Cencora Stock Discussion

Cencora, Inc.'s share price gain is justified by its profitability transition. The company's future financial position is crucial for shareholders. The share price momentum remains strong, indicating positive sentiment. However, investors should be aware of 2 warning signs.

Investor optimism sustains Cencora's high P/E ratio despite market forecasts, indicating potential risk if the P/E declines to reflect growth outlook. This situation could risk shareholders' investments and lead potential investors to overpay. It's suggested the current valuation may not fully justify expected growth rates.

Recent sales of Cencora shares by insiders and lack of purchases raises concerns, despite company profitability and high insider ownership. Share sales history calls for investor caution.

The company's profitability and significant share price increase over 5 years have created positive investor sentiment. Given the recent improvement in TSR, those with an optimistic perspective may view this as the company improving over time.