Cencora (COR) AI Stock Analysis

• Market Cap: $70.19B
• Dividend Yield: 0.66%
• Average Volume (3M): 1.29M
• Price to Earnings (P/E): 43.4
• Beta (1Y): 0.04
• Revenue Growth: 9.31%
• EPS Growth: 5.92%
• Country: US
• Employees: 47,000
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Distribution
• EPS (TTM): 4.08
• Shares Outstanding: 194,530,690
• 10 Day Avg. Volume: 1,670,481
• 30 Day Avg. Volume: 1,293,425
• PEG Ratio: 7.05
• Price to Book (P/B): 40.17
• Price to Sales (P/S): 0.19
• P/FCF Ratio: 18.89
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 0.23
• Enterprise Value/Gross Profit: 7.12
• Enterprise Value/Ebitda: 19.95
• 1Y Price Target: $418.50
• Price Target Upside: 15.98% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): 17.62
• Revenue Forecast (FY): $345.69B

• Rating: 68 Neutral
• Price Target: $399.00 ▲(10.58% Upside)

COR scores positively on momentum and an upgraded FY2026 outlook, supported by strong cash generation. The overall score is held back by elevated leverage and thin margins, and a demanding valuation (high P/E with a modest dividend yield) that leaves less room for execution missteps.

Positive Factors

Large, diversified revenue base

Cencora's massive, diversified revenue base across distribution, clinical trials and patient services provides durable scale and reduces single-customer concentration. Sustained top-line growth increases bargaining power with manufacturers and supports long-term service penetration and operating leverage across segments.

Strong operating cash flow and free cash flow

Consistent, improving operating cash flow and robust FCF coverage of net income underpin financial flexibility. Reliable cash generation supports reinvestment, debt paydown or strategic M&A over time, giving management durable capacity to fund growth initiatives and stabilize the balance sheet.

Strategic specialty/MSO expansion (OneOncology)

Acquiring majority of OneOncology accelerates Cencora's move into higher‑value specialty/MSO services and oncology care coordination. This expands cross‑sell opportunities, increases higher-margin service exposure and supports the company's restructuring into specialized segments that can sustainably improve earnings mix over the medium term.

Negative Factors

Elevated leverage and thin equity base

High leverage and a thin equity base materially increase financial risk and reduce resilience to shocks. Debt-funded growth constrains optionality for future M&A or capital returns, raises refinancing vulnerability, and amplifies the impact of rising rates on interest burden and net income over the coming months.

Structurally thin margins

Cencora's distribution-heavy model delivers very low gross and net margins, limiting incremental profitability from revenue growth. Thin margins mean smaller buffers against cost inflation or pricing pressure and constrain free cash flow per revenue dollar, making long-term earnings sensitive to modest operational headwinds.

Rising interest and acquisition-related expenses

Acquisition-driven spending and higher interest guidance increase ongoing cash outlays and narrow operating leverage. The combination pressures near-term cash coverage, prompted a pause on buybacks, and creates a multi-quarter drag on EPS and free cash flow until synergies and deleveraging materialize.

Cencora Business Overview & Revenue Model

Company Description

Cencora, Inc. sources and distributes pharmaceutical products in the United States and internationally. The company's U.S. Healthcare Solutions segment distributes generic and injectable pharmaceuticals, over-the-counter healthcare products, home healthcare supplies and equipment, and related services to acute care hospitals and health systems, independent and chain retail pharmacies, mail order pharmacies, medical clinics, long-term care and alternate site pharmacies, and other customers; distributes plasma and other blood products, vaccines, and other specialty pharmaceutical products; provides pharmacy management, staffing, and other consulting services; supply management software to retail and institutional healthcare providers; packaging solutions to institutional and retail healthcare providers; clinical trial support, product post-approval, and commercialization support services; data analytics, outcomes research, and other services for biotechnology and pharmaceutical manufacturers; pharmaceuticals, vaccines, parasiticides, diagnostics, micro feed ingredients, and other products to the companion animal and production animal markets; sales force services to manufacturers; and offers other services to physicians who specialize in various disease states, such as oncology, as well as to other healthcare providers, including hospitals and dialysis clinics. Its International Healthcare Solutions segment provides international pharmaceutical wholesale and related service, and global commercialization services; distributes pharmaceuticals, other healthcare products, and related services to pharmacies, doctors, health centers, and hospitals; and offers specialty transportation and logistics services for the biopharmaceutical industry. The company was formerly known as AmerisourceBergen Corporation and changed its name to Cencora, Inc. in August 2023. Cencora, Inc. was founded in 1871 and is headquartered in Conshohocken, Pennsylvania.

