AstraZeneca PLC (AZN)vsMcKesson Corporation (MCK)
AZN
AstraZeneca PLC
$188.41
+1.47%
HEALTHCARE · Cap: $284.30B
MCK
McKesson Corporation
$763.51
+2.47%
HEALTHCARE · Cap: $89.39B
Smart Verdict
WallStSmart Research — data-driven comparison
McKesson Corporation generates 567% more annual revenue ($403.43B vs $60.44B). AZN leads profitability with a 17.2% profit margin vs 1.2%. AZN appears more attractively valued with a PEG of 1.38. AZN earns a higher WallStSmart Score of 64/100 (C+).
AZN
Buy64
out of 100
Grade: C+
MCK
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+5.9%
Fair Value
$194.57
Current Price
$188.41
$6.16 discount
Margin of Safety
-65.1%
Fair Value
$577.34
Current Price
$763.51
$186.17 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 22 in profit
Strong operational efficiency at 27.9%
Generating 1.8B in free cash flow
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Large-cap with strong market position
Earnings expanding 37.2% YoY
Generating 3.3B in free cash flow
Areas to Watch
Moderate valuation
Distress zone — elevated risk
ROE of 0.0% — below average capital efficiency
1.2% margin — thin
Operating margin of 2.2%
Comparative Analysis Report
WallStSmart ResearchBull Case : AZN
The strongest argument for AZN centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 17.2% and operating margin at 27.9%. Revenue growth of 12.5% demonstrates continued momentum.
Bull Case : MCK
The strongest argument for MCK centers on Debt/Equity, Altman Z-Score, Market Cap. PEG of 1.49 suggests the stock is reasonably priced for its growth.
Bear Case : AZN
The primary concerns for AZN are P/E Ratio, Altman Z-Score.
Bear Case : MCK
The primary concerns for MCK are Return on Equity, Profit Margin, Operating Margin. Thin 1.2% margins leave little buffer for downturns.
Key Dynamics to Monitor
AZN profiles as a mature stock while MCK is a value play — different risk/reward profiles.
MCK carries more volatility with a beta of 0.32 — expect wider price swings.
AZN is growing revenue faster at 12.5% — sustainability is the question.
MCK generates stronger free cash flow (3.3B), providing more financial flexibility.
Bottom Line
AZN scores higher overall (64/100 vs 55/100), backed by strong 17.2% margins and 12.5% revenue growth. 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.
AstraZeneca PLC
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
AstraZeneca PLC discovers, develops, manufactures and markets prescription drugs in the areas of oncology, cardiovascular, renal and metabolism, respiratory, infections, neuroscience and gastroenterology worldwide. The company is headquartered in Cambridge, the United Kingdom.
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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