Divestitures (1%)

Adjusted Operating Profit*

~$3.4 billion

~$3.4 billion

Adjusted EPS*

~$2.80

~$2.80

Free Cash Flow*

~$2 billion

~$2 billion

Riello divestiture expected to close by the end of Q2 2026; prior guidance assumed the divestiture closed by the end of Q1 2026.

*Note: When the company provides expectations for organic sales, adjusted operating profit, adjusted EPS and free cash flow on a forward-looking basis, a reconciliation of the differences between the non-GAAP expectations and the corresponding GAAP measures generally is not available without unreasonable effort. See "Use and Definitions of Non-GAAP Financial Measures" below for additional information.

**As of April 30, 2026

Conference Call

Carrier will host a webcast of its earnings conference call today, Thursday, April 30, 2026, at 7:30 a.m. ET. To access the webcast, visit the Events & Presentations section of the Carrier Investor Relations site at ir.carrier.com/news-and-events/events-and-presentations. For alternative dial-in information, please contact Carrier Investor Relations at [email protected].

Cautionary Statement

This communication contains statements which, to the extent they are not statements of historical or present fact, constitute "forward-looking statements" under the securities laws. From time to time, oral or written forward-looking statements may also be included in other information released to the public. These forward-looking statements are intended to provide management's current expectations or plans for our future operating and financial performance, based on assumptions currently believed to be valid. Forward-looking statements can be identified by the use of words such as "believe," "expect," "expectations," "plans," "strategy," "prospects," "estimate," "project," "target," "anticipate," "will," "should," "see," "guidance," "outlook," "confident," "scenario" and other words of similar meaning in connection with a discussion of future operating or financial performance. Forward-looking statements may include, among other things, statements relating to future sales, earnings, cash flow, results of operations, uses of cash, expectations relating to our sales backlog, share repurchases, tax rates and other measures of financial performance or potential future plans, strategies or transactions of Carrier, market conditions including with respect to residential end-markets, data center and otherwise, growth prospects for 2026 and beyond, expectations concerning the mitigation and net impact of tariffs during 2026, Carrier's guidance for full-year 2026, Carrier's plans with respect to our indebtedness and other statements that are not historical facts. All forward-looking statements involve risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements. For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the U.S. Private Securities Litigation Reform Act of 1995. Such risks, uncertainties and other factors include, without limitation, those described below and under the section titled "Risk Factors" in our most recent Annual Report on Form 10-K and in subsequent reports that we file with the SEC: the effect of economic conditions in the industries and markets in which Carrier and our businesses operate in the U.S. and globally and any changes therein, including financial market conditions, inflationary cost pressures, fluctuations in commodity prices, interest rates and foreign currency exchange rates, levels of end market demand in construction, the impact of weather conditions, pandemic health issues, natural disasters and the financial condition of our customers and suppliers; challenges in the development, production, delivery, support, performance and realization of the anticipated benefits of advanced technologies and new products and services; future levels of capital spending and research and development spending; future availability of credit and factors that may affect such availability, including credit market conditions and Carrier's capital structure and credit ratings; the timing and scope of future repurchases of Carrier's common stock, including market conditions and the level of other investing activities and uses of cash; delays and disruption in the delivery of materials and services from suppliers; cost reduction efforts and restructuring costs and savings and other consequences thereof; new business and investment opportunities; the outcome of legal proceedings, investigations and other contingencies; the impact of pension plan assumptions on future cash contributions and earnings; the impact of the negotiation of collective bargaining agreements and labor disputes; the effect of changes in political conditions in the U.S. and other countries in which Carrier and our businesses operate, including the effect of ongoing uncertainty and/or changes in U.S. trade policies, on general market conditions, global trade policies, the imposition of tariffs, and currency exchange rates in the near term and beyond; the effect of changes in tax, environmental, regulatory (including among other things import/export) and other laws and regulations in the U.S. and other countries in which we and our businesses operate; the ability of Carrier to retain and hire key personnel; the scope, nature, impact or timing of acquisition and divestiture activity, such as our portfolio transformation transactions, including among other things integration of acquired businesses into existing businesses and realization of synergies and opportunities for growth and innovation and incurrence of related costs; a determination by the IRS and other tax authorities that the distribution of Carrier from RTX Corporation (f/k/a United Technologies Corporation) or certain related transactions should be treated as taxable transactions; and risks associated with current and future indebtedness, as well as our ability to reduce indebtedness and the timing thereof. The forward-looking statements speak only as of the date of this communication. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Additional information as to factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements is disclosed from time to time in our other filings with the SEC.

