McKesson and CD&R, a private investment firm, have agreed to acquire Option Care Health, the largest independent provider of home and alternate-site infusion therapy in the US, for a total enterprise value of $5.8 billion.
McKesson distributes pharmaceutical products to nearly one third of the industry, leading to substantial negotiation leverage with generic drug manufacturers.
Scrutiny from the public and politicians over exorbitant branded and specialty drug list prices could result in lower price inflation long term, slowing McKesson’s top-line growth.
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Metric
|
MCK
|
CAH
|
MDLN
|
|---|---|---|---|
Price/Earnings (Normalized) | 23.00 | 21.10 | 76.02 |
Price/Book Value | — | — | 2.75 |
Price/Sales | 0.28 | 0.22 | 1.62 |
Price/Cash Flow | 18.69 | 16.03 | 18.64 |
|
Metric
|
MCK
|
CAH
|
MDLN
|
|---|---|---|---|
Quick Ratio | 0.50 | 0.43 | 2.34 |
Current Ratio | 0.89 | 0.88 | 4.33 |
Interest Coverage | 23.83 | 7.25 | 2.40 |
|
Metric
|
MCK
|
CAH
|
MDLN
|
|---|---|---|---|
Return on Assets (Normalized) | 5.95% | 4.62% | 2.60% |
Return on Equity (Normalized) | — | — | 14.71% |
Return on Invested Capital (Normalized) | 56.43% | 46.33% | 4.62% |
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1-Day Chart
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Name
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Price
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Morningstar Rating for Stocks
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Economic Moat
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United States