McKesson Cost of Revenue vs Operating Margin Analysis

MCK Stock  USD 535.42  3.42  0.64%   
McKesson financial indicator trend analysis is infinitely more than just investigating McKesson recent accounting drivers to predict future trends. We encourage investors to analyze account correlations over time for multiple indicators to determine whether McKesson is a good investment. Please check the relationship between McKesson Cost Of Revenue and its Operating Profit Margin accounts. Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in McKesson. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in main economic indicators.
For more information on how to buy McKesson Stock please use our How to buy in McKesson Stock guide.

Cost Of Revenue vs Operating Profit Margin

Cost of Revenue vs Operating Margin Correlation Analysis

The overlapping area represents the amount of trend that can be explained by analyzing historical patterns of McKesson Cost of Revenue account and Operating Margin. At this time, the significance of the direction appears to have almost no relationship.
The correlation between McKesson's Cost of Revenue and Operating Margin is 0.11. Overlapping area represents the amount of variation of Cost of Revenue that can explain the historical movement of Operating Margin in the same time period over historical financial statements of McKesson, assuming nothing else is changed. The correlation between historical values of McKesson's Cost of Revenue and Operating Margin is a relative statistical measure of the degree to which these accounts tend to move together. The correlation coefficient measures the extent to which Cost of Revenue of McKesson are associated (or correlated) with its Operating Margin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when Operating Margin has no effect on the direction of Cost of Revenue i.e., McKesson's Cost of Revenue and Operating Margin go up and down completely randomly.

Correlation Coefficient

0.11
Relationship DirectionPositive 
Relationship StrengthInsignificant

Cost Of Revenue

Cost of Revenue is found on McKesson income statement and represents the costs associated with goods and services McKesson provides. Indirect cost, such as salaries, is not included. In other words, cost of revenue is the total cost incurred to obtain a sale. It is more than the traditional cost of goods sold, since it includes specific selling and marketing activities.

Operating Profit Margin

Most indicators from McKesson's fundamental ratios are interrelated and interconnected. However, analyzing fundamental ratios indicators one by one will only give a small insight into McKesson current financial condition. On the other hand, looking into the entire matrix of fundamental ratios indicators, and analyzing their relationships over time can provide a more complete picture of the company financial strength now and in the future. Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in McKesson. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in main economic indicators.
For more information on how to buy McKesson Stock please use our How to buy in McKesson Stock guide.At this time, McKesson's Selling General Administrative is quite stable compared to the past year. Tax Provision is expected to rise to about 855.2 M this year, although the value of Sales General And Administrative To Revenue will most likely fall to 0.05.
 2021 2022 2023 2024 (projected)
Gross Profit13.1B12.4B14.2B14.9B
Total Revenue264.0B276.7B318.2B334.1B

McKesson fundamental ratios Correlations

0.690.270.96-0.190.850.530.620.940.760.760.680.760.990.070.930.970.25-0.550.960.850.980.670.520.760.61
0.690.260.530.260.490.860.740.470.60.870.730.60.650.310.580.550.18-0.110.550.490.620.70.850.230.57
0.270.260.28-0.080.020.250.30.180.110.230.10.110.220.160.220.250.75-0.250.270.020.290.290.180.15-0.15
0.960.530.28-0.440.920.310.50.990.770.580.510.770.97-0.130.950.990.3-0.741.00.920.990.60.280.870.47
-0.190.26-0.08-0.44-0.570.520.33-0.46-0.360.310.34-0.36-0.210.78-0.46-0.39-0.30.82-0.45-0.57-0.330.010.6-0.70.21
0.850.490.020.92-0.570.230.330.930.780.470.40.780.87-0.330.930.910.22-0.770.931.00.90.510.170.880.43
0.530.860.250.310.520.230.670.270.20.830.650.20.480.40.350.330.180.170.330.230.410.520.92-0.020.46
0.620.740.30.50.330.330.670.480.360.830.620.360.610.390.40.52-0.03-0.210.480.330.540.450.720.150.36
0.940.470.180.99-0.460.930.270.480.740.570.50.740.96-0.190.940.990.21-0.740.990.930.970.530.240.890.49
0.760.60.110.77-0.360.780.20.360.740.410.441.00.750.060.80.790.08-0.60.790.780.810.730.30.640.46
0.760.870.230.580.310.470.830.830.570.410.830.410.730.260.610.620.12-0.090.60.470.660.50.820.350.67
0.680.730.10.510.340.40.650.620.50.440.830.440.670.410.530.540.080.050.520.40.60.560.620.320.92
0.760.60.110.77-0.360.780.20.360.741.00.410.440.750.060.80.790.08-0.60.790.780.810.730.30.640.46
0.990.650.220.97-0.210.870.480.610.960.750.730.670.750.040.910.970.21-0.560.960.870.980.650.460.770.62
0.070.310.16-0.130.78-0.330.40.39-0.190.060.260.410.060.04-0.18-0.07-0.10.47-0.14-0.33-0.010.280.55-0.440.22
0.930.580.220.95-0.460.930.350.40.940.80.610.530.80.91-0.180.950.31-0.690.970.930.950.580.340.910.52
0.970.550.250.99-0.390.910.330.520.990.790.620.540.790.97-0.070.950.24-0.710.990.910.990.590.330.870.51
0.250.180.750.3-0.30.220.18-0.030.210.080.120.080.080.21-0.10.310.24-0.260.310.220.30.15-0.050.31-0.09
-0.55-0.11-0.25-0.740.82-0.770.17-0.21-0.74-0.6-0.090.05-0.6-0.560.47-0.69-0.71-0.26-0.74-0.77-0.66-0.270.19-0.780.08
0.960.550.271.0-0.450.930.330.480.990.790.60.520.790.96-0.140.970.990.31-0.740.930.990.60.30.890.49
0.850.490.020.92-0.571.00.230.330.930.780.470.40.780.87-0.330.930.910.22-0.770.930.90.510.170.880.43
0.980.620.290.99-0.330.90.410.540.970.810.660.60.810.98-0.010.950.990.3-0.660.990.90.660.380.820.54
0.670.70.290.60.010.510.520.450.530.730.50.560.730.650.280.580.590.15-0.270.60.510.660.530.320.51
0.520.850.180.280.60.170.920.720.240.30.820.620.30.460.550.340.33-0.050.190.30.170.380.53-0.060.44
0.760.230.150.87-0.70.88-0.020.150.890.640.350.320.640.77-0.440.910.870.31-0.780.890.880.820.32-0.060.39
0.610.57-0.150.470.210.430.460.360.490.460.670.920.460.620.220.520.51-0.090.080.490.430.540.510.440.39
Click cells to compare fundamentals