About Carrier
Carrier Global Corporation, global leader in intelligent climate and energy solutions, is committed to creating innovations that bring comfort, safety and sustainability to life. Through cutting-edge advancements in climate solutions such as temperature control, air quality and transportation, we improve lives, empower critical industries and ensure the safe transport of food, life-saving medicines and more. Since inventing modern air conditioning in 1902, we lead with purpose: enhancing the lives we live and the world we share. We continue to lead because of our world-class, inclusive workforce that puts the customer at the center of everything we do. For more information, visit www.carrier.com or follow Carrier on social media at @Carrier.

Carrier. For the World We Share

CARR-IR

Contact:

Investor Relations

Michael Rednor

561-365-2020

[email protected]

Media Inquiries

Rob Six

561-281-2362

[email protected]

SELECTED FINANCIAL DATA, NON-GAAP MEASURES AND DEFINITIONS

Following are tables that present selected financial data of Carrier Global Corporation ("Carrier"). Also included are reconciliations of non-GAAP measures to their most comparable GAAP measures.

Use and Definitions of Non-GAAP Financial Measures

Carrier reports its financial results in accordance with accounting principles generally accepted in the United States ("GAAP"). We supplement the reporting of our financial information determined under GAAP with certain non-GAAP financial information. The non-GAAP information presented provides investors with additional useful information, but should not be considered in isolation or as substitutes for the related GAAP measures. Moreover, other companies may define non-GAAP measures differently, which limits the usefulness of these measures for comparisons with such other companies. We encourage investors to review our financial statements and publicly filed reports in their entirety and not to rely on any single financial measure. A reconciliation of the non-GAAP measures to the corresponding amounts prepared in accordance with GAAP appears in the tables in this Appendix. The tables provide additional information as to the items and amounts that have been excluded from the adjusted measures.

Organic sales, adjusted operating profit, adjusted operating margin, adjusted earnings per share ("EPS"), adjusted effective tax rate and net debt are non-GAAP financial measures and are associated with Carrier's continuing operations unless specifically noted.

Organic sales represents consolidated net sales (a GAAP measure), excluding the impact of foreign currency translation, acquisitions and divestitures completed in the preceding twelve months and other significant items of a nonoperational nature (hereinafter referred to as "other significant items"). Adjusted operating profit represents consolidated operating profit (a GAAP measure), excluding restructuring costs, amortization of acquired intangible assets and other significant items. Adjusted operating margin represents adjusted operating profit as a percentage of consolidated net sales (a GAAP measure). Adjusted EPS represents diluted earnings per share (a GAAP measure), excluding restructuring costs, amortization of acquired intangible assets and other significant items. The adjusted effective tax rate represents the effective tax rate (a GAAP measure), excluding restructuring costs, amortization of acquired intangible assets and other significant items. Net debt represents long-term debt (a GAAP measure) less cash and cash equivalents (a GAAP measure).

Segment operating profit is the measure of profit and loss that the Chief Operating Decision Maker uses to evaluate segment profitability. Segment operating profit represents operating profit (a GAAP measure) adjusted to exclude restructuring costs, amortization of acquired intangible assets and other significant items of a nonoperational nature.

Free cash flow is a non-GAAP financial measure that represents net cash flows provided by continuing operating activities (a GAAP measure) less capital expenditures. Management believes free cash flow is a useful measure of liquidity and an additional basis for assessing Carrier's ability to fund its activities, including the financing of acquisitions, debt service, repurchases of Carrier's common stock and distribution of earnings to shareowners. Orders are contractual commitments with customers to provide specified goods or services for an agreed upon price and may not be subject to penalty if cancelled.

When Carrier provides our expectations for organic sales, adjusted operating profit (including on a segment basis), adjusted operating margin (including on a segment basis), adjusted effective tax rate, adjusted EPS, free cash flow, and interest expense, net on a forward-looking basis, a reconciliation of the differences between the non-GAAP expectations and the corresponding GAAP measures generally is not available without unreasonable effort due to potentially high variability, complexity and low visibility as to the items that would be excluded from the GAAP measure in the relevant future period, such as unusual gains and losses, the ultimate outcome of pending litigation, fluctuations in foreign currency exchange rates, the impact and timing of potential acquisitions and divestitures, future restructuring costs, and other structural changes or their probable significance. The variability of the excluded items may have a significant, and potentially unpredictable, impact on our future GAAP results.

