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NYSE:MCK

McKesson Corp (MCK)

893.39
+2.88 (0.32%)
as of Aug 28, 2026, 8:00:00 pm Market Open.
84 watching
0
Investor Insights
star iconAug 30, 2026, 12:00 am

This summary was created by AI, based on 11 opinions in the last 12 months.

McKesson Corp (MCK-N) is recognized as the largest player in an oligopoly of pharmaceutical distributors in the U.S., commanding a remarkable 90% market share among the top three companies. The company has demonstrated a strong track record, with a total return of 17.5% per annum over the past decade, driven by a robust dividend growth rate of 15% annually and consistent buybacks of 6% per year. Despite operating on thin margins, McKesson efficiently manages costs and capitalizes on the essential nature of medicine distribution. The recent trend of shifting investments towards growthier sectors has slightly impacted the healthcare industry, but experts remain optimistic about McKesson's stability, growth potential, and the upcoming spin-off of its medical/surgical unit, which is anticipated to unlock hidden value.

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Consensus
Positive
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Valuation
Fair Value
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TOP PICK

Management team seems to be exceptionally strong. Bought a number of companies over the last couple of years and just completed a big acquisition in Germany which makes them a big, significant, generics distributor in Europe which will be accretive to earnings. Looking out a couple of years, he could see $11-$12 in earnings. Very, very good at execution. Yield of 0.54%.

TOP PICK
Medical devices that are used in nondiscretionary procedures. Has a lot of confidence in the business. Aging demographics makes this a growth industry.
SELL
Not doing really well.
TOP PICK
WATCH
Two main competitors have shown some weakness and the stock has dropped in sympathy with them. Did extremely well on their earnings and their margins increased. Technically it needs a steady trend upwards. Would not buy at this point.
BUY
Trading at about 8 to 9 next years earnings and growing earnings at about 16/17%.
BUY ON WEAKNESS
Margins are razor thin. Would buy in the mid $20's and sell when it reached $30.
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