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MCK (McKesson) EV-to-EBITDA : 14.84 (As of Oct. 31, 2024)


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What is McKesson EV-to-EBITDA?

EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, McKesson's enterprise value is $69,848 Mil. McKesson's EBITDA for the trailing twelve months (TTM) ended in Jun. 2024 was $4,707 Mil. Therefore, McKesson's EV-to-EBITDA for today is 14.84.

The historical rank and industry rank for McKesson's EV-to-EBITDA or its related term are showing as below:

MCK' s EV-to-EBITDA Range Over the Past 10 Years
Min: -10.28   Med: 13.33   Max: 86.24
Current: 14.84

During the past 13 years, the highest EV-to-EBITDA of McKesson was 86.24. The lowest was -10.28. And the median was 13.33.

MCK's EV-to-EBITDA is ranked worse than
75.29% of 85 companies
in the Medical Distribution industry
Industry Median: 9.45 vs MCK: 14.84

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.

As of today (2024-10-31), McKesson's stock price is $500.59. McKesson's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2024 was $22.360. Therefore, McKesson's PE Ratio (TTM) for today is 22.39.

The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio (TTM).


McKesson EV-to-EBITDA Historical Data

The historical data trend for McKesson's EV-to-EBITDA can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

McKesson EV-to-EBITDA Chart

McKesson Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
EV-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.49 -9.01 17.05 9.37 15.65

McKesson Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
EV-to-EBITDA Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 11.25 11.96 15.06 15.65 17.25

Competitive Comparison of McKesson's EV-to-EBITDA

For the Medical Distribution subindustry, McKesson's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


McKesson's EV-to-EBITDA Distribution in the Medical Distribution Industry

For the Medical Distribution industry and Healthcare sector, McKesson's EV-to-EBITDA distribution charts can be found below:

* The bar in red indicates where McKesson's EV-to-EBITDA falls into.



McKesson EV-to-EBITDA Calculation

McKesson's EV-to-EBITDA for today is calculated as:

EV-to-EBITDA=Enterprise Value (Today)/EBITDA (TTM)
=69847.794/4707
=14.84

McKesson's current Enterprise Value is $69,848 Mil.
McKesson's EBITDA for the trailing twelve months (TTM) ended in Jun. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $4,707 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


McKesson  (NYSE:MCK) EV-to-EBITDA Explanation

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.

McKesson's PE Ratio (TTM) for today is calculated as:

PE Ratio (TTM)=Share Price (Today)/Earnings per Share (Diluted) (TTM)
=500.59/22.360
=22.39

McKesson's share price for today is $500.59.
McKesson's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $22.360.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).

Please read Which price ratio outperforms the enterprise multiple?


McKesson EV-to-EBITDA Related Terms

Thank you for viewing the detailed overview of McKesson's EV-to-EBITDA provided by GuruFocus.com. Please click on the following links to see related term pages.


McKesson Business Description

Address
6555 State Highway 161, Irving, TX, USA, 75039
McKesson Corp is one of three leading pharmaceutical wholesalers in the us engaged in sourcing and distributing branded, generic, and specialty pharmaceutical products to pharmacies (retail chains, independent, and mail order), hospitals networks, and healthcare providers. Along with Cencora and Cardinal Health, the three account for over 90% of the us pharmaceutical wholesale industry. Outside the us market, McKesson engages in pharmaceutical wholesale and distribution in Canada. Additionally, the company supplies medical-surgical products and equipment to healthcare facilities and provides a variety of technology solutions for pharmacies.
Executives
Brian S. Tyler officer: Chief Executive Officer MCKESSON CORPORATION, 6555 STATE HWY 161, IRVING TX 75039
Leann B Smith officer: EVP & Chief HR Officer 6555 NORTH STATE HWY 161, IRVING TX 75039
Maria Martinez director THE LANDMARK @ 1 MARKET STREET, SUITE 300, SAN FRANCISCO CA 94105
Thomas L Rodgers officer: EVP, Chief Strategy & BDO 6555 NORTH STATE HWY 161, IRVING TX 75039
Britt J. Vitalone officer: EVP & CFO MCKESSON CORPORATION, 6555 STATE HWY 161, IRVING TX 75039
Susan Nowakowski director 14778 EL RODEO CT., RANCHO SANTA FE CA 92067
Rutledge Napoleon B Jr officer: SVP, Controller & CAO 2999 WILDWOOD PARKWAY, ATLANTA GA 30339
Lori A. Schechter officer: EVP, Chief Legal Officer & GC MCKESSON CORPORATION, 6555 NORTH STATE HWY 161, IRVING TX 75039
Nancy Flores officer: EVP, CIO & CTO 6555 NORTH STATE HWY 161, IRVING TX 75039
Tracy Faber officer: EVP & Chief HR Officer 6555 NORTH STATE HWY 161, IRVING TX 75039
Donald R Knauss director P O BOX 1734, ATLANTA GA 30301
Bradley E Lerman director MEDTRONIC, INC., 710 MEDTRONIC PKWY MSLC300, MINNEAPOLIS MN 55432
Dominic J Caruso director JOHNSON & JOHNSON, ONE JOHNSON & JOHNSON PLAZA, NEW BRUNSWICK NJ 08933
Webster Roy Dunbar director 5757 N. GREEN BAY AVENUE, MILWAUKEE WI 53209
James H. Hinton director 6555 NORTH STATE HWY. 161, IRVING TX 75039