How the Company Makes Money

Cencora generates revenue through multiple streams, primarily by charging fees for its logistics and distribution services, which include warehousing, transportation, and inventory management of pharmaceuticals. The company also earns revenue from its clinical trial management services, where it partners with biopharmaceutical companies to facilitate the testing and approval of new drugs. Additionally, Cencora offers patient support services that help patients access medications, which further contributes to its revenue. Strategic partnerships with major pharmaceutical companies enhance its market reach and stability, providing a steady flow of contracts and projects that bolster earnings.

Cencora Financial Statement Overview

Summary

Strong scale and steady revenue growth with solid and improving operating/free cash flow, but profitability is structurally thin (low gross and net margins) and the balance sheet is the main weakness with elevated leverage and a thin equity base, increasing financial risk.

Income Statement

Results show a large, steadily growing revenue base, with revenue rising from ~$214B (2021) to $321B (2025 annual) and $326B in TTM (Trailing-Twelve-Months). Profitability is stable but structurally thin for a distributor: gross margin is ~3.2%–3.4% and net margin is ~0.5%–0.7%, with a modest decline versus earlier years. Net income is relatively stable ($1.55B in 2025 annual; $1.63B TTM), but the combination of very low margins and some recent compression limits the score despite consistent top-line expansion.

Balance Sheet

Leverage is the key weakness. Total debt is ~$7.9B in TTM (Trailing-Twelve-Months), while equity remains low (~$1.9B TTM), keeping debt-to-equity elevated (3.8x TTM; 5.1x in 2025 annual) and historically very high in prior years due to a thin equity base (including negative equity in 2022). Asset scale is sizable (~$78B TTM), but the balance sheet carries higher financial risk than peers with stronger capitalization, making it less resilient if operating conditions tighten.

Cash Flow

Cash generation is a relative strength. Operating cash flow is solid and improving ($4.29B TTM vs. $3.88B in 2025 annual), and free cash flow is strong at $3.61B TTM with double-digit growth in the latest period. Free cash flow consistently covers a large portion of net income (~0.82–0.88 across periods; 0.84 TTM), supporting reinvestment and balance-sheet flexibility. The main watch item is that cash flow remains small relative to the company’s very large revenue base, consistent with the low-margin model.

Breakdown	TTM	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Sep 2021
Income Statement
Total Revenue	325.78B	321.33B	293.96B	262.17B	238.59B	213.99B
Gross Profit	10.69B	10.14B	8.70B	7.76B	7.60B	6.27B
EBITDA	3.82B	3.74B	3.36B	3.41B	3.11B	2.91B
Net Income	1.63B	1.55B	1.51B	1.75B	1.70B	1.54B
Balance Sheet
Total Assets	78.36B	76.59B	67.10B	62.56B	56.56B	57.34B
Cash, Cash Equivalents and Short-Term Investments	1.81B	4.39B	3.23B	2.69B	3.53B	2.55B
Total Debt	7.92B	10.75B	6.65B	6.82B	7.59B	8.75B
Total Liabilities	76.27B	74.84B	66.31B	61.89B	56.49B	56.75B
Stockholders Equity	1.91B	1.51B	645.94M	522.00M	-211.56M	223.35M
Cash Flow
Free Cash Flow	3.61B	3.21B	3.00B	3.45B	2.21B	2.23B
Operating Cash Flow	4.29B	3.88B	3.48B	3.91B	2.70B	2.67B
Investing Cash Flow	-4.93B	-4.98B	-618.10M	-2.60B	-368.44M	-6.14B
Financing Cash Flow	-916.83M	2.25B	-2.33B	-2.22B	-1.75B	1.95B

Cencora Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 360.83
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For COR, the sentiment is Positive. The current price of 360.83 is above the 20-day moving average (MA) of 354.64, above the 50-day MA of 346.43, and above the 200-day MA of 315.87, indicating a bullish trend. The MACD of 3.21 indicates Negative momentum. The RSI at 54.54 is Neutral, neither overbought nor oversold. The STOCH value of 70.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for COR.

