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Investor Insights

This summary was created by AI, based on 20 opinions in the last 12 months.

McKesson Corp (MCK) is recognized as a significant player in the healthcare distribution sector, boasting strong market share and growth potential driven by demographic trends such as an aging population. Various experts highlight its role as a distributor of both branded and generic drugs, noting that it stands to benefit from the rising demand for pharmaceuticals, particularly weight-loss drugs. The company is generally viewed as a steady performer, trading at reasonable price-to-earnings (PE) ratios relative to its growth rates, which are characterized as healthy. Some analysts express concerns about the low margins in drug distribution and potential headwinds related to US healthcare dynamics, yet many believe MCK remains a solid investment with a compelling long-term outlook. Furthermore, the stock's ability to navigate challenges in the healthcare landscape positions it well for future growth.

Consensus
Positive
Valuation
Fair Value
WATCH

Many attempts to lower drug prices in the US, and every one of them has failed. Very highly entrenched business to deconstruct. But stocks will rerate on the noise. So how much downside would there be to revenue? 

He wouldn't buy this here. Tariffs and the drug noise have provided opportunities to expand in the healthcare space, which is very undervalued right now.

DON'T BUY

Last Thursday, they reported an EPS beat and a big revenue miss. But the report was strongly enough to trigger a rally. Unfortunately, but then Trump announced he would slash drug prices (he needs Congress to approve). Don't dump it, but take profits.

BUY

Not expensive valuation at 18s PE. Has a strong earnings engine to support that.  Growth is coming from the weight loss drugs. Likes them.

HOLD

A volume business. Competitive advantage is not huge. Has done a great job. Don't be in any rush to get rid of it. Slow and steady.

PAST TOP PICK
(A Top Pick May 02/24, Up 36%)

Aging demographics will help. Rising 200-day and 200-week MAs. Beat last quarter, raised full-year guidance. 20x forward PE for 14-15% growth rate, a great PEG ratio.

BUY

Is surprised the stock hasn't split. Is one of the strongest stocks out there and plays a valuable role in society, though Washington disagrees.

BUY

One of the biggest distributors of branded or generic drugs, and offers surgical supplies. He expects this sector to boom if Trump messes with the pharma supply chain.

BUY
Tariff-proof stock?

Certainly some stocks are less vulnerable to issues involving tariffs. What comes to mind are healthcare companies. You could look at some of the beaten-down companies that really didn't do well last year, as they're doing quite well today. Try this name, which he owns.

COMMENT

It is a large distributer of drugs which is a volume based business and has low margins. It is not expensive.

PAST TOP PICK
(A Top Pick Jan 11/24, Up 20%)

15% EPS growth rate, but paying only 17x forward PE. So PEG ratio is 1.1x, fairly cheap. Long-term, aging demographic trends give long runway for growth. 200-day and 200-week MAs are pushing higher. Outpacing S&P 500 since early 2019.

TOP PICK

Growing at double-digits and trading around 19x PE. Much growth, a third, comes from the weight-loss drugs, mostly from LLY and Novo Nordisk. An aging population will need more medications.

(Analysts’ price target is $658.83)
PAST TOP PICK
(A Top Pick Dec 20/23, Up 38%)

US healthcare has been a minefield. Management lowered guidance, stock drew down sharply. But then it had a great quarter and shares rallied. #1 market share. Demographic and morbidity tailwinds. Still likes.

PAST TOP PICK
(A Top Pick Nov 16/23, Up 34%)

Earnings today impressed the market. Trades around 16-17x forward PE, 11-12% EPS growth rate. PEG ratio is 1.4x, pretty good. Great, long-term secular growth name. Few competitors plus 33% market share means substantial pricing leverage.

BUY

It was getting pricey, so he took profits around $616. He's holding, because of a strong long-term outlook. Are fueled by the weight-loss drugs and other pharmaceuticals, of which they are the largest U.S. distributors.

DON'T BUY

Drug distribution is a really low-margin business, which gives you less tolerance throughout your whole business. In US healthcare, they're always looking for ways to squeeze out value for consumers. Not a lot of avenues for growth.

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McKesson Corp(MCK-N) Rating

Ranking : 5 out of 5

Star iconStar iconStar iconStar iconStar icon

Bullish - Buy Signals / Votes : 16

Neutral - Hold Signals / Votes : 3

Bearish - Sell Signals / Votes : 3

Total Signals / Votes : 22

Stockchase rating for McKesson Corp is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

McKesson Corp(MCK-N) Frequently Asked Questions

What is McKesson Corp stock symbol?

McKesson Corp is a American stock, trading under the symbol MCK-N on the New York Stock Exchange (MCK). It is usually referred to as NYSE:MCK or MCK-N

Is McKesson Corp a buy or a sell?

In the last year, 22 stock analysts published opinions about MCK-N. 16 analysts recommended to BUY the stock. 3 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for McKesson Corp.

Is McKesson Corp a good investment or a top pick?

McKesson Corp was recommended as a Top Pick by on . Read the latest stock experts ratings for McKesson Corp.

Why is McKesson Corp stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is McKesson Corp worth watching?

22 stock analysts on Stockchase covered McKesson Corp In the last year. It is a trending stock that is worth watching.

What is McKesson Corp stock price?

On 2025-05-16, McKesson Corp (MCK-N) stock closed at a price of $724.18.