McKesson Corporation
- Open
- 914.29
- Day high
- 928.48
- Day low
- 910.65
- Prev close
- 906.77
- Volume
- 778K
- Mkt cap
- $107.8B
- P/E (TTM)
- 24.6
- EPS (TTM)
- $37.53
- P/B
- -25.4
- P/S
- 0.3
- Yield
- 0.37%
- Per share
- $3.40
- ▼Insiders net selling -$17.4M over the last 3 months (0 open-market buys, 5 sales)
- 🏛Institutions mixed (13F)
McKesson Corporation (MCK) is a Healthcare company listed on NYSE. The stock is up 34% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 5 sales (SEC Form 4). Drillr has 2 published research articles covering MCK.
McKesson Corporation (MCK) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 7 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
MCK earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Aug 5, 2026 | $9.56 | $9.93 | +3.9% | $105.4B | +1.4% |
| May 7, 2026 | $11.56 | $11.69 | +1.1% | $96.3B | -5.0% |
| Feb 4, 2026 | $9.17 | $9.34 | +1.9% | $106.2B | +0.3% |
| Nov 5, 2025 | $9.03 | $9.86 | +9.2% | $103.2B | -0.9% |
| Aug 6, 2025 | $8.14 | $8.26 | +1.5% | $97.8B | +1.7% |
| May 8, 2025 | $9.83 | $10.12 | +3.0% | $90.8B | -3.7% |
| Feb 5, 2025 | $8.60 | $8.03 | -6.6% | $95.3B | -0.8% |
| Feb 7, 2024 | $7.04 | $7.74 | +9.9% | $80.9B | +3.8% |
| Nov 1, 2023 | $6.15 | $6.23 | +1.3% | $77.2B | +1.7% |
| Aug 2, 2023 | $5.87 | $7.27 | +23.9% | $74.5B | +6.0% |
| Feb 1, 2023 | $6.35 | $6.90 | +8.7% | $70.5B | -0.8% |
| Nov 1, 2022 | $6.09 | $6.06 | -0.5% | $70.2B | -0.1% |
MCK insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Aug 11, 2026 | Srinivasan Ramesh (NMN)officer: EVP and Chief Strategy Officer | Grant | 368 | — |
| Aug 11, 2026 | Lerman Bradley Edirector | Sell | 301 | $892.33 |
| Jul 23, 2026 | Caruso Dominic Jdirector | Grant | 277 | $814.04 |
| Jul 23, 2026 | Gerberding Julie L.director | Grant | 277 | — |
| Jul 23, 2026 | Wilson-Thompson Kathleendirector | Grant | 277 | $814.04 |
| Jul 23, 2026 | OZAN KEVIN Mdirector | Grant | 277 | — |
| Jul 23, 2026 | Doughtie Lynne Mdirector | Grant | 277 | — |
| Jul 23, 2026 | Martinez Mariadirector | Grant | 277 | $814.04 |
| Jul 23, 2026 | Lerman Bradley Edirector | Grant | 277 | — |
| Jul 23, 2026 | Dunsire Deborahdirector | Grant | 277 | — |
| Jul 23, 2026 | Hinton James H.director | Grant | 277 | — |
| Jul 23, 2026 | Dunbar Webster Roydirector | Grant | 277 | — |
| Jul 8, 2026 | TYLER BRIAN S.director, officer: Chief Executive Officer | Sell | 8,463 | $793.56 |
| Jun 18, 2026 | TYLER BRIAN S.director, officer: Chief Executive Officer | Sell | 8,463 | $775.13 |
| Jun 11, 2026 | TYLER BRIAN S.director, officer: Chief Executive Officer | Sell | 4,929 | $763.00 |
Source: MCK SEC Form 4 filings, latest Aug 11, 2026. For informational purposes only — not investment advice.
See the full MCK insider & 13F page →MCK research & analysis
[MCK] McKesson Thesis 2026: GLP-1 Distribution Volume Anchors Pharmaceutical Cycle
McKesson Corporation FY2025 revenue ~$355-365B (+8-12%) with adj. EPS ~$32-34 reflecting continued pharmaceutical distribution volume growth + selected GLP-1 weight-loss drug tailwind (Ozempic + Wegovy + Mounjaro + Zepbound distribution) + selected pricing modest + selected operational discipline + selected opioid litigation cost continuation. Largest US pharmaceutical distribution + healthcare services company; founded 1833 by John McKesson + Charles Olcott as small drug import in NYC. One of Big 3 US pharmaceutical distributors (alongside Cencora ABC + Cardinal Health) selected dominating US drug distribution. 4 segments: US Pharmaceutical ~88% ($315B) + Prescription Technology Solutions ~3% + Medical-Surgical Solutions ~3% + International ~6% (primarily Canada Rexall + selected smaller European post-divestitures). Selected ~80% of US hospitals served + ~50K+ pharmacy customer base. CEO Brian Tyler since April 1, 2019 (succeeded John Hammergren CEO 1999-2019 who transitioned amid selected opioid litigation criticism; Tyler ex-McKesson President; ~25-year McKesson career). Tyler tenure executed continued operational excellence + opioid litigation $7.4B settlement 2022 (Big 3 distributors combined ~$26B; multi-year payments through ~2040 ~$0.5-0.8B annual McKesson) + selected international portfolio optimization (selected European operations divestitures) + GLP-1 volume tailwind capture + capital return acceleration. GLP-1 weight-loss drug class creating selected unprecedented prescription volume growth (industry GLP-1 sales selected $30B+ in 2024 → $50B+ in 2026 → $100B+ by 2030 projected). Capital return: dividend $2.48-2.62/share + buybacks $3-4B (~3-5%/yr share count reduction); net debt $3-5B (modest); A3/BBB+ investment grade. FY2026 thesis: GLP-1 distribution volume + scale moat + capital return. Risks: drug pricing reform, opioid litigation continuing, generic substitution.
Hospital-Owned Specialty Pharmacy Draws Insurer Entry
Cigna's Evernorth sized the specialty pharmacy market near $500 billion and said roughly $200 billion of it sits in hospital-owned pharmacies it barely serves.
CIOMCLOPCH
McKesson Corporation company profile
Overview
McKesson Corporation (NYSE:MCK) is one of the largest healthcare distribution companies in the United States, founded in 1833 and headquartered in Irving, Texas. Originally established as a pharmaceutical wholesaler, McKesson has evolved into a diversified healthcare services company that serves as a critical intermediary in the healthcare supply chain. The company went public in 1994 and has grown through strategic acquisitions and organic expansion to become a Fortune 500 company with operations spanning North America and Europe. Today, McKesson operates as an essential infrastructure provider in the healthcare ecosystem, connecting pharmaceutical manufacturers, healthcare providers, pharmacies, and patients through its comprehensive distribution network and technology solutions.
Business
McKesson operates as a healthcare distribution and services company that serves as the backbone of pharmaceutical and medical supply chains. The company functions as a critical intermediary between manufacturers and healthcare providers, ensuring that medications and medical supplies reach patients efficiently and safely. U.S. Pharmaceutical Segment (approximately 92% of revenue): This is McKesson's largest business, distributing branded, generic, specialty, biosimilar, and over-the-counter pharmaceutical drugs to pharmacies, hospitals, and healthcare systems across the United States. The segment also provides practice management, technology, clinical support, and business solutions to community-based oncology and specialty practices. Additionally, it offers consulting, outsourcing, and technological services to pharmacies, helping them optimize their operations and improve patient care. International Segment (approximately 4% of revenue): This division provides pharmaceutical distribution and related services to wholesale, institutional, and retail customers across 13 European countries and Canada. The segment has been streamlined in recent years through strategic divestitures to focus on core markets. Medical-Surgical Solutions Segment (approximately 3% of revenue): This segment distributes medical-surgical supplies, equipment, and logistics services to healthcare providers including hospitals, surgery centers, and alternate care sites. The company announced plans to separate this segment into an independent company to allow for more focused strategic direction. Prescription Technology Solutions (RxTS) Segment (approximately 1% of revenue): This technology-focused division serves biopharmaceutical companies and patients by providing medication access and adherence solutions. It connects pharmacies, healthcare providers, payers, and biopharma companies through innovative technology platforms that help patients navigate complex medication challenges, reduce prescription abandonment, and improve medication adherence.
Revenue model
McKesson generates revenue primarily through product sales and distribution fees from its pharmaceutical and medical supply distribution operations. The company operates on relatively thin margins typical of wholesale distribution businesses, earning money through volume-based distribution fees, inventory management services, and value-added services. The U.S. Pharmaceutical segment makes money by purchasing pharmaceuticals from manufacturers at wholesale prices and selling them to pharmacies, hospitals, and healthcare systems at slightly higher prices. The company also earns fees for additional services like inventory management, technology solutions, and clinical support programs. This segment benefits from the growing demand for specialty medications, including high-cost oncology drugs and GLP-1 diabetes medications, which provide higher absolute dollar margins despite lower percentage margins. The Prescription Technology Solutions segment operates on a service fee model, earning revenue from biopharmaceutical manufacturers who pay for patient access programs, prior authorization services, and medication adherence solutions. This segment has higher margins than distribution businesses as it provides specialized technology and consulting services. Factors that increase margins include: growing demand for specialty and high-cost medications, expansion of the U.S. Oncology Network which provides higher-margin services, successful implementation of operational efficiency initiatives, and growth in technology-enabled services that command premium pricing. Factors that decrease margins include: increased competition in generic drug distribution, pricing pressure from large pharmacy chains and health systems, regulatory changes affecting reimbursement rates, economic downturns that reduce prescription volumes, and the commoditization of basic distribution services. The company's margins are also sensitive to changes in pharmaceutical pricing, manufacturer rebate structures, and shifts in the mix between branded and generic medications.
