Emerson Electric Company (EMR)vsMcKesson Corporation (MCK)
EMR
Emerson Electric Company
$130.86
+0.55%
INDUSTRIALS · Cap: $73.18B
MCK
McKesson Corporation
$879.75
-0.25%
HEALTHCARE · Cap: $108.85B
Smart Verdict
WallStSmart Research — data-driven comparison
McKesson Corporation generates 2088% more annual revenue ($397.96B vs $18.19B). EMR leads profitability with a 12.7% profit margin vs 1.1%. MCK appears more attractively valued with a PEG of 1.07. MCK earns a higher WallStSmart Score of 57/100 (C).
EMR
Buy51
out of 100
Grade: C-
MCK
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-159.6%
Fair Value
$59.58
Current Price
$130.86
$71.28 premium
Margin of Safety
+41.2%
Fair Value
$1622.09
Current Price
$879.75
$742.34 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Strong operational efficiency at 24.6%
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
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
4.1% revenue growth
4.9% earnings growth
Moderate valuation
ROE of 0.0% — below average capital efficiency
1.1% margin — thin
Operating margin of 1.6%
Comparative Analysis Report
WallStSmart ResearchBull Case : EMR
The strongest argument for EMR centers on Market Cap, Operating Margin.
Bull 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.
Bear Case : EMR
The primary concerns for EMR are PEG Ratio, P/E Ratio, Revenue 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.
Key Dynamics to Monitor
EMR carries more volatility with a beta of 1.24 — expect wider price swings.
MCK is growing revenue faster at 11.4% — sustainability is the question.
MCK generates stronger free cash flow (1.1B), providing more financial flexibility.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
MCK scores higher overall (57/100 vs 51/100) and 11.4% 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.
Emerson Electric Company
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Emerson Electric Co. is an American multinational corporation headquartered in Ferguson, Missouri. The Fortune 500 company manufactures products and provides engineering services for a wide range of industrial, commercial, and consumer markets.
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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