McKesson Net Income vs Gross Profit Analysis

MCK Stock

USD 518.81 7.11 1.35%

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 Net Income and its Gross Profit 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.

Net Income vs Gross Profit

Net Income vs Gross Profit Correlation Analysis

The overlapping area represents the amount of trend that can be explained by analyzing historical patterns of McKesson Net Income account and Gross Profit. At this time, the significance of the direction appears to have very week relationship.

The correlation between McKesson's Net Income and Gross Profit is 0.24. Overlapping area represents the amount of variation of Net Income that can explain the historical movement of Gross Profit in the same time period over historical financial statements of McKesson, assuming nothing else is changed. The correlation between historical values of McKesson's Net Income and Gross Profit is a relative statistical measure of the degree to which these accounts tend to move together. The correlation coefficient measures the extent to which Net Income of McKesson are associated (or correlated) with its Gross Profit. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when Gross Profit has no effect on the direction of Net Income i.e., McKesson's Net Income and Gross Profit go up and down completely randomly.

Correlation Coefficient

0.24

Relationship Direction	Positive
Relationship Strength	Very Weak

View All Relationships

Net Income

Net income is one of the most important fundamental items in finance. It plays a large role in McKesson financial statement analysis. It represents the amount of money remaining after all of McKesson operating expenses, interest, taxes and preferred stock dividends have been deducted from a company total revenue.

Gross Profit

Gross profit is a required income statement account that reflects total revenue of McKesson minus its cost of goods sold. It is profit before McKesson operating expenses, interest payments and taxes. Gross profit is also known as gross margin. The profit a company makes after deducting the costs associated with making and selling its products, or the costs associated with providing its services.

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 Profit	13.1B	12.4B	14.2B	14.9B
Total Revenue	264.0B	276.7B	318.2B	334.1B

