McKesson Stock: Is MCK Outperforming the Healthcare Sector?

Irving, Texas-based McKesson Corporation (MCK) distributes pharmaceuticals, medical-surgical supplies, and health and beauty care products principally in North America. Valued at a market cap of $107.4 billion, the company operates through four segments: U.S. Pharmaceutical, Prescription Technology Solutions (RxTS), Medical-Surgical Solutions, and International. 

Companies with a market cap of $10 billion or more are typically called “large-cap stocks.” MCK fits squarely into that category, with a market cap above this threshold that reflects its substantial size and influence in the medical distribution industry.   

However, the stock currently trades 7.8% below its 52-week high of $999 recorded on Mar. 3. MCK has surged 24.6% over the past three months, outperforming the State Street Healthcare Select Sector SPDR ETF’s (XLV) 17.4% rise during the same time frame.   

In the longer term, MCK has delivered a similar performance. The stock has grown 33.4% over the past 52 weeks, outperforming the 26.6% surge of XLV over the same period. MCK has been trading above its 200-day moving average since August and also above its 50-day moving average since July, indicating bullish momentum. 

On Aug. 5, MCK stock rose 5.6% following the release of its Q1 2027 earnings. The company’s revenue for the quarter rose 7.7% from the prior year’s quarter to $105.4 billion and surpassed the Street’s estimates. Moreover, its adjusted EPS amounted to $9.93, also topping Wall Street’s forecasts. On a more impressive note, the company slightly raised its full-year adjusted EPS guidance to $44.60 at the midpoint.

When stacked against its rival, Cencora, Inc. (COR) has surged 14.3% over the past year, lagging behind MCK.  

Wall Street has a highly bullish view of the stock currently. Among the 19 analysts tracking MCK, the overall consensus stands at a “Strong Buy.” Its mean price target of $984.29 suggests a 6.8% upside potential from current price levels.  

On the date of publication, Aritra Gangopadhyay did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.