Citigroup Inc. (C)vsMcKesson Corporation (MCK)
C
Citigroup Inc.
$125.55
-2.74%
FINANCIAL SERVICES · Cap: $225.82B
MCK
McKesson Corporation
$736.09
-2.47%
HEALTHCARE · Cap: $92.45B
Smart Verdict
WallStSmart Research — data-driven comparison
McKesson Corporation generates 405% more annual revenue ($397.96B vs $78.73B). C leads profitability with a 20.4% profit margin vs 1.1%. C appears more attractively valued with a PEG of 0.71. C earns a higher WallStSmart Score of 82/100 (A-).
C
Exceptional Buy82
out of 100
Grade: A-
MCK
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for C.
Margin of Safety
+63.8%
Fair Value
$2633.47
Current Price
$736.09
$1897.38 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Reasonable price relative to book value
Strong operational efficiency at 34.1%
Earnings expanding 56.1% YoY
Keeps 20 of every $100 in revenue as profit
Growing faster than its price suggests
Conservative balance sheet, low leverage
Large-cap with strong market position
Growing faster than its price suggests
Earnings expanding 38.0% YoY
Generating 3.4B in free cash flow
Areas to Watch
ROE of 7.7% — below average capital efficiency
Negative free cash flow — burning cash
ROE of 0.0% — below average capital efficiency
1.1% margin — thin
Operating margin of 1.6%
Comparative Analysis Report
WallStSmart ResearchBull Case : C
The strongest argument for C centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 20.4% and operating margin at 34.1%. Revenue growth of 16.9% demonstrates continued momentum.
Bull Case : MCK
The strongest argument for MCK centers on Debt/Equity, Market Cap, PEG Ratio. Revenue growth of 11.4% demonstrates continued momentum. PEG of 0.90 suggests the stock is reasonably priced for its growth.
Bear Case : C
The primary concerns for C are Return on Equity, Free Cash Flow.
Bear Case : MCK
The primary concerns for MCK are Return on Equity, Profit Margin, Operating Margin. Thin 1.1% margins leave little buffer for downturns.
Key Dynamics to Monitor
C profiles as a growth stock while MCK is a value play — different risk/reward profiles.
C carries more volatility with a beta of 1.12 — expect wider price swings.
C is growing revenue faster at 16.9% — sustainability is the question.
MCK generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
C scores higher overall (82/100 vs 62/100), backed by strong 20.4% margins and 16.9% revenue growth. MCK offers better value entry with a 63.8% margin of safety. Both earn "Exceptional 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.
Citigroup Inc.
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Citigroup Inc. is an American multinational investment bank and financial services corporation headquartered in New York City. The company was formed by the merger of banking giant Citicorp and financial conglomerate Travelers Group in 1998; Travelers was subsequently spun off from the company in 2002. Citigroup owns Citicorp, the holding company for Citibank, as well as several international subsidiaries. Citigroup is incorporated in Delaware.
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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