Mckesson Corporation


Market Cap$66.45B

Compare Mckesson

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
Mckesson CorporationMckesson Corporation22.20.46%-146%0.2-2.9
marketMarket Avg49.51.28%13%6.20.1
IndustrialsIndustrials Avg191.01%21%30.6

Earnings Call Q3 2024

February 7, 2024 - AI Summary

McKesson reported solid financial performance in the third quarter of fiscal 2024, with total revenues of $80.9 billion and adjusted earnings per diluted share of $7.74, both growing by double-digits compared to the prior year.
The company raised and narrowed its guidance range for fiscal 2024 adjusted earnings per diluted share from $26.80-$27.40 to an updated range of $27.25-$27.65.
McKesson's U.S. pharmaceutical segment showed strong momentum, with adjusted operating profit growing 6% and volume increases across customer channels, including specialty pharmaceuticals and GLP-1 medications.
The U.S. Oncology Network expanded its footprint by entering Tennessee and now has over 2,500 providers spread across nearly 600 sites in 30 states. The network is leveraging artificial intelligence capabilities to assist providers with revenue cycle management and clinical solutions.
The Prescription Technology Solution segment delivered strong performance, driven by growth in access solutions such as prior authorization services for branded pharmaceuticals like GLP-1 medications. The company expects a successful blizzard season, which is typically the busiest time of year for this segment.
McKesson provided an initial outlook for fiscal 2025, anticipating continued strength and stability in the underlying fundamentals of the business, with growth aligned to long-term targets in the U.S. pharmaceutical and Medical-Surgical Solutions segments, potential above-target growth in the Prescription Technology Solution segment, and continued growth in Canadian operations. The company plans to sustain investments in product development, distribution capacity, and data analytics, including artificial intelligence.

Target Price by Analysts

3.1% downsideMckesson Target Price DetailsTarget Price

Current Fair Value

7.3% upside

Undervalued by 7.3% based on the discounted cash flow analysis.

Share Statistics

Market cap$66.45 Billion
Enterprise Value$70.36 Billion
Dividend Yield$2.3177 (0.46%)
Earnings per Share$22.11
Outstanding Shares131,408,286
Avg 30 Day Volume832,477


Return on Equity-
Return on Assets-
Return on Invested Capital-

Valuation & Multiples

P/E Ratio22.17
Price to Sales0.22
Price to Book Ratio-31.89
Enterprise Value to Revenue0.23
Enterprise Value to EBIT18.12
Enterprise Value to Net Income23
Total Debt to Enterprise0.08
Debt to Equity-2.87

Revenue Sources

No data

ESG Score

No data

About Mckesson Corporation

80,000 employees
CEO: Brian Tyler

McKesson Corporation is a global leader in healthcare supply chain management solutions, retail pharmacy, community oncology and specialty care, and healthcare information solutions. McKesson partners with pharmaceutical manufacturers, p...