McKesson Corporation (MCK)

Industry: Medical - Distribution Model: Peers Multiples Valuation

Valuation Snapshot

Ticker	Rank	Name	Rev TTM (M)	Trailing P/E	Forward P/E	Trailing EV/EBITDA	Forward EV/EBITDA	Trailing EV/EBIT	Forward EV/EBIT
MCK	1	McKesson Corporati	387,094	22.69	20.15	16.79	15.62	16.82	18.80
0HF3.L	2	Cencora	321,333	38.99	38.99	23.16	23.16	863.43	24.31
ABC	3	AmerisourceBergen	321,333	23.36	23.40	14.35	12.82	535.13	12.79
1099.HK	4	Sinopharm Group Co	165,515	3.38	2.79	2.26	1.87	3.44	2.50
601607.SS	5	Shanghai Pharmaceu	39,839	11.79	11.16	10.10	10.12	15.55	8.69
7459.T	6	MediPal Holdings C	24,052	12.93	12.43	3.23	3.17	6.54	5.16
EBO.AX	7	EBOS Group Limited	20,361	14.29	11.90	7.85	6.28	10.36	3.93
2784.T	8	Alfresa Holdings C	19,493	15.49	16.42	4.76	4.64	6.48	5.87
000028.SZ	9	China National Acc	10,366	26.05	31.16	13.55	14.06	14.06	52.04
OMI	10	Owens & Minor, Inc	6,707	-	-	-	-	23.94	-
UPR.IR	11	Uniphar plc	6,533	8.92	8.92	5.45	3.03	10.34	4.18
PDCO	12	Patterson Companie	6,511	19.68	15.93	9.80	8.94	17.44	13.46
600056.SS	13	China Meheco Group	4,818	30.71	36.29	16.92	19.28	17.43	28.11
CVET	14	Covetrus, Inc.	4,649	-	-	19.05	19.05	241.69	966.75
3151.T	15	Vital KSK Holdings	3,869	8.41	7.26	3.77	3.64	12.59	6.38
603368.SS	16	Guangxi LiuYao Gro	2,973	9.46	9.36	11.13	11.04	11.13	13.77

Line Item	Trailing P/E	Forward P/E	Trailing EV/EBITDA	Forward EV/EBITDA	Trailing EV/EBIT	Forward EV/EBIT
Winsorized Median Multiple	12.93	11.90	8.82	7.61	12.59	7.53
Full Range Median Multiple	14.29	12.43	9.95	9.53	14.06	10.74
Industry Multiple	17.19	17.38	10.38	10.08	119.30	82.00
Market Implied Multiple	26.03	23.12	19.08	17.75	19.11	21.35
Company (MCK) Multiple	22.69	20.15	16.79	15.62	16.82	18.80
(*) Net Income / EBITDA / Revenue	4,033	4,541	5,883	6,322	5,872	5,255
Winsorized Enterprise Value	N/A	N/A	51,916	48,134	73,913	39,584
Full Range Median Enterprise Value	N/A	N/A	58,535	60,271	82,557	56,429
(-) Net Debt	7,250	7,250	7,250	7,250	7,250	7,250
Winsorized Equity Value	52,154	54,050	44,666	40,884	66,663	32,334
Full Range Median Equity Value	57,619	56,442	51,285	53,021	75,307	49,179
(/) Shares Outstanding	125	125	125	125	125	125
Winsorized Fair Value	$417.57	$432.75	$357.61	$327.33	$533.73	$258.88
Full Range Median Fair Value	$461.32	$451.90	$410.60	$424.51	$602.94	$393.75
Current Price	$840.46	$840.46	$840.46	$840.46	$840.46	$840.46
Upside / Downside	-50.32%	-48.51%	-57.45%	-61.05%	-36.50%	-69.20%
Safety Margin	30.0%	30.0%	30.0%	30.0%	30.0%	30.0%
Buy Price	$292.30	$302.92	$250.33	$229.13	$373.61	$181.21
Buy / Don't Buy	Don’t Buy	Don’t Buy	Don’t Buy	Don’t Buy	Don’t Buy	Don’t Buy