McKesson Corporation (MCK)vsThermo Fisher Scientific Inc (TMO)
MCK
McKesson Corporation
$879.75
-0.25%
HEALTHCARE · Cap: $108.85B
TMO
Thermo Fisher Scientific Inc
$490.77
+0.10%
HEALTHCARE · Cap: $182.14B
Smart Verdict
WallStSmart Research — data-driven comparison
McKesson Corporation generates 793% more annual revenue ($397.96B vs $44.56B). TMO leads profitability with a 15.0% profit margin vs 1.1%. MCK appears more attractively valued with a PEG of 1.07. TMO earns a higher WallStSmart Score of 59/100 (C).
MCK
Buy57
out of 100
Grade: C
TMO
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+41.2%
Fair Value
$1622.09
Current Price
$879.75
$742.34 discount
Margin of Safety
-27.5%
Fair Value
$384.82
Current Price
$490.77
$105.95 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Large-cap with strong market position
Earnings expanding 38.0% YoY
Generating 1.1B in free cash flow
Large-cap with strong market position
Strong operational efficiency at 21.2%
Generating 3.0B in free cash flow
Areas to Watch
Moderate valuation
ROE of 0.0% — below average capital efficiency
1.1% margin — thin
Operating margin of 1.6%
Expensive relative to growth rate
Moderate valuation
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : TMO
The strongest argument for TMO centers on Market Cap, Operating Margin, Free Cash Flow.
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.
Bear Case : TMO
The primary concerns for TMO are PEG Ratio, P/E Ratio, Piotroski F-Score.
Key Dynamics to Monitor
TMO carries more volatility with a beta of 0.97 — expect wider price swings.
MCK is growing revenue faster at 11.4% — sustainability is the question.
TMO generates stronger free cash flow (3.0B), providing more financial flexibility.
Monitor MEDICAL DISTRIBUTION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TMO scores higher overall (59/100 vs 57/100). MCK offers better value entry with a 41.2% margin of safety. 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.
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.
Visit Website →Thermo Fisher Scientific Inc
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Thermo Fisher Scientific is an American provisioner of scientific instrumentation, reagents and consumables, and software and services to healthcare, life science, and other laboratories in academia, government, and industry (including in the biotechnology and pharmaceutical sectors). Based in Waltham, Massachusetts, Thermo Fisher was created in 2006 by the merger of Thermo Electron and Fisher Scientific, to form a company with US$ 9 billion in combined revenues.
Visit Website →Compare with Other MEDICAL DISTRIBUTION Stocks
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