McKesson Stock Drops 083% in Two Days Trading Volume Ranks 175th

On March 24, 2025, McKesson (MCK) closed at $660.86, down 0.05% from the previous trading session, marking the second consecutive day of decline, with a total decrease of 0.83% over the past two days. The trading volume was $5.13 billion, a 60.69% decrease from the previous day, ranking 175th in the day's trading volume.

McKesson's recent performance has been mixed. Over the past month, the company's shares have gained 10.62%, outperforming the broader Medical sector, which lost 1.17%, and the S&P 500, which declined by 5.73%. This divergence highlights McKesson's resilience in a challenging market environment.

Investors are closely watching McKesson's upcoming earnings report, which is expected to show an EPS of $9.81, a 58.74% increase from the same period last year. The Zacks Consensus Estimate for revenue is $93.09 billion, up 21.92% year-over-year. For the full year, McKesson is projected to earn $32.76 per share and generate $360.63 billion in revenue, representing year-over-year increases of 19.39% and 16.73%, respectively.

Analysts' revisions to earnings estimates can provide valuable insights into a company's short-term business trends. Positive revisions often indicate a favorable outlook, and McKesson's Zacks Rank of #3 (Hold) reflects this. The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has a proven track record of success, with #1 stocks delivering an average annual return of 25% since 1988.

In terms of valuation, McKesson is currently trading at a Forward P/E ratio of 20.18, which is higher than its industry's average Forward P/E of 16.74. The company's PEG ratio of 1.41 is also lower than the industry average of 1.78, suggesting that McKesson's stock may be undervalued relative to its projected earnings growth.