COMPARE · Reviewed August 3, 2026
CAH vs MCK
Verdict: Side-by-side breakdown using the Bull Rankings model. CAH scored 58.7, MCK scored 66.0 — MCK leads.
Compare another set
Different reporting periods. MCK's fundamentals are as of March 2026, but CAH's are as of December 2025 — a 3-month gap. Growth, margin and valuation figures below therefore describe different windows and aren't strictly like-for-like.
CAH
Cardinal Health, Inc.
58.7
$233.56 · $54.7B
fundamentals as of
Score gap
7.3
MCK leads
MCK
McKesson Corporation
66
$830.76 · $96.8B
fundamentals as of
The model, pillar by pillar (0–100 each)
CAH
stronger →← stronger
MCK
50
Qualityreