WallStSmart

Jabil Circuit Inc (JBL)vsMcKesson Corporation (MCK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

McKesson Corporation generates 1118% more annual revenue ($397.96B vs $32.67B). JBL leads profitability with a 2.5% profit margin vs 1.1%. JBL appears more attractively valued with a PEG of 0.82. JBL earns a higher WallStSmart Score of 70/100 (B).

JBL

Strong Buy

70

out of 100

Grade: B

Growth: 6.7Profit: 6.0Value: 9.3Quality: 4.8
Piotroski: 3/9Altman Z: 2.35

MCK

Buy

57

out of 100

Grade: C

Growth: 8.0Profit: 4.5Value: 10.0Quality: 7.0
Piotroski: 4/9Altman Z: 5.22
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

JBLUndervalued (+24.9%)

Margin of Safety

+24.9%

Fair Value

$347.72

Current Price

$283.24

$64.48 discount

UndervaluedFair: $347.72Overvalued
MCKUndervalued (+41.2%)

Margin of Safety

+41.2%

Fair Value

$1622.09

Current Price

$879.75

$742.34 discount

UndervaluedFair: $1622.09Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JBL4 strengths · Avg: 9.0/10
Return on EquityProfitability
59.7%10/10

Every $100 of equity generates 60 in profit

EPS GrowthGrowth
96.2%10/10

Earnings expanding 96.2% YoY

PEG RatioValuation
0.828/10

Growing faster than its price suggests

Revenue GrowthGrowth
23.1%8/10

Revenue surging 23.1% year-over-year

MCK5 strengths · Avg: 9.0/10
Debt/EquityHealth
-6.6410/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
5.2210/10

Safe zone — low bankruptcy risk

Market CapQuality
$108.85B9/10

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

JBL4 concerns · Avg: 3.3/10
P/E RatioValuation
37.3x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
2.5%3/10

2.5% margin — thin

Operating MarginProfitability
4.7%3/10

Operating margin of 4.7%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

MCK4 concerns · Avg: 3.3/10
P/E RatioValuation
25.4x4/10

Moderate valuation

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Profit MarginProfitability
1.1%3/10

1.1% margin — thin

Operating MarginProfitability
1.6%3/10

Operating margin of 1.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : JBL

The strongest argument for JBL centers on Return on Equity, EPS Growth, PEG Ratio. Revenue growth of 23.1% demonstrates continued momentum. PEG of 0.82 suggests the stock is reasonably priced for its growth.

Bull Case : MCK

The strongest argument for MCK centers on Debt/Equity, Altman Z-Score, Market Cap. Revenue growth of 11.4% demonstrates continued momentum. PEG of 1.07 suggests the stock is reasonably priced for its growth.

Bear Case : JBL

The primary concerns for JBL are P/E Ratio, Profit Margin, Operating Margin. Thin 2.5% margins leave little buffer for downturns.

Bear Case : MCK

The primary concerns for MCK are P/E Ratio, Return on Equity, Profit Margin. Thin 1.1% margins leave little buffer for downturns.

Key Dynamics to Monitor

JBL profiles as a growth stock while MCK is a value play — different risk/reward profiles.

JBL carries more volatility with a beta of 1.18 — expect wider price swings.

JBL is growing revenue faster at 23.1% — sustainability is the question.

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

Bottom Line

JBL scores higher overall (70/100 vs 57/100) and 23.1% revenue growth. MCK offers better value entry with a 41.2% margin of safety. Both earn "Strong 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.

Jabil Circuit Inc

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

Jabil Inc. provides global manufacturing solutions and services. The company is headquartered in Saint Petersburg, Florida.

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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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