Gross Profit Total Revenue

McKesson fundamental ratios Correlations

	Total Assets	Short Long Term Debt Total	Other Current Liab	Total Current Liabilities	Total Stockholder Equity	Property Plant And Equipment Net	Net Debt	Retained Earnings	Accounts Payable	Cash	Non Current Assets Total	Non Currrent Assets Other	Cash And Short Term Investments	Net Receivables	Common Stock Shares Outstanding	Non Current Liabilities Total	Inventory	Other Current Assets	Other Stockholder Equity	Total Liab	Property Plant And Equipment Gross	Total Current Assets	Short Term Debt	Intangible Assets	Other Liab	Other Assets
Total Assets		0.69	0.27	0.96	-0.19	0.85	0.53	0.62	0.94	0.76	0.76	0.68	0.76	0.99	0.07	0.93	0.97	0.25	-0.55	0.96	0.85	0.98	0.67	0.52	0.76	0.61
Short Long Term Debt Total	0.69		0.26	0.53	0.26	0.49	0.86	0.74	0.47	0.6	0.87	0.73	0.6	0.65	0.31	0.58	0.55	0.18	-0.11	0.55	0.49	0.62	0.7	0.85	0.23	0.57
Other Current Liab	0.27	0.26		0.28	-0.08	0.02	0.25	0.3	0.18	0.11	0.23	0.1	0.11	0.22	0.16	0.22	0.25	0.75	-0.25	0.27	0.02	0.29	0.29	0.18	0.15	-0.15
Total Current Liabilities	0.96	0.53	0.28		-0.44	0.92	0.31	0.5	0.99	0.77	0.58	0.51	0.77	0.97	-0.13	0.95	0.99	0.3	-0.74	1.0	0.92	0.99	0.6	0.28	0.87	0.47
Total Stockholder Equity	-0.19	0.26	-0.08	-0.44		-0.57	0.52	0.33	-0.46	-0.36	0.31	0.34	-0.36	-0.21	0.78	-0.46	-0.39	-0.3	0.82	-0.45	-0.57	-0.33	0.01	0.6	-0.7	0.21
Property Plant And Equipment Net	0.85	0.49	0.02	0.92	-0.57		0.23	0.33	0.93	0.78	0.47	0.4	0.78	0.87	-0.33	0.93	0.91	0.22	-0.77	0.93	1.0	0.9	0.51	0.17	0.88	0.43
Net Debt	0.53	0.86	0.25	0.31	0.52	0.23		0.67	0.27	0.2	0.83	0.65	0.2	0.48	0.4	0.35	0.33	0.18	0.17	0.33	0.23	0.41	0.52	0.92	-0.02	0.46
Retained Earnings	0.62	0.74	0.3	0.5	0.33	0.33	0.67		0.48	0.36	0.83	0.62	0.36	0.61	0.39	0.4	0.52	-0.03	-0.21	0.48	0.33	0.54	0.45	0.72	0.15	0.36
Accounts Payable	0.94	0.47	0.18	0.99	-0.46	0.93	0.27	0.48		0.74	0.57	0.5	0.74	0.96	-0.19	0.94	0.99	0.21	-0.74	0.99	0.93	0.97	0.53	0.24	0.89	0.49
Cash	0.76	0.6	0.11	0.77	-0.36	0.78	0.2	0.36	0.74		0.41	0.44	1.0	0.75	0.06	0.8	0.79	0.08	-0.6	0.79	0.78	0.81	0.73	0.3	0.64	0.46
Non Current Assets Total	0.76	0.87	0.23	0.58	0.31	0.47	0.83	0.83	0.57	0.41		0.83	0.41	0.73	0.26	0.61	0.62	0.12	-0.09	0.6	0.47	0.66	0.5	0.82	0.35	0.67
Non Currrent Assets Other	0.68	0.73	0.1	0.51	0.34	0.4	0.65	0.62	0.5	0.44	0.83		0.44	0.67	0.41	0.53	0.54	0.08	0.05	0.52	0.4	0.6	0.56	0.62	0.32	0.92
Cash And Short Term Investments	0.76	0.6	0.11	0.77	-0.36	0.78	0.2	0.36	0.74	1.0	0.41	0.44		0.75	0.06	0.8	0.79	0.08	-0.6	0.79	0.78	0.81	0.73	0.3	0.64	0.46
Net Receivables	0.99	0.65	0.22	0.97	-0.21	0.87	0.48	0.61	0.96	0.75	0.73	0.67	0.75		0.04	0.91	0.97	0.21	-0.56	0.96	0.87	0.98	0.65	0.46	0.77	0.62
Common Stock Shares Outstanding	0.07	0.31	0.16	-0.13	0.78	-0.33	0.4	0.39	-0.19	0.06	0.26	0.41	0.06	0.04		-0.18	-0.07	-0.1	0.47	-0.14	-0.33	-0.01	0.28	0.55	-0.44	0.22
Non Current Liabilities Total	0.93	0.58	0.22	0.95	-0.46	0.93	0.35	0.4	0.94	0.8	0.61	0.53	0.8	0.91	-0.18		0.95	0.31	-0.69	0.97	0.93	0.95	0.58	0.34	0.91	0.52
Inventory	0.97	0.55	0.25	0.99	-0.39	0.91	0.33	0.52	0.99	0.79	0.62	0.54	0.79	0.97	-0.07	0.95		0.24	-0.71	0.99	0.91	0.99	0.59	0.33	0.87	0.51
Other Current Assets	0.25	0.18	0.75	0.3	-0.3	0.22	0.18	-0.03	0.21	0.08	0.12	0.08	0.08	0.21	-0.1	0.31	0.24		-0.26	0.31	0.22	0.3	0.15	-0.05	0.31	-0.09
Other Stockholder Equity	-0.55	-0.11	-0.25	-0.74	0.82	-0.77	0.17	-0.21	-0.74	-0.6	-0.09	0.05	-0.6	-0.56	0.47	-0.69	-0.71	-0.26		-0.74	-0.77	-0.66	-0.27	0.19	-0.78	0.08
Total Liab	0.96	0.55	0.27	1.0	-0.45	0.93	0.33	0.48	0.99	0.79	0.6	0.52	0.79	0.96	-0.14	0.97	0.99	0.31	-0.74		0.93	0.99	0.6	0.3	0.89	0.49
Property Plant And Equipment Gross	0.85	0.49	0.02	0.92	-0.57	1.0	0.23	0.33	0.93	0.78	0.47	0.4	0.78	0.87	-0.33	0.93	0.91	0.22	-0.77	0.93		0.9	0.51	0.17	0.88	0.43
Total Current Assets	0.98	0.62	0.29	0.99	-0.33	0.9	0.41	0.54	0.97	0.81	0.66	0.6	0.81	0.98	-0.01	0.95	0.99	0.3	-0.66	0.99	0.9		0.66	0.38	0.82	0.54
Short Term Debt	0.67	0.7	0.29	0.6	0.01	0.51	0.52	0.45	0.53	0.73	0.5	0.56	0.73	0.65	0.28	0.58	0.59	0.15	-0.27	0.6	0.51	0.66		0.53	0.32	0.51
Intangible Assets	0.52	0.85	0.18	0.28	0.6	0.17	0.92	0.72	0.24	0.3	0.82	0.62	0.3	0.46	0.55	0.34	0.33	-0.05	0.19	0.3	0.17	0.38	0.53		-0.06	0.44
Other Liab	0.76	0.23	0.15	0.87	-0.7	0.88	-0.02	0.15	0.89	0.64	0.35	0.32	0.64	0.77	-0.44	0.91	0.87	0.31	-0.78	0.89	0.88	0.82	0.32	-0.06		0.39
Other Assets	0.61	0.57	-0.15	0.47	0.21	0.43	0.46	0.36	0.49	0.46	0.67	0.92	0.46	0.62	0.22	0.52	0.51	-0.09	0.08	0.49	0.43	0.54	0.51	0.44	0.39

