Jefferies initiated coverage on Cardinal Health Inc , AmerisourceBergen Corp. and McKesson Corporation Wednesday with Hold ratings. Jefferies’ analysis of prices paid by independent pharmacies for generic drugs leads analyst Brian Tanquilut to the conclusion that generic deflation is steep and accelerated in 2017 compared to the second half of 2016, putting margin and earnings pressure on drug distributors. “Considering that the drug distributors make the bulk of their profits from generic drugs, we believe earnings pressure for the group is unlikely to abate," Tanquilut said in a note.Read more