(MCK) McKesson - Overview
Stock: Pharmaceutical, Medical-Surgical, Technology, Distribution
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 0.43% |
| Yield on Cost 5y | 2.17% |
| Yield CAGR 5y | 14.51% |
| Payout Consistency | 92.9% |
| Payout Ratio | 8.4% |
| Risk 5d forecast | |
|---|---|
| Volatility | 74.9% |
| Relative Tail Risk | -8.72% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 1.64 |
| Alpha | 51.82 |
| Character TTM | |
|---|---|
| Beta | 0.091 |
| Beta Downside | -0.172 |
| Drawdowns 3y | |
|---|---|
| Max DD | 23.91% |
| CAGR/Max DD | 1.60 |
Description: MCK McKesson January 27, 2026
McKesson Corporation (NYSE:MCK) is a diversified health-care services company that operates through four primary segments: U.S. Pharmaceutical, Prescription Technology Solutions (RxTS), Medical-Surgical Solutions, and International. The U.S. Pharmaceutical arm distributes a full spectrum of drugs-including branded, generic, specialty, biosimilar, and OTC products-and supplies practice-management, technology, and consulting services to pharmacies and specialty clinics. RxTS connects biopharma, payors, providers, and patients via medication-access platforms, price-transparency tools, electronic prior-authorization, and logistics support. Medical-Surgical Solutions delivers supply chain, logistics, and biomedical-maintenance services to hospitals, surgery centers, long-term-care facilities, and home-health agencies. The International segment extends similar distribution and technology offerings to pharmacies, hospitals, and manufacturers outside the United States.
Key recent metrics (FY 2023): revenue of $251 billion, up 4.2% YoY, driven largely by a 6.5% increase in the U.S. Pharmaceutical segment and a 9.1% rise in RxTS services. Adjusted EBITDA margin held at 3.8%, reflecting modest cost-control gains amid inflationary labor and transportation pressures. The company generated $5.2 billion of free cash flow, supporting a dividend yield of ~2.9% and a share-repurchase program of $1 billion. Sector-wide, U.S. prescription drug spending is projected to grow 5-6% annually through 2027, while aging demographics and the shift toward specialty and biologic therapies are expanding demand for integrated distribution and technology solutions-areas where McKesson holds a competitive foothold.
For a deeper quantitative assessment, consider reviewing ValueRay’s analyst toolkit.
Piotroski VR‑10 (Strict, 0-10) 6.5
| Net Income: 4.34b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.12 > 0.02 and ΔFCF/TA 9.69 > 1.0 |
| NWC/Revenue: -2.12% < 20% (prev -1.98%; Δ -0.14% < -1%) |
| CFO/TA 0.12 > 3% & CFO 10.48b > Net Income 4.34b |
| Net Debt (5.67b) to EBITDA (6.47b): 0.88 < 3 |
| Current Ratio: 0.88 > 1.5 & < 3 |
| Outstanding Shares: last quarter (123.7m) vs 12m ago -2.29% < -2% |
| Gross Margin: 3.37% > 18% (prev 0.04%; Δ 333.7% > 0.5%) |
| Asset Turnover: 512.6% > 50% (prev 484.8%; Δ 27.82% > 0%) |
| Interest Coverage Ratio: 25.04 > 6 (EBITDA TTM 6.47b / Interest Expense TTM 231.0m) |
Altman Z'' 0.89
| A: -0.10 (Total Current Assets 59.70b - Total Current Liabilities 68.13b) / Total Assets 84.19b |
| B: 0.25 (Retained Earnings 20.71b / Total Assets 84.19b) |
| C: 0.07 (EBIT TTM 5.78b / Avg Total Assets 77.64b) |
| D: 0.24 (Book Value of Equity 19.81b / Total Liabilities 84.29b) |
| Altman-Z'' Score: 0.89 = B |
Beneish M -2.88
| DSRI: 0.95 (Receivables 28.21b/25.83b, Revenue 397.96b/344.58b) |
| GMI: 1.10 (GM 3.37% / 3.71%) |
| AQI: 1.10 (AQ_t 0.24 / AQ_t-1 0.21) |
| SGI: 1.15 (Revenue 397.96b / 344.58b) |
| TATA: -0.07 (NI 4.34b - CFO 10.48b) / TA 84.19b) |
| Beneish M-Score: -2.88 (Cap -4..+1) = A |
What is the price of MCK shares?
