(MCK) McKesson - NYSE
Sector: Healthcare | Industry: Medical Distribution | Exchange: NYSE (USA) | Market Cap: 87.882m USD | Total Return: 6.8% in 12m
Avg Turnover: 803M
EPS Trend: 93.5%
Qual. Beats: 0
Rev. Trend: 99.5%
Qual. Beats: -1
Warnings
Altman Z'' 0.61 < 1.0 - financial distress zone
Tailwinds
No distinct edge detected
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: 4.76b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.07 > 0.02 and ΔFCF/TA 0.26 > 1.0 |
| NWC/Revenue: -2.43% < 20% (prev -1.73%; Δ -0.70% < -1%) |
| CFO/TA 0.07 > 3% & CFO 6.16b > Net Income 4.76b |
| Net Debt (6.73b) to EBITDA (7.02b): 0.96 < 3 |
| Current Ratio: 0.85 > 1.5 & < 3 |
| Outstanding Shares: last quarter (122.7m) vs 12m ago -2.54% < -2% |
| Gross Margin: 3.61% > 18% (prev 3.41%; Δ 0.20% > 0.5%) |
| Asset Turnover: 512.4% > 50% (prev 477.8%; Δ 34.57% > 0%) |
| Interest Coverage Ratio: 25.46 > 6 (EBIT TTM 6.29b / Interest Expense TTM 247.0m) |
| A: -0.12 (Total Current Assets 57.2b - Total Current Liabilities 67.0b) / Total Assets 82.3b |
| B: 0.27 (Retained Earnings 22.3b / Total Assets 82.3b) |
| C: 0.08 (EBIT TTM 6.29b / Avg Total Assets 78.7b) |
| D: -0.03 (Book Value of Equity -2.17b / Total Liabilities 83.2b) |
| Altman-Z'' = 0.61 = B |
| DSRI: 0.97 (Receivables 28.0b/25.6b, Revenue 403b/359b) |
| GMI: 0.95 (GM 3.41% / 3.61%) |
| AQI: 1.20 (AQ_t 0.25 / AQ_t-1 0.21) |
| SGI: 1.12 (Revenue 403b / 359b) |
| TATA: -0.02 (NI 4.76b - CFO 6.16b) / TA 82.3b) |
| Beneish M = -2.89 (Cap -4..+1) = A |
As of June 25, 2026, the stock is trading at USD 766.55 with a total of 904,053 shares traded. Over the past week, the price has changed by -2.40%, over one month by +1.72%, over three months by -12.99% and over the past year by +6.78%.
Current recommended Stop Loss: 742.50 (which is 3.1% or 1.3 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 | 941.4 | 22.8% |
P/E Trailing = 19.568
P/E Forward = 16.9492
P/S = 0.2178
P/B = 5.0435
P/EG = 1.4658
Revenue TTM = 403b USD
EBIT TTM = 6.29b USD
EBITDA TTM = 7.02b USD
Long Term Debt = 5.26b USD (from longTermDebt, last quarter)
Short Term Debt = 1.55b USD (from shortTermDebt, last quarter)
Debt = 10.7b USD (from shortLongTermDebtTotal, last quarter) + Leases 2.09b
Net Debt = 6.73b USD (calculated: Debt 10.7b - CCE 3.98b)
Enterprise Value = 94.6b USD (87.9b + Debt 10.7b - CCE 3.98b)
Interest Coverage Ratio = 25.46 (Ebit TTM 6.29b / Interest Expense TTM 247.0m)
EV/FCF = 15.94x (Enterprise Value 94.6b / FCF TTM 5.94b)
FCF Yield = 6.27% (FCF TTM 5.94b / Enterprise Value 94.6b)
FCF Margin = 1.47% (FCF TTM 5.94b / Revenue TTM 403b)
Net Margin = 1.18% (Net Income TTM 4.76b / Revenue TTM 403b)
Gross Margin = 3.61% ((Revenue TTM 403b - Cost of Revenue TTM 389b) / Revenue TTM)
Gross Margin QoQ = 4.20% (prev 3.47%)
Tobins Q-Ratio = 1.15 (Enterprise Value 94.6b / Total Assets 82.3b)
Interest Expense / Debt = 2.31% (Interest Expense 247.0m / Debt 10.7b)
Taxrate = 17.77% (1.10b / 6.20b)
NOPAT = 5.17b (EBIT 6.29b * (1 - 17.77%))
Current Ratio = 0.85 (Total Current Assets 57.2b / Total Current Liabilities 67.0b)
Debt / Equity = -4.93 (negative equity) (Debt 10.7b / totalStockholderEquity, last quarter -2.17b)
Debt / EBITDA = 0.96 (Net Debt 6.73b / EBITDA 7.02b)
Debt / FCF = 1.13 (Net Debt 6.73b / FCF TTM 5.94b)
Total Stockholder Equity = -928.0m (last 4 quarters mean from totalStockholderEquity)
RoA = 6.05% (Net Income 4.76b / Total Assets 82.3b)
RoE = -513.1% (negative equity) (Net Income TTM 4.76b / Total Stockholder Equity -928.0m)
RoCE = 145.2% (EBIT 6.29b / Capital Employed (Equity -928.0m + L.T.Debt 5.26b))
RoIC = 40.13% (NOPAT 5.17b / Invested Capital 12.9b)
WACC = 4.49% (E(87.9b)/V(98.6b) * Re(4.81%) + D(10.7b)/V(98.6b) * Rd(2.31%) * (1-Tc(0.18)))
Discount Rate = 4.81% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -100.00 | Cagr: -3.62%
[DCF] Terminal Value 77.75% ; FCFF base≈5.65b ; Y1≈6.40b ; Y5≈9.13b
[DCF] Fair Price = 1.12k (EV 138b - Net Debt 6.73b = Equity 131b / Shares 117.1m; r=8.35% [WACC [floored]]; 5y FCF grow 13.59% → 2.50% )
EPS Correlation: 93.51 | EPS CAGR: 14.87% | SUE: 0.33 | # QB: 0
Revenue Correlation: 99.45 | Revenue CAGR: 14.81% | SUE: -1.90 | # QB: -1
EPS current Quarter (2026-06-30): EPS=9.63 | Chg30d=+0.46% | Revisions=+11% | Analysts=14
EPS next Quarter (2026-09-30): EPS=10.76 | Chg30d=-0.29% | Revisions=+11% | Analysts=14
EPS current Year (2027-03-31): EPS=44.26 | Chg30d=+0.01% | Revisions=+33% | GrowthEPS=+13.2% | GrowthRev=+7.0%
EPS next Year (2028-03-31): EPS=50.34 | Chg30d=+0.04% | Revisions=+43% | GrowthEPS=+13.7% | GrowthRev=+7.5%
[Analyst] Revisions Ratio: +43%