Cencora Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MCK	74 Outperform	$114.50B	26.89	―	0.37%	17.23%	66.17%
CAH	73 Outperform	$51.96B	31.77	―	0.98%	4.37%	28.48%
HSIC	73 Outperform	$9.20B	24.70	11.39%	―	3.51%	29.65%
COR	68 Neutral	$70.19B	43.40	152.25%	0.66%	9.31%	5.92%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Cencora Corporate Events

Cencora Prices $3 Billion Senior Notes Offering

On February 13, 2026, Cencora closed a $3.0 billion underwritten public offering of unsecured, unsubordinated senior notes with maturities ranging from 2029 to 2056 and coupons between 3.950% and 5.650%. The notes, issued under existing indentures with U.S. Bank Trust Company as trustee, rank pari passu with Cencora’s other unsecured debt and are structurally subordinated to obligations of its subsidiaries.

The company plans to use the proceeds primarily to repay borrowings under a 364-day term credit agreement that financed part of its acquisition of oncology platform OneOncology, with any remaining funds earmarked for general corporate purposes. The transaction refines Cencora’s capital structure by terming out acquisition-related bank debt into longer-dated bond financing, potentially reducing refinancing risk and reinforcing its balance sheet for stakeholders.

The indentures impose customary covenants limiting the creation of certain liens and sale-leaseback transactions, and restrict mergers, consolidations, or major asset sales involving the company and its restricted subsidiaries. They also define standard events of default, under which holders of at least 25% of each note series’ principal amount, together with the trustee, may accelerate the notes if Cencora fails to meet payment or other obligations.

The most recent analyst rating on (COR) stock is a Buy with a $425.00 price target. To see the full list of analyst forecasts on Cencora stock, see the COR Stock Forecast page.

Cencora Issues $3 Billion in Senior Unsecured Notes

On February 10, 2026, Cencora priced a total of $3 billion in senior unsecured notes across five tranches maturing between 2029 and 2056 in an underwritten registered public offering, with coupons ranging from 3.950% to 5.650%. The offering, expected to close on February 13, 2026, was conducted off an effective shelf registration statement and is led by a syndicate of major investment banks acting as joint book-running managers.

Cencora expects to receive about $2.98 billion in net proceeds, which it plans to use primarily to repay borrowings under a $3.0 billion 364-day term loan facility put in place on January 12, 2026 to fund part of its acquisition of OneOncology, with any remaining funds earmarked for general corporate purposes. The transaction effectively term-finances acquisition-related debt, signaling a move to strengthen Cencora’s capital structure and extend its debt maturity profile while deepening long-standing relationships with key global banking partners across its credit facilities and capital markets activities.

The most recent analyst rating on (COR) stock is a Buy with a $429.00 price target. To see the full list of analyst forecasts on Cencora stock, see the COR Stock Forecast page.

Cencora Updates Segment Reporting Following Strategic Business Review

Cencora, Inc. has revised how it presents historical financial information from its fiscal 2025 annual report to reflect a new segment structure adopted after a strategic review of its business. Effective with the first quarter of fiscal 2026, ended December 31, 2025, the company reorganized into U.S. Healthcare Solutions, International Healthcare Solutions and an “Other” category that houses businesses for which strategic alternatives are being explored.

The company filed a Form 8-K, accompanied by updated disclosures, to realign prior segment results in its 2025 annual report with the new structure used in its fiscal 2026 first-quarter Form 10-Q filed on February 4, 2026. The filing is informational only, does not alter audited 2025 financial statements or introduce new events, and is intended to ensure that any filings incorporating the 2025 report now reflect the reclassified segment information for investors and other stakeholders.

The most recent analyst rating on (COR) stock is a Buy with a $429.00 price target. To see the full list of analyst forecasts on Cencora stock, see the COR Stock Forecast page.