Click cells to compare fundamentals

McKesson Account Relationship Matchups

McKesson fundamental ratios Accounts

	2019	2020	2021	2022	2023	2024 (projected)
Total Assets	61.2B	65.0B	63.3B	62.3B	71.7B	75.3B
Short Long Term Debt Total	9.4B	9.4B	7.5B	7.3B	8.4B	4.6B
Other Current Liab	683M	9M	9.3B	4.2B	4.8B	2.8B
Total Current Liabilities	42.6B	44.1B	48.5B	48.0B	55.2B	57.9B
Total Stockholder Equity	5.1B	(21M)	(2.3B)	(1.9B)	(2.1B)	(2.0B)
Property Plant And Equipment Net	4.3B	4.7B	3.6B	3.8B	4.4B	4.6B
Net Debt	5.4B	3.1B	4.0B	2.6B	3.0B	2.1B
Retained Earnings	13.0B	8.2B	9.0B	12.3B	14.1B	7.2B
Accounts Payable	37.2B	39.0B	38.1B	42.5B	48.9B	51.3B
Cash	4.0B	6.3B	3.5B	4.7B	5.4B	5.6B
Non Current Assets Total	19.0B	19.6B	17.1B	18.0B	20.7B	10.7B
Non Currrent Assets Other	2.3B	2.6B	1.9B	2.0B	2.3B	1.6B
Cash And Short Term Investments	4.0B	6.3B	3.5B	4.7B	5.4B	5.6B
Net Receivables	20.0B	19.2B	18.6B	19.4B	22.3B	23.4B
Common Stock Shares Outstanding	182M	160.6M	154.1M	142.2M	128.0M	186.9M
Liabilities And Stockholders Equity	61.2B	65.0B	63.3B	62.3B	71.7B	75.3B
Non Current Liabilities Total	11.9B	19.5B	16.6B	15.9B	18.2B	19.1B
Inventory	16.7B	19.2B	18.7B	19.7B	22.6B	23.8B
Other Current Assets	617M	665M	5.4B	496M	570.4M	674.8M
Other Stockholder Equity	(6.2B)	(6.7B)	(9.8B)	(13.3B)	(11.9B)	(11.3B)
Total Liab	54.5B	63.6B	65.1B	63.8B	73.4B	77.1B
Property Plant And Equipment Gross	4.3B	4.7B	3.6B	3.8B	4.4B	4.6B
Total Current Assets	42.2B	45.4B	46.2B	44.3B	50.9B	53.5B
Accumulated Other Comprehensive Income	(1.7B)	(1.5B)	(1.5B)	(905M)	(814.5M)	(855.2M)
Short Term Debt	1.4B	1.1B	1.1B	1.3B	1.5B	1.5B
Intangible Assets	3.2B	2.9B	2.1B	2.3B	2.6B	2.0B
Other Liab	3.9B	11.2B	10.1B	9.8B	11.3B	11.8B
Other Assets	1.9B	2.6B	1.3B	1.8B	2.0B	1.7B
Long Term Debt	6.3B	6.4B	5.1B	4.6B	5.3B	4.4B
Treasury Stock	(8.9B)	(12.9B)	(13.7B)	(17.0B)	(15.3B)	(14.6B)
Property Plant Equipment	2.4B	2.6B	2.1B	2.2B	2.5B	1.5B
Good Will	9.4B	9.5B	9.5B	9.9B	11.4B	6.7B
Net Tangible Assets	(4.4B)	(9.3B)	(12.4B)	(12.7B)	(11.4B)	(10.8B)
Noncontrolling Interest In Consolidated Entity	217M	196M	480M	367M	422.1M	302.3M
Retained Earnings Total Equity	13.0B	8.2B	9.0B	12.3B	14.1B	11.7B

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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:

How To Invest In McKesson

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Is McKesson Stock a good investment?

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What is McKesson's Net Worth?

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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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.

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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.

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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

22.14

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.

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McKesson Net Income vs Gross Profit Analysis

Net Income vs Gross Profit

Net Income vs Gross Profit Correlation Analysis

Correlation Coefficient

Net Income

Gross Profit

McKesson fundamental ratios Correlations

McKesson Account Relationship Matchups

High Positive Relationship

High Negative Relationship

McKesson fundamental ratios Accounts

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

Complementary Tools for McKesson Stock analysis

COMMON DESTINATIONS

MAIN CATEGORIES

COMPANY

Total Liab	+ 1.0	Total Current Liabilities
Property Plant And Equipment Gross	+ 1.0	Property Plant And Equipment Net
Cash And Short Term Investments	+ 1.0	Cash
Net Receivables	+ 0.99	Total Assets
Accounts Payable	+ 0.99	Total Current Liabilities
Inventory	+ 0.99	Total Current Liabilities

Other Liab	- 0.78	Other Stockholder Equity
Property Plant And Equipment Gross	- 0.77	Other Stockholder Equity
Other Stockholder Equity	- 0.77	Property Plant And Equipment Net
Total Liab	- 0.74	Other Stockholder Equity
Other Stockholder Equity	- 0.74	Accounts Payable
Other Stockholder Equity	- 0.74	Total Current Liabilities