Carrier Global Corporation

Condensed Consolidated Statement of Operations

(Unaudited)

Three Months Ended

 March 31,

(In millions, except per share amounts)

2026

2025

Net sales

Product sales

$     4,667

$     4,652

Service sales

674

566

Total Net sales

5,341

5,218

Costs and expenses

Cost of products sold

(3,591)

(3,358)

Cost of services sold

(506)

(415)

Research and development

(143)

(153)

Selling, general and administrative

(861)

(729)

Total Costs and expenses

(5,101)

(4,655)

Equity method investment net earnings

31

44

Other income (expense), net

(12)

22

Operating profit

259

629

Non-service pension benefit (expense)

1

1

Interest (expense) income, net

(90)

(82)

Earnings before income taxes

170

548

Income tax (expense) benefit

96

(111)

Earnings from continuing operations

266

437

Discontinued operations, net of tax

(1)

—

Net earnings (loss)

265

437

Less: Non-controlling interest in subsidiaries'

27

25

Net earnings (loss) attributable to common shareowners

$       238

$       412

Amounts attributable to common shareowners:

Continuing operations

$       239

$       412

Discontinued operations

(1)

—

Net earnings (loss) attributable to common shareowners

$       238

$       412

Earnings per share

Basic:

Continuing operations

$       0.29

$       0.47

Discontinued operations

—

—

Net earnings (loss)

$       0.29

$       0.47

Diluted:

Continuing operations

$       0.28

$       0.47

Discontinued operations

—

—

Net earnings (loss)

$       0.28

$       0.47

Weighted-average number of shares outstanding

Basic

835.0

866.9

Diluted

842.8

878.3

Carrier Global Corporation

Condensed Consolidated Balance Sheet

(Unaudited)

(In millions)

March 31, 2026

December 31, 2025

Assets

Cash and cash equivalents

$            1,371

$              1,555

Accounts receivable, net

3,130

2,639

Inventories, net

2,581

2,483

Assets held for sale

621

592

Other current assets

1,315

1,264

Total current assets

9,018

8,533

Future income tax benefits

1,137

1,074

Fixed assets, net

3,122

3,165

Operating lease right-of-use assets

551

546

Intangible assets, net

5,987

6,326

Goodwill

15,313

15,501

Pension and post-retirement assets

58

56

Equity method investments

1,331

1,321

Other assets

669

668

Total Assets

$           37,186

$             37,190

Liabilities and Equity

Accounts payable

$            2,979

$              2,702

Accrued liabilities

3,700

3,774

Liabilities held for sale

170

170

Short-term borrowings and current portion of long-term debt

1,736

468

Total current liabilities

8,585

7,114

Long-term debt

10,422

11,365

Future pension and post-retirement obligations

188

192

Future income tax obligations

1,688

1,833

Operating lease liabilities

415

418

Other long-term liabilities

2,087

2,140

Total Liabilities

23,385

23,062

Equity

Common stock

10

10

Treasury stock

(7,104)

(6,795)

Additional paid-in capital

8,675

8,665

Retained earnings

12,431

12,193

Accumulated other comprehensive income (loss)

(560)

(269)

Non-controlling interest

349

324

Total Equity

13,801

14,128

Total Liabilities and Equity

$           37,186

$             37,190

Carrier Global Corporation

Condensed Consolidated Statement of Cash Flows

(Unaudited)

Three Months Ended

March 31,

(In millions)

2026

2025

Operating Activities

Net earnings (loss)

$       265

$       437

Discontinued operations, net of tax

1

—

Adjustments for non-cash items, net:

Depreciation and amortization

315

303

Deferred income tax provision

(179)

(69)

Stock-based compensation costs

21

23

Equity method investment net earnings

(31)

(44)

(Gain) loss on sale of investments

(3)

(5)

Changes in operating assets and liabilities

Accounts receivable, net

(509)

(362)

Inventories, net

(138)

(301)

Accounts payable and accrued liabilities

351

481

Distributions from equity method investments

12

77

Other operating activities, net

(39)

(52)

Net cash flows provided by (used in) continuing operating activities

66

488

Net cash flows provided by (used in) discontinued operating activities

13

(5)

