tickrz reports
McKesson Corp (MCK)
Services | Wholesale
162.73  3.44%
MCK vs WHOLESALE SECTOR & S&P 500
VALUATION
MCKSECTORS&P 500
P/E RATIO7.0723.920.18
EV/EBITDA RATIO4.7711.912.15
P/S RATIO0.160.92.14
P/B RATIO2.886.43.29
QUALITY
RETURN ON EQUITY39.5%21.71%13.65%
RETURN ON CAPITAL36.48%16.46%10.09%
NET MARGIN2.62%2.84%9.76%
DIVIDEND ANALYSIS
DIVIDEND YIELD
0.81%
PAYOUT RATIO5.22%
3 YR DIVIDEND GROWTH6.78%
FINANCIAL STRENGTH
PIOTROSKI F SCORE
4 OUT OF 9
DEBT-TO-EQUITY65%
INTEREST COVERAGE10.9x
CURRENT RATIO1.05
GROWTH
5 YR EPS GROWTH32.98%
5 YR SPS GROWTH10.1%
5 YR BPS GROWTH12.59%
About tickrz
Key Concepts
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McKesson Corp ranks well on valuation
FACTOR RANKINGSFACTOR SCREENER 
TICKRZ MFM RANK A / 20PURE VALUE RANKA / 14
DIVIDEND RANKA / 19MOAT RANKB / 132
FINANCIAL STRENGTH RANKC / 224GROWTH RANKA / 35
MOMENTUM RANKC / 347
tickrz MFM rank A / 20
McKesson Corp receives an A ranking in our multi-factor model that blends valuation, moat, operational performance, and financial strength. View the tickrz MFM Screener here.
value
pure value ranking A / 14Warren Buffett ranking A / 24
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. McKesson Corp's valuation score is comprised of a P/E ratio of 7.1x, a P/B ratio of 2.9x, a P/S ratio of 0.2x, and an EV/EBITDA ratio of 4.8x. McKesson Corp ranks 14 out of the S&P 500 constituents on valuation--a relatively strong score.McKesson Corp ranks 24 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a strong score, meaning it ranks highly on valuation, moat, volatility, and financial strength factors. If you're looking for undervalued stocks with high moats and strong competitive advantages, McKesson Corp warrants further investigation.

quality
moat B / 132financial strength C / 224
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our approach concludes the company's business moat is average. Our analysis of its moat reveals neither a durable moat or enduring competitive advantages.McKesson Corp has a Piotroski F Score of 4 out of 9. The F Score examines changes in profitability, leverage, liquidity, and operating efficiency. Interest coverage of 10.9x, a debt/equity ratio of 65% and a Moat Rank of 132 translate to a weak Financial Strength score.


momentum C / 347
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors.The company has seen its stock fall by -2.08% over the last 12 months. This performance is weak compared to other stocks in the S&P 500, earning it a rank of 347. Based on its 12 month stock performance, McKesson Corp will not appeal to momentum investors.

yield A / 19
value + yield
Shares currently yield 0.81%. Our dividend ranking approach looks at a company's dividend growth rate, payout ratio, business moat, and valuation. Based on our methodology, McKesson Corp ranks 19 among the S&P 500 constituents. Investors looking for undervalued dividend stocks will want to closely investigate McKesson Corp.

growth A / 35
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. The company's growth in sales, earnings, and book value places it among the top third of S&P 500 companies. Its 33% 5 year annualized EPS growth, 10.1% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of 12.6% speak to its impressive growth ranking.

McKesson Corp (MCK)
Services | Wholesale
162.73  3.44%


tickrz rank
A
VALUATION RATIOS
P/E Ratio7.07x
P/B Ratio2.88x
P/S Ratio0.16x
EV/EBITDA Ratio4.77x
DIVIDEND ANALYSIS
DIVIDEND YIELD
0.81%
PAYOUT RATIO5.22%
3 YR DIVIDEND GROWTH6.78%
FINANCIAL STRENGTH
PIOTROSKI F SCORE
4 OUT OF 9
DEBT-TO-EQUITY65%
INTEREST COVERAGE10.9x
CURRENT RATIO1.05
MOAT
ROE39.5%
ROIC36.48%
Net Margin2.62%
GROWTH
5 YR EPS GROWTH32.98%
5 YR SPS GROWTH10.1%
5 YR BPS GROWTH12.59%

TICKRZ RANK
McKesson Corp receives an A ranking in our multi-factor model that blends valuation, moat, operational performance, and financial strength. View the tickrz MFM Screener here.

PURE VALUE
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. McKesson Corp's valuation score is comprised of a P/E ratio of 7.1x, a P/B ratio of 2.9x, a P/S ratio of 0.2x, and an EV/EBITDA ratio of 4.8x. McKesson Corp ranks 14 out of the S&P 500 constituents on valuation--a relatively strong score.

WARREN BUFFETT RANKING
McKesson Corp ranks 24 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a strong score, meaning it ranks highly on valuation, moat, volatility, and financial strength factors. If you're looking for undervalued stocks with high moats and strong competitive advantages, McKesson Corp warrants further investigation.

MOAT
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our approach concludes the company's business moat is average. Our analysis of its moat reveals neither a durable moat or enduring competitive advantages.

FINANCIAL STRENGTH
McKesson Corp has a Piotroski F Score of 4 out of 9. The F Score examines changes in profitability, leverage, liquidity, and operating efficiency. Interest coverage of 10.9x, a debt/equity ratio of 65% and a Moat Rank of 132 translate to a weak Financial Strength score.

MOMENTUM
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors.The company has seen its stock fall by -2.08% over the last 12 months. This performance is weak compared to other stocks in the S&P 500, earning it a rank of 347. Based on its 12 month stock performance, McKesson Corp will not appeal to momentum investors.

VALUE + YIELD
Shares currently yield 0.81%. Our dividend ranking approach looks at a company's dividend growth rate, payout ratio, business moat, and valuation. Based on our methodology, McKesson Corp ranks 19 among the S&P 500 constituents. Investors looking for undervalued dividend stocks will want to closely investigate McKesson Corp.

GROWTH
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. The company's growth in sales, earnings, and book value places it among the top third of S&P 500 companies. Its 33% 5 year annualized EPS growth, 10.1% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of 12.6% speak to its impressive growth ranking.