McKesson Corporation (MCK)vsVerizon Communications Inc (VZ)
MCK
McKesson Corporation
$879.75
-0.25%
HEALTHCARE · Cap: $108.85B
VZ
Verizon Communications Inc
$50.37
-1.06%
COMMUNICATION SERVICES · Cap: $214.72B
Smart Verdict
WallStSmart Research — data-driven comparison
McKesson Corporation generates 188% more annual revenue ($397.96B vs $138.19B). VZ leads profitability with a 12.4% profit margin vs 1.1%. MCK appears more attractively valued with a PEG of 1.07. VZ earns a higher WallStSmart Score of 62/100 (C+).
MCK
Buy57
out of 100
Grade: C
VZ
Buy62
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
-82.4%
Fair Value
$27.61
Current Price
$50.37
$22.76 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
Mega-cap, among the largest globally
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 21.0%
Generating 4.4B 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%
2.0% revenue growth
Weak financial health signals
Earnings declined 53.3%
Distress zone — elevated risk
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 : VZ
The strongest argument for VZ centers on Market Cap, P/E Ratio, Price/Book. PEG of 1.23 suggests the stock is reasonably priced for its growth.
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 : VZ
The primary concerns for VZ are Revenue Growth, Piotroski F-Score, EPS Growth.
Key Dynamics to Monitor
MCK carries more volatility with a beta of 0.35 — expect wider price swings.
MCK is growing revenue faster at 11.4% — sustainability is the question.
VZ generates stronger free cash flow (4.4B), providing more financial flexibility.
Monitor MEDICAL DISTRIBUTION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
VZ scores higher overall (62/100 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 →Verizon Communications Inc
COMMUNICATION SERVICES · TELECOM SERVICES · USA
Verizon Communications Inc. is an American multinational telecommunications conglomerate and a corporate component of the Dow Jones Industrial Average. The company is headquartered at 1095 Avenue of the Americas in Midtown Manhattan, New York City, but is incorporated in Delaware.
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