Net cash flows provided by (used in) operating activities

79

483

Investing Activities

Capital expenditures

(94)

(63)

Investment in businesses, net of cash acquired

(23)

(12)

Dispositions of businesses

8

8

Settlement of derivative contracts, net

35

36

Other investing activities, net

9

1

Net cash flows provided by (used in) continuing investing activities

(65)

(30)

Net cash flows provided by (used in) discontinued investing activities

—

7

Net cash flows provided by (used in) investing activities

(65)

(23)

Financing Activities

Increase (decrease) in short-term borrowings, net

371

(49)

Issuance of long-term debt

22

9

Repayment of long-term debt

(16)

(1,205)

Repurchases of common stock

(306)

(1,288)

Dividends paid on common stock

(201)

(198)

Dividends paid to non-controlling interest

(1)

—

Other financing activities, net

(10)

(16)

Net cash flows provided by (used in) continuing financing activities

(141)

(2,747)

Net cash flows provided by (used in) discontinued financing activities

—

—

Net cash flows provided by (used in) financing activities

(141)

(2,747)

Effect of foreign exchange rate changes on cash and cash equivalents

(13)

17

Net increase (decrease) in cash and cash equivalents and restricted cash, including cash classified in
current assets held for sale

(140)

(2,270)

Less: Change in cash balances classified as assets held for sale

43

—

Net increase (decrease) in cash and cash equivalents and restricted cash

(183)

(2,270)

Cash, cash equivalents and restricted cash, beginning of period

1,557

3,972

Cash, cash equivalents and restricted cash, end of period

1,374

1,702

Less: restricted cash

3

4

Cash and cash equivalents, end of period

$     1,371

$     1,698

Carrier Global Corporation

Segment Summary

(Unaudited)

Three Months Ended

 March 31,

(In millions)

2026

2025

Segment net sales

Climate Solutions Americas

$   2,501

$   2,572

Climate Solutions Europe

1,293

1,169

Climate Solutions Asia Pacific, Middle East & Africa

834

826

Climate Solutions Transportation

713

651

Segment net sales

$   5,341

$   5,218

Segment operating profit

Climate Solutions Americas

$     373

$     570

Climate Solutions Europe

89

105

Climate Solutions Asia Pacific, Middle East & Africa

81

121

Climate Solutions Transportation

101

97

Segment operating profit

$     644

$     893

Segment operating margin

Climate Solutions Americas

14.9 %

22.2 %

Climate Solutions Europe

6.9 %

9.0 %

Climate Solutions Asia Pacific, Middle East & Africa

9.7 %

14.6 %

Climate Solutions Transportation

14.2 %

14.9 %

Components of Changes in Net Sales

Three Months Ended March 31, 2026, Compared withThree Months Ended March 31, 2025

(Unaudited)

Factors Contributing to Total % change in Net Sales

Organic

FX
Translation

Acquisitions /
Divestitures, net

Other

Total

Climate Solutions Americas

(3) %

— %

— %

— %

(3) %

Climate Solutions Europe

— %

11 %

— %

— %

11 %

Climate Solutions Asia Pacific, Middle East & Africa

(1) %

2 %

— %

— %

1 %

Climate Solutions Transportation

5 %

5 %

— %

— %

10 %

Consolidated

(1) %

3 %

— %

— %

2 %

Carrier Global Corporation

Reconciliations

(Unaudited)

Three Months Ended

 March 31,

(In millions)

2026

2025

Reconciliation to Earnings before income taxes

Segment operating profit

$       644

$       893

Corporate and other

(50)

(45)

Restructuring costs

(108)

(8)

Amortization of acquired intangible assets

(213)

(201)

Acquisition/divestiture-related costs

(14)

(10)

Non-service pension (expense) benefit

1

1

Interest (expense) income, net

(90)

(82)

Earnings before income taxes

$       170

$       548

(Unaudited)

Three Months Ended

 March 31,

(In millions)

2026

2025

Reconciliation of Segment operating profit to Adjusted operating profit

Climate Solutions Americas

$       373

$       570

Climate Solutions Europe

89

105

Climate Solutions Asia Pacific, Middle East & Africa

81

121

Climate Solutions Transportation

101

97

Segment operating profit

$       644

$       893

Corporate and other

(50)

(45)

Adjusted operating profit

$       594

$       848

Carrier Global Corporation 

Reconciliation of Reported (GAAP) to Adjusted (Non-GAAP) Results

Net Income, Earnings Per Share and Effective Tax Rate

(Unaudited)