McKesson Account Relationship Matchups

McKesson fundamental ratios Accounts

201920202021202220232024 (projected)
Total Assets61.2B65.0B63.3B62.3B71.7B75.3B
Short Long Term Debt Total9.4B9.4B7.5B7.3B8.4B4.6B
Other Current Liab683M9M9.3B4.2B4.8B2.8B
Total Current Liabilities42.6B44.1B48.5B48.0B55.2B57.9B
Total Stockholder Equity5.1B(21M)(2.3B)(1.9B)(2.1B)(2.0B)
Property Plant And Equipment Net4.3B4.7B3.6B3.8B4.4B4.6B
Net Debt5.4B3.1B4.0B2.6B3.0B2.1B
Retained Earnings13.0B8.2B9.0B12.3B14.1B7.2B
Accounts Payable37.2B39.0B38.1B42.5B48.9B51.3B
Cash4.0B6.3B3.5B4.7B5.4B5.6B
Non Current Assets Total19.0B19.6B17.1B18.0B20.7B10.7B
Non Currrent Assets Other2.3B2.6B1.9B2.0B2.3B1.6B
Cash And Short Term Investments4.0B6.3B3.5B4.7B5.4B5.6B
Net Receivables20.0B19.2B18.6B19.4B22.3B23.4B
Common Stock Shares Outstanding182M160.6M154.1M142.2M128.0M186.9M
Liabilities And Stockholders Equity61.2B65.0B63.3B62.3B71.7B75.3B
Non Current Liabilities Total11.9B19.5B16.6B15.9B18.2B19.1B
Inventory16.7B19.2B18.7B19.7B22.6B23.8B
Other Current Assets617M665M5.4B496M570.4M674.8M
Other Stockholder Equity(6.2B)(6.7B)(9.8B)(13.3B)(11.9B)(11.3B)
Total Liab54.5B63.6B65.1B63.8B73.4B77.1B
Property Plant And Equipment Gross4.3B4.7B3.6B3.8B4.4B4.6B
Total Current Assets42.2B45.4B46.2B44.3B50.9B53.5B
Accumulated Other Comprehensive Income(1.7B)(1.5B)(1.5B)(905M)(814.5M)(855.2M)
Short Term Debt1.4B1.1B1.1B1.3B1.5B1.5B
Intangible Assets3.2B2.9B2.1B2.3B2.6B2.0B
Other Liab3.9B11.2B10.1B9.8B11.3B11.8B
Other Assets1.9B2.6B1.3B1.8B2.0B1.7B
Long Term Debt6.3B6.4B5.1B4.6B5.3B4.4B
Treasury Stock(8.9B)(12.9B)(13.7B)(17.0B)(15.3B)(14.6B)
Property Plant Equipment2.4B2.6B2.1B2.2B2.5B1.5B
Good Will9.4B9.5B9.5B9.9B11.4B6.7B
Net Tangible Assets(4.4B)(9.3B)(12.4B)(12.7B)(11.4B)(10.8B)
Noncontrolling Interest In Consolidated Entity217M196M480M367M422.1M302.3M
Retained Earnings Total Equity13.0B8.2B9.0B12.3B14.1B11.7B

Building efficient market-beating portfolios requires time, education, and a lot of computing power!

The Portfolio Architect is an AI-driven system that provides multiple benefits to our users by leveraging cutting-edge machine learning algorithms, statistical analysis, and predictive modeling to automate the process of asset selection and portfolio construction, saving time and reducing human error for individual and institutional investors.

Try AI Portfolio Architect
When determining whether McKesson is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if McKesson Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Mckesson Stock. Highlighted below are key reports to facilitate an investment decision about Mckesson Stock:
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in McKesson. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in main economic indicators.
For more information on how to buy McKesson Stock please use our How to buy in McKesson Stock guide.
Note that the McKesson information on this page should be used as a complementary analysis to other McKesson's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.

Complementary Tools for McKesson Stock analysis

When running McKesson's price analysis, check to measure McKesson's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy McKesson is operating at the current time. Most of McKesson's value examination focuses on studying past and present price action to predict the probability of McKesson's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move McKesson's price. Additionally, you may evaluate how the addition of McKesson to your portfolios can decrease your overall portfolio volatility.
Economic Indicators
Top statistical indicators that provide insights into how an economy is performing
Stock Tickers
Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites
Competition Analyzer
Analyze and compare many basic indicators for a group of related or unrelated entities
Funds Screener
Find actively-traded funds from around the world traded on over 30 global exchanges
Portfolio Backtesting
Avoid under-diversification and over-optimization by backtesting your portfolios
Instant Ratings
Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance
USA ETFs
Find actively traded Exchange Traded Funds (ETF) in USA
Efficient Frontier
Plot and analyze your portfolio and positions against risk-return landscape of the market.
Commodity Channel
Use Commodity Channel Index to analyze current equity momentum
Crypto Correlations
Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins
Is McKesson's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of McKesson. If investors know McKesson will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about McKesson listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.42)
Dividend Share
2.32
Earnings Share
22.11
Revenue Per Share
2.2 K
Quarterly Revenue Growth
0.148
The market value of McKesson is measured differently than its book value, which is the value of McKesson that is recorded on the company's balance sheet. Investors also form their own opinion of McKesson's value that differs from its market value or its book value, called intrinsic value, which is McKesson's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because McKesson's market value can be influenced by many factors that don't directly affect McKesson's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between McKesson's value and its price as these two are different measures arrived at by different means. Investors typically determine if McKesson is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, McKesson's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.