Competitive moat
McKesson's competitive moat is moderately strong, built primarily on scale advantages, network effects, and switching costs rather than unique intellectual property or brand loyalty. The company's massive distribution infrastructure, including strategically located warehouses and sophisticated logistics capabilities, creates significant barriers to entry for potential competitors. The company's scale advantages are substantial - with over $350 billion in annual revenue, McKesson can negotiate favorable purchasing terms with pharmaceutical manufacturers and spread its fixed infrastructure costs across a large volume base. This scale also enables the company to invest in advanced technology systems and automation that smaller competitors cannot afford. Network effects strengthen McKesson's position as it connects manufacturers, pharmacies, hospitals, and patients through integrated technology platforms. The more participants in its network, the more valuable the platform becomes to all users. The U.S. Oncology Network exemplifies this, where adding more oncology practices increases the value proposition for pharmaceutical manufacturers conducting clinical trials and launching new therapies. Switching costs provide additional protection, as healthcare providers rely on McKesson's integrated systems for inventory management, ordering, and clinical support. Changing distribution partners requires significant operational disruption and system integration costs. However, the moat faces potential threats from several directions. Large pharmacy chains and health systems are increasingly seeking to bypass traditional distributors through direct manufacturer relationships. Amazon's entry into pharmaceutical distribution poses a long-term competitive threat, leveraging its logistics expertise and technology capabilities. Additionally, vertical integration by large healthcare companies could reduce demand for McKesson's services. The company's core distribution business remains somewhat commoditized, with limited differentiation beyond scale and service quality.
Risks & safety
McKesson demonstrates a moderate margin of safety with strong cash generation capabilities but elevated financial leverage due to negative shareholder equity. Liquidity and Solvency: • Current ratio of 0.90 indicates tight working capital management typical of distribution businesses • Cash and short-term investments of $5.7 billion provide adequate liquidity buffer • Strong operating cash flow generation of $6.1 billion annually supports operations • Negative shareholder equity of -$1.7 billion due to substantial share repurchases and debt financing • Debt-to-equity ratio of -3.56 reflects high leverage, though manageable given strong cash flows Valuation Metrics: • Price-to-earnings ratio of 26.0x appears reasonable for a stable, cash-generative business • EV/EBITDA of 16.6x is within acceptable range for healthcare distribution • Free cash flow yield of approximately 6.8% provides decent returns to shareholders Other Considerations: • Business model provides relatively stable cash flows due to essential nature of pharmaceutical distribution • Exposure to regulatory changes and healthcare policy shifts creates some uncertainty • Concentration risk from large customers could impact financial stability
Recent development
Over the past few years, McKesson has executed a strategic transformation from a traditional pharmaceutical distributor to a diversified healthcare services company. The company has significantly expanded its oncology platform, growing the U.S. Oncology Network from approximately 2,600 providers to over 2,700 providers across 645 sites in 31 states. This expansion included strategic acquisitions such as the controlling interest in PRISM Vision for ophthalmology services and the planned acquisition of Core Ventures for additional oncology capabilities. The company has strengthened its biopharma services capabilities through the Prescription Technology Solutions segment, which has grown rapidly by helping patients access expensive medications and supporting pharmaceutical manufacturers with patient access programs. This segment helped patients save over $10 billion on medications and prevented approximately 12 million prescription abandonments in fiscal 2025. McKesson has also streamlined its portfolio by divesting non-core international operations, including the sale of Rexall and Well.ca businesses in Canada, and announcing plans to separate the Medical-Surgical Solutions segment into an independent company. This strategic focus allows management to concentrate resources on higher-growth, higher-margin opportunities in pharmaceutical distribution and healthcare services. The company has made significant investments in technology and automation, including artificial intelligence applications for inventory management, customer service chatbots, and operational efficiency improvements. These investments support the company's evolution toward becoming a more technology-enabled healthcare services provider rather than just a traditional distributor.
MCK company profile · for informational purposes only — not investment advice.
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