Three Months Ended March 31, 2026

(In millions, except per share amounts)

Reported

Adjustments

Adjusted

Net sales

$   5,341

$          —

$   5,341

Operating profit

$      259

335

a

$      594

Operating margin

4.8 %

11.1 %

Earnings before income taxes

$      170

335

a

$      505

Income tax (expense) benefit

$        96

(92)

b

$          4

Effective tax rate

(56.5) %

(0.8) %

Earnings from continuing operations attributable to common shareowners

$      239

$         243

$      482

Summary of Adjustments:

Restructuring costs

$         108

a

Amortization of acquired intangible assets

213

a

Acquisition/divestiture-related costs

14

a

Total adjustments

$         335

Tax effect on adjustments above

$          (92)

Total tax adjustments

$          (92)

b

Diluted shares outstanding

842.8

842.8

Diluted earnings per share:

Continuing operations

$    0.28

$    0.57

Carrier Global Corporation

Reconciliation of Reported (GAAP) to Adjusted (Non-GAAP) Results

Net Income, Earnings Per Share and Effective Tax Rate

(Unaudited)

Three Months Ended March 31, 2025

(In millions, except per share amounts)

Reported

Adjustments

Adjusted

Net sales

$   5,218

$          —

$   5,218

Operating profit

$      629

219

a

$      848

Operating margin

12.1 %

16.3 %

Earnings before income taxes

$      548

219

a

$      767

Income tax (expense) benefit

$      (111)

(58)

b

$     (169)

Effective tax rate

20.3 %

22.0 %

Earnings from continuing operations attributable to common shareowners

$      412

$         161

$      573

Summary of Adjustments:

Restructuring costs

$            8

a

Amortization of acquired intangible assets

201

a

Acquisition/divestiture-related costs

10

a

Total adjustments

$        219

Tax effect on adjustments above

$         (58)

Total tax adjustments

$         (58)

b

Diluted shares outstanding

878.3

878.3

Diluted earnings per share:

Continuing operations

$    0.47

$    0.65

Free Cash Flow Reconciliation

(Unaudited)

Three Months Ended

 March 31,

(In millions)

2026

2025

Net cash flows provided by operating activities

$         79

$       483

Less: Capital expenditures

(94)

(63)

Free cash flow

$        (15)

$       420

Net Debt Reconciliation

(Unaudited)

(In millions)

March 31, 2026

December 31, 2025

Long-term debt

$             10,422

$             11,365

Short-term borrowings and current portion of long-term debt

1,736

468

Less: Cash and cash equivalents

1,371

1,555

Net debt

$             10,787

$             10,278

SOURCE Carrier Global Corporation

Carrier Global (CARR - Free Report) came out with quarterly earnings of $0.57 per share, beating the Zacks Consensus Estimate of $0.51 per share. This compares to earnings of $0.65 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +12.94%. A quarter ago, it was expected that this company would post earnings of $0.36 per share when it actually produced earnings of $0.34, delivering a surprise of -5.56%.

Over the last four quarters, the company has surpassed consensus EPS estimates three times.

Carrier Global, which belongs to the Zacks Building Products - Air Conditioner and Heating industry, posted revenues of $5.34 billion for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 6.07%. This compares to year-ago revenues of $5.22 billion. The company has topped consensus revenue estimates three times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Carrier Global shares have added about 16.8% since the beginning of the year versus the S&P 500's gain of 4.2%.

What's Next for Carrier Global?While Carrier Global has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Carrier Global was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.82 on $5.75 billion in revenues for the coming quarter and $2.74 on $21.83 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Building Products - Air Conditioner and Heating is currently in the top 39% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

One other stock from the same industry, Aaon (AAON - Free Report) , is yet to report results for the quarter ended March 2026. The results are expected to be released on May 7.

This maker of air conditioning and heating equipment is expected to post quarterly earnings of $0.31 per share in its upcoming report, which represents a year-over-year change of -16.2%. The consensus EPS estimate for the quarter has been revised 2.7% lower over the last 30 days to the current level.

Aaon's revenues are expected to be $386.4 million, up 20% from the year-ago quarter.

Carrier Global reported quarterly earnings of 57 cents per share which beat the analyst consensus estimate of 51 cents per share. The company reported quarterly sales of $5.341 billion which beat the analyst consensus estimate of $5.008 billion.

