McKesson Stock Discussion

McKesson's statutory earnings may not reflect its true productivity due to a large unusual item. Its real earnings power could be less than its statutory profit. Investors should understand the risks, including the identified warning sign with McKesson, before investing.

Despite McKesson's EPS growth, market sentiment appears pessimistic. Improved shareholder return suggests business improvement, yet McKesson may not be the best stock to buy, with one warning sign to note.

Despite its weaker earnings outlook and slower expected growth, McKesson is trading at a similar P/E to the market, possibly setting investors up for future disappointment if the P/E aligns more with the growth outlook.

Despite McKesson's growing profits and EPS driving its stock performance, the market has moderated its growth expectations. Don't be disheartened, the firm's continued business growth may still present opportunities.

Analysts see continued financial growth for McKesson with new drug approvals adding revenue streams. Shares at 15.6 times forward earnings remain attractive. Strong return on equity and invested capital highlight difficult-to-copy distribution setup.