Cencora, Inc. (COR) vs McKesson Corporation (MCK)

Cencora, Inc. and McKesson Corporation are both Medical Distribution companies. McKesson Corporation is the larger, with a market value of $101.8B against $59.1B — 1.7× the size. Cencora, Inc. trades at the lower P/E: 22.7× against 23.1×. McKesson Corporation grew revenue faster over the last twelve months: 8.84% against 5.09%. McKesson Corporation has the higher net margin (1.12% vs 0.79%) and the higher return on invested capital (70.5% vs 15.7%). Both pay a dividend; Cencora, Inc. yields more (0.89% vs 0.47%). Across the 21 metrics below, Cencora, Inc. leads on 11 and McKesson Corporation on 10.

Valuation

Metric COR MCK Medical Distribution median
P/E 22.70 23.09 —
P/S 0.18 0.25 0.23
P/B 18.30 n/m —
Price to free cash flow 14.44 16.74 —
EV/EBITDA 16.59 15.49 15.49
EV/Sales 0.20 0.27 0.65
Earnings yield 4.41% 4.33% (22.94%)
Free cash flow yield 6.93% 5.97% (11.43%)

Profitability

Metric COR MCK Medical Distribution median
Gross margin 3.97% 3.64% 8.01%
Operating margin 0.91% 1.58% 0.46%
Net margin 0.79% 1.12% (6.08%)
Free cash flow margin 1.23% 1.50% 0.00%
Return on equity 96.34% (168.45%) 0.00%
Return on assets 3.33% 5.41% 0.00%
Return on invested capital 15.65% 70.49% 0.00%

Growth

Metric COR MCK Medical Distribution median
Revenue growth (TTM) 5.09% 8.84% 11.54%
EPS growth (last fiscal year) 5.71% 49.22% —
Revenue growth, 5-year CAGR 11.09% 11.11% 8.18%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric COR MCK Medical Distribution median
Debt to equity 3.62 (3.83) (0.34)
Current ratio 0.93 0.89 1.05
Net debt to EBITDA 0.89 1.10 (0.01)

Dividend

Metric COR MCK Medical Distribution median
Dividend yield 0.89% 0.47% —
Payout ratio 0.23 0.08 0.00

Size

Metric COR MCK Medical Distribution median
Market cap 59.13b 101.76b 172.03m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack