MCK Stock Analysis: McKesson | NYSE
Medical Distribution | NYSE, USA | Market Cap: 101.595m USD | 12M Return: 29.7% | US58155Q1031 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 856M
EPS Trend: 95.9%
Qual. Beats: 1
Rev. Trend: 99.2%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
McKesson Corporation (NYSE: MCK) is a major U.S.-headquartered healthcare services company operating through four segments: North American Pharmaceutical, Oncology & Multispecialty, Prescription Technology Solutions, and Medical-Surgical Solutions. The company distributes branded, generic, specialty, biosimilar, and over-the-counter pharmaceutical drugs to retail pharmacies, hospitals, long-term care centers, clinics, and other institutions, while also providing logistics, consulting, technology, and clinical solutions across the healthcare value chain. Additional offerings include gene therapy services (InspiroGene), vaccine distribution, cancer and specialty care technology, electronic prior authorization, prescription price transparency tools, and medical-surgical supplies to physician offices, surgery centers, and home health agencies.
Founded in 1833 and headquartered in Irving, Texas, McKesson is classified under the GICS Health Care Distributors sub-industry. It is one of the largest pharmaceutical wholesalers in the United States, a sector that functions as an intermediary between drug manufacturers and healthcare providers and historically operates on a high-volume, low-margin business model. In recent years, the company has increasingly expanded into value-added services-such as technology platforms, patient access programs, and specialty care solutions-to complement its core wholesale distribution operations.
- Specialty oncology distribution revenue accelerates on biosimilar adoption
- Opioid litigation settlement charges pressure reported margins
- Prescription Technology Solutions scales with prior authorization demand
| Net Income: 4.59b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA 0.45 > 1.0 |
| NWC/Revenue: -1.83% < 20% (prev -1.99%; Δ 0.16% < -1%) |
| CFO/TA 0.08 > 3% & CFO 6.85b > Net Income 4.59b |
| Net Debt (8.62b) to EBITDA (7.38b): 1.17 < 3 |
| Current Ratio: 0.89 > 1.5 & < 3 |
| Outstanding Shares: last quarter (119.2m) vs 12m ago -5.02% < -2% |
| Gross Margin: 3.64% > 18% (prev 3.33%; Δ 0.31% > 0.5%) |
| Asset Turnover: 484.5% > 50% (prev 464.4%; Δ 20.15% > 0%) |
| Interest Coverage Ratio: 43.49 > 6 (EBIT TTM 6.65b / Interest Expense TTM 153.0m) |
| A: -0.09 (Total Current Assets 62.8b - Total Current Liabilities 70.4b) / Total Assets 88.3b |
| B: 0.26 (Retained Earnings 22.8b / Total Assets 88.3b) |
| C: 0.08 (EBIT TTM 6.65b / Avg Total Assets 84.8b) |
| D: -0.05 (Book Value of Equity -4.24b / Total Liabilities 92.2b) |
| Altman-Z'' = 0.76 = B |
| DSRI: 0.99 (Receivables 30.3b/28.2b, Revenue 411b/378b) |
| GMI: 0.91 (GM 3.33% / 3.64%) |
| AQI: 0.97 (AQ_t 0.24 / AQ_t-1 0.24) |
| SGI: 1.09 (Revenue 411b / 378b) |
| TATA: -0.03 (NI 4.59b - CFO 6.85b) / TA 88.3b) |
| Beneish M = -3.07 (Cap -4..+1) = AA |
As of August 14, 2026, the stock is trading at USD 856.69 with a total of 784,848 shares traded. Over the past week, the price has changed by -1.69%, over one month by +5.47%, over three months by +16.34% and over the past year by +29.71%.
Current recommended Stop Loss: 821.30 (which is 4.1% or 1.2 ATR below the current price).
McKesson has received a consensus analysts rating of 4.29. Therefore, it is recommended to buy MCK.
