WallStSmart

Deere & Company (DE)vsMcKesson Corporation (MCK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McKesson Corporation generates 752% more annual revenue ($397.96B vs $46.73B). MCK leads profitability with a 109.0% profit margin vs 10.3%. MCK appears more attractively valued with a PEG of 1.08. MCK earns a higher WallStSmart Score of 57/100 (C).

DE

Buy

51

out of 100

Grade: C-

Growth: 3.3Profit: 6.5Value: 7.3Quality: 6.3
Piotroski: 3/9Altman Z: 2.18

MCK

Buy

57

out of 100

Grade: C

Growth: 8.0Profit: 6.0Value: 10.0Quality: 7.0
Piotroski: 4/9Altman Z: 5.22
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DESignificantly Overvalued (-391.1%)

Margin of Safety

-391.1%

Fair Value

$118.73

Current Price

$583.02

$464.29 premium

UndervaluedFair: $118.73Overvalued
MCKUndervalued (+41.2%)

Margin of Safety

+41.2%

Fair Value

$1621.15

Current Price

$881.94

$739.21 discount

UndervaluedFair: $1621.15Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DE1 strengths · Avg: 9.0/10
Market CapQuality
$151.19B9/10

Large-cap with strong market position

MCK6 strengths · Avg: 9.2/10
Profit MarginProfitability
109.0%10/10

Keeps 109 of every $100 in revenue as profit

Debt/EquityHealth
-6.6410/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
5.2210/10

Safe zone — low bankruptcy risk

Market CapQuality
$109.34B9/10

Large-cap with strong market position

EPS GrowthGrowth
38.0%8/10

Earnings expanding 38.0% YoY

Free Cash FlowQuality
$1.12B8/10

Generating 1.1B in free cash flow

Areas to Watch

DE4 concerns · Avg: 3.3/10
PEG RatioValuation
1.694/10

Expensive relative to growth rate

P/E RatioValuation
32.1x4/10

Premium valuation, high expectations priced in

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

EPS GrowthGrowth
-24.1%2/10

Earnings declined 24.1%

MCK3 concerns · Avg: 3.3/10
P/E RatioValuation
25.6x4/10

Moderate valuation

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Operating MarginProfitability
1.6%3/10

Operating margin of 1.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : DE

The strongest argument for DE centers on Market Cap. Revenue growth of 13.0% demonstrates continued momentum.

Bull Case : MCK

The strongest argument for MCK centers on Profit Margin, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 109.0% and operating margin at 1.6%. Revenue growth of 11.4% demonstrates continued momentum.

Bear Case : DE

The primary concerns for DE are PEG Ratio, P/E Ratio, Piotroski F-Score.

Bear Case : MCK

The primary concerns for MCK are P/E Ratio, Return on Equity, Operating Margin.

Key Dynamics to Monitor

DE profiles as a value stock while MCK is a mature play — different risk/reward profiles.

DE carries more volatility with a beta of 0.96 — expect wider price swings.

DE is growing revenue faster at 13.0% — sustainability is the question.

MCK generates stronger free cash flow (1.1B), providing more financial flexibility.

Bottom Line

MCK scores higher overall (57/100 vs 51/100), backed by strong 109.0% margins and 11.4% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Deere & Company

INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA

John Deere is the brand name of Deere & Company, an American corporation that manufactures agricultural, construction, and forestry machinery, diesel engines, drivetrains (axles, transmissions, gearboxes) used in heavy equipment, and lawn care equipment.

McKesson Corporation

HEALTHCARE · MEDICAL DISTRIBUTION · USA

McKesson Corporation is an American company distributing pharmaceuticals and providing health information technology, medical supplies, and care management tools.

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