Cencora Completes OneOncology Acquisition, Lifts Guidance

For its fiscal 2026 first quarter ended December 31, 2025, Cencora reported revenue of $85.9 billion, up 5.5% year over year, with GAAP diluted EPS rising to $2.87 from $2.50 and adjusted diluted EPS increasing 9.4% to $4.08. The company delivered double‑digit growth in adjusted operating income to $1.1 billion, supported by higher gross profit in both reporting segments and margin expansion driven partly by the January 2025 acquisition of Retina Consultants of America, though operating expenses also climbed on acquisition-related costs and an impairment in its U.S. Consulting Services business. On February 2, 2026, Cencora completed the $4.6 billion cash acquisition of the OneOncology stake it did not already own, funded with new debt, and will consolidate OneOncology’s results within U.S. Healthcare Solutions; management simultaneously raised its fiscal 2026 adjusted operating income growth outlook to 11.5%–13.5%, signaling confidence that the enlarged specialty MSO platform and stronger oncology positioning will enhance long-term earnings power despite higher interest expense and ongoing portfolio reshaping.

The most recent analyst rating on (COR) stock is a Buy with a $400.00 price target. To see the full list of analyst forecasts on Cencora stock, see the COR Stock Forecast page.

Cencora Expands Board with Appointment of New Director

On January 20, 2026, Cencora’s board of directors appointed Ellen G. Cooper, Chairman, President and CEO of Lincoln Financial, as a new independent director, expanding the board from ten to eleven members; the company announced the move publicly on January 22, 2026. Cooper, a seasoned insurance executive with extensive risk management and financial expertise from senior roles at Lincoln Financial, Goldman Sachs Asset Management, AEGON Americas and Ernst & Young, will receive standard pro-rated compensation for non-employee directors and currently has no board committee assignments, while Cencora’s leadership highlights her appointment as a strategic reinforcement of the board’s depth as the company seeks to sustain long-term growth and strengthen its positioning as a leading healthcare company.

The most recent analyst rating on (COR) stock is a Buy with a $440.00 price target. To see the full list of analyst forecasts on Cencora stock, see the COR Stock Forecast page.

Cencora Expands Credit Facilities to Finance OneOncology Deal

On January 12, 2026, Cencora, Inc. amended its existing revolving credit agreement, increasing total commitments by $1.0 billion to $5.5 billion, enhancing its overall liquidity profile. On the same date, the company secured a new senior unsecured multi-year term loan facility totaling $1.5 billion in two tranches and a separate $3.0 billion 364-day senior unsecured term loan facility, both primarily to finance its proposed acquisition of the remaining majority equity interests in OneOncology, refinance OneOncology’s existing debt and cover related fees and expenses, with the loans bearing interest at SOFR- or base-rate benchmarks plus ratings-based margins and subject to leverage and other customary covenants and events of default. Together, these new term facilities fully displaced the previously arranged $4.5 billion bridge financing commitment, reducing it to zero, and further embedded major relationship banks such as JPMorgan Chase, Citibank, Bank of America, Wells Fargo, BNP Paribas, Société Générale and MUFG in Cencora’s capital structure through roles as lenders, advisors, underwriters and securitization counterparties, underscoring the scale and importance of the OneOncology transaction for the company’s financing strategy and banking relationships.

The most recent analyst rating on (COR) stock is a Buy with a $415.00 price target. To see the full list of analyst forecasts on Cencora stock, see the COR Stock Forecast page.

Cencora Announces Acquisition of OneOncology for $3.6 Billion

On December 15, 2025, Cencora announced its agreement to acquire the majority of equity interests in OneOncology from TPG for approximately $3.6 billion, with a total cash consideration of $5.0 billion including debt retirement. This acquisition aligns with Cencora’s pharmaceutical-centric strategy, aiming to enhance its specialty solutions, strengthen its market leadership, and improve patient access to pharmaceuticals. The transaction, expected to close by the end of fiscal 2026 Q2, will be funded through new debt financing, with Cencora maintaining its investment-grade credit rating. The acquisition is anticipated to be neutral to Cencora’s adjusted diluted EPS in the first year post-close, and the company has raised its long-term guidance expectations to reflect OneOncology’s contribution to growth.

The most recent analyst rating on (COR) stock is a Hold with a $363.00 price target. To see the full list of analyst forecasts on Cencora stock, see the COR Stock Forecast page.