Over the past week, the price has changed by +12.07%, over one month by +16.46%, over three months by +10.50% and over the past year by +57.89%.
Is MCK a buy, sell or hold?
- StrongBuy: 10
- Buy: 3
- Hold: 3
- Sell: 1
- StrongSell: 0
What are the forecasts/targets for the MCK price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 963.3 | 1.5% |
| Analysts Target Price | 963.3 | 1.5% |
| ValueRay Target Price | 1333.2 | 40.5% |
MCK Fundamental Data Overview February 07, 2026
P/E Forward = 18.7617
P/S = 0.3054
P/B = 5.0435
P/EG = 0.993
Revenue TTM = 397.96b USD
EBIT TTM = 5.78b USD
EBITDA TTM = 6.47b USD
Long Term Debt = 4.46b USD (from longTermDebt, last fiscal year)
Short Term Debt = 1.42b USD (from shortTermDebt, last quarter)
Debt = 8.62b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 5.67b USD (from netDebt column, last quarter)
Enterprise Value = 123.88b USD (118.22b + Debt 8.62b - CCE 2.96b)
Interest Coverage Ratio = 25.04 (Ebit TTM 5.78b / Interest Expense TTM 231.0m)
EV/FCF = 12.27x (Enterprise Value 123.88b / FCF TTM 10.10b)
FCF Yield = 8.15% (FCF TTM 10.10b / Enterprise Value 123.88b)
FCF Margin = 2.54% (FCF TTM 10.10b / Revenue TTM 397.96b)
Net Margin = 1.09% (Net Income TTM 4.34b / Revenue TTM 397.96b)
Gross Margin = 3.37% ((Revenue TTM 397.96b - Cost of Revenue TTM 384.53b) / Revenue TTM)
Gross Margin QoQ = 3.47% (prev 3.43%)
Tobins Q-Ratio = 1.47 (Enterprise Value 123.88b / Total Assets 84.19b)
Interest Expense / Debt = 0.73% (Interest Expense 63.0m / Debt 8.62b)
Taxrate = 23.31% (380.0m / 1.63b)
NOPAT = 4.44b (EBIT 5.78b * (1 - 23.31%))
Current Ratio = 0.88 (Total Current Assets 59.70b / Total Current Liabilities 68.13b)
Debt / Equity = -6.64 (negative equity) (Debt 8.62b / totalStockholderEquity, last quarter -1.30b)
Debt / EBITDA = 0.88 (Net Debt 5.67b / EBITDA 6.47b)
Debt / FCF = 0.56 (Net Debt 5.67b / FCF TTM 10.10b)
Total Stockholder Equity = -1.77b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.59% (Net Income 4.34b / Total Assets 84.19b)
RoE = -245.3% (negative equity) (Net Income TTM 4.34b / Total Stockholder Equity -1.77b)
RoCE = 214.7% (EBIT 5.78b / Capital Employed (Equity -1.77b + L.T.Debt 4.46b))
RoIC = 86.36% (NOPAT 4.44b / Invested Capital 5.14b)
WACC = 5.86% (E(118.22b)/V(126.84b) * Re(6.25%) + D(8.62b)/V(126.84b) * Rd(0.73%) * (1-Tc(0.23)))
Discount Rate = 6.25% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.95%
Shares Correlation 3-Years: -100.0 | Cagr: -3.67%
[DCF Debug] Terminal Value 86.74% ; FCFF base≈6.71b ; Y1≈7.00b ; Y5≈8.06b
Fair Price DCF = 1907 (EV 239.24b - Net Debt 5.67b = Equity 233.57b / Shares 122.5m; r=5.90% [WACC]; 5y FCF grow 4.56% → 2.90% )
EPS Correlation: 85.51 | EPS CAGR: 13.39% | SUE: 0.44 | # QB: 0
Revenue Correlation: 96.68 | Revenue CAGR: 13.47% | SUE: 0.08 | # QB: 0
EPS next Quarter (2026-06-30): EPS=9.73 | Chg30d=-0.028 | Revisions Net=-2 | Analysts=7
EPS next Year (2027-03-31): EPS=44.14 | Chg30d=+0.331 | Revisions Net=+0 | Growth EPS=+13.1% | Growth Revenue=+8.2%