Carrier shares rose 1.1% to trade at $67.87 on Friday.

These analysts made changes to their price targets on Carrier following earnings announcement.

Considering buying CARR stock? Here’s what analysts think:

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Resources Investor Relations Journalists Agencies Client Login Send a Release News Products Contact , /PRNewswire/ -- Carrier Global Corporation (NYSE: CARR) Chairman & CEO David Gitlin will speak at the Wolfe Research 19th Annual Global Transportation & Industrials Conference on Tuesday, May 19, 2026, at 12:50 p.m. ET.

The event will be broadcast live at ir.carrier.com. A webcast replay will be available on the website following the event.

About Carrier
Carrier Global Corporation, global leader in intelligent climate and energy solutions, is committed to creating innovations that bring comfort, safety and sustainability to life. Through cutting-edge advancements in climate solutions such as temperature control, air quality and transportation, we improve lives, empower critical industries and ensure the safe transport of food, life-saving medicines and more. Since inventing modern air conditioning in 1902, we lead with purpose: enhancing the lives we live and the world we share. We continue to lead because of our world-class, inclusive workforce that puts the customer at the center of everything we do. For more information, visit carrier.com or follow Carrier on social media at @Carrier.

Carrier. For the World We Share.

CARR-IR

Contact:

Media Inquiries

Rob Six

561-281-2362

[email protected]

Investor Relations

Michael Rednor

561-365-2020

[email protected]

SOURCE Carrier Global Corporation

Also from this source

PALM BEACH GARDENS, Fla., May 11, 2026 /PRNewswire/ -- Carrier Global Corporation (NYSE: CARR) Chairman & CEO David Gitlin will speak at the Wolfe Research 19th Annual Global Transportation & Industrials Conference on Tuesday, May 19, 2026, at 9:10 a.m.

Carrier Global Corporation (CARR) Presents at Wolfe Research 19th Annual Global Transportation & Industrials Conference Transcript

, /PRNewswire/ -- Carrier Global Corporation (NYSE: CARR), global leader in intelligent climate and energy solutions, announced today that its Board of Directors declared a quarterly dividend of $0.24 per outstanding share of Carrier common stock. The dividend will be payable on August 10, 2026 to shareowners of record at the close of business on July 21, 2026.

About Carrier

Carrier Global Corporation, global leader in intelligent climate and energy solutions, is committed to creating innovations that bring comfort, safety and sustainability to life. Through cutting-edge advancements in climate solutions such as temperature control, air quality and transportation, we improve lives, empower critical industries and ensure the safe transport of food, life-saving medicines and more. Since inventing modern air conditioning in 1902, we lead with purpose: enhancing the lives we live and the world we share. We continue to lead because of our world-class, inclusive workforce that puts the customer at the center of everything we do. For more information, visit carrier.com or follow Carrier on social media at @Carrier.

Carrier. For the World We Share.

Cautionary Statement

This communication contains statements which, to the extent they are not statements of historical or present fact, constitute "forward-looking statements" under the securities laws. These forward-looking statements are intended to provide management's current expectations or plans for Carrier's future payment of a dividend, based on assumptions currently believed to be valid. Forward-looking statements can be identified by the use of words such as "believe," "expect," "expectations," "plans," "strategy," "prospects," "estimate," "project," "target," "anticipate," "will," "should," "see," "guidance," "outlook," "confident," "scenario" and other words of similar meaning in connection with a discussion of future operating or financial performance. Forward-looking statements may include, among other things, statements relating to future sales, earnings, cash flow, results of operations, uses of cash, share repurchases, tax rates and other measures of financial performance or potential future plans, strategies or transactions of Carrier, Carrier's plans with respect to its indebtedness and other statements that are not historical facts. All forward-looking statements involve risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements. For additional information on identifying factors that may cause actual results to vary materially from those stated in forward-looking statements, see Carrier's reports on Forms 10-K, 10-Q and 8-K filed with or furnished to the U.S. Securities and Exchange Commission from time to time. Any forward-looking statement speaks only as of the date on which it is made, and Carrier assumes no obligation to update or revise such statement, whether as a result of new information, future events or otherwise, except as required by applicable law.

CARR-IR

Contact:   

Media Inquiries
Rob Six
561-281-2362  
[email protected]

Investor Relations 
Michael Rednor
561-365-2020
[email protected]

SOURCE Carrier Global Corporation