Cardinal Health (NYSE: CAH) shares tumbled 7.65% in pre-market trading on Tuesday, despite reporting mixed fourth-quarter results and raising its fiscal year 2026 guidance. The healthcare services company beat earnings per share (EPS) estimates but fell short on revenue expectations, while also announcing a significant acquisition.

For the fourth quarter of 2025, Cardinal Health reported adjusted EPS of $2.08, surpassing the analyst estimate of $2.04. However, the company's revenue of $60.2 billion missed the expected $60.87 billion. The mixed results, particularly the revenue miss, appear to be weighing heavily on investor sentiment.

In a surprise move, Cardinal Health also announced the acquisition of Solaris Health for $1.9 billion in cash. The company stated that this deal is expected to be accretive to EPS in the first year and will enhance its position in the urology management services organization sector. Despite the potential long-term benefits, the market seems to be reacting negatively to the short-term financial impact of the acquisition.

Adding to the complexity of the market reaction, Cardinal Health raised its fiscal year 2026 non-GAAP EPS guidance to a range of $9.30 to $9.50, up from the previous range of $9.10 to $9.30. The company also projected revenue growth of 11% to 13% for FY 2026. While these forward-looking statements are generally positive, they appear insufficient to offset the market's concerns about the current quarter's performance and the acquisition costs.