- StrongBuy: 10
- Buy: 3
- Hold: 3
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 947.1 | 10.6% |
P/E Trailing = 22.8289
P/E Forward = 18.7617
P/S = 0.2518
P/B = 4.9219
P/EG = 1.6216
Revenue TTM = 411b USD
EBIT TTM = 6.65b USD
EBITDA TTM = 7.38b USD
Long Term Debt = 5.26b USD (from longTermDebt, last fiscal year)
Short Term Debt = 1.59b USD (from shortTermDebt, last quarter)
Debt = 13.8b USD (from shortLongTermDebtTotal, last quarter) + Leases 2.09b
Net Debt = 8.62b USD (calculated: Debt 13.8b - CCE 5.16b)
Enterprise Value = 110b USD (102b + Debt 13.8b - CCE 5.16b)
Interest Coverage Ratio = 43.49 (Ebit TTM 6.65b / Interest Expense TTM 153.0m)
EV/FCF = 16.62x (Enterprise Value 110b / FCF TTM 6.63b)
FCF Yield = 6.02% (FCF TTM 6.63b / Enterprise Value 110b)
FCF Margin = 1.61% (FCF TTM 6.63b / Revenue TTM 411b)
Net Margin = 1.12% (Net Income TTM 4.59b / Revenue TTM 411b)
Gross Margin = 3.64% ((Revenue TTM 411b - Cost of Revenue TTM 396b) / Revenue TTM)
Gross Margin QoQ = 3.50% (prev 4.20%)
Tobins Q-Ratio = 1.25 (Enterprise Value 110b / Total Assets 88.3b)
Interest Expense / Debt = 1.11% (Interest Expense 153.0m / Debt 13.8b)
Taxrate = 17.93% (1.16b / 6.46b)
NOPAT = 5.46b (EBIT 6.65b * (1 - 17.93%))
Current Ratio = 0.89 (Total Current Assets 62.8b / Total Current Liabilities 70.4b)
Debt / Equity = -3.25 (negative equity) (Debt 13.8b / totalStockholderEquity, last quarter -4.24b)
Debt / EBITDA = 1.17 (Net Debt 8.62b / EBITDA 7.38b)
Debt / FCF = 1.30 (Net Debt 8.62b / FCF TTM 6.63b)
Total Stockholder Equity = -1.77b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.41% (Net Income 4.59b / Total Assets 88.3b)
RoE = -259.1% (negative equity) (Net Income TTM 4.59b / Total Stockholder Equity -1.77b)
RoCE = 190.8% (EBIT 6.65b / Capital Employed (Equity -1.77b + L.T.Debt 5.26b))
RoIC = 37.93% (NOPAT 5.46b / Invested Capital 14.4b)
WACC = 4.23% (E(102b)/V(115b) * Re(4.68%) + D(13.8b)/V(115b) * Rd(1.11%) * (1-Tc(0.18)))
Discount Rate = 4.68% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -97.84 | Cagr: -4.30%
[DCF] Terminal Value 77.97% ; FCFF base≈6.28b ; Y1≈7.20b ; Y5≈10.6b
[DCF] Fair Price = 1.29k (EV 159b - Net Debt 8.62b = Equity 151b / Shares 116.6m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 95.87 | EPS CAGR: 17.05% | SUE: 1.50 | # QB: 1
Revenue Correlation: 99.23 | Revenue CAGR: 14.50% | SUE: 0.54 | # QB: 0
EPS current Quarter (2026-09-30): EPS=10.76 | Chg30d=+0.04% | Revisions=+38% | Analysts=15
EPS next Quarter (2026-12-31): EPS=11.06 | Chg30d=-1.49% | Revisions=-12% | Analysts=15
EPS current Year (2027-03-31): EPS=44.25 | Chg30d=-0.02% | Revisions=-12% | GrowthEPS=+13.2% | GrowthRev=+6.9%
EPS next Year (2028-03-31): EPS=50.38 | Chg30d=+0.06% | Revisions=-10% | GrowthEPS=+13.8% | GrowthRev=+7.5%
[Analyst] Revisions Ratio: +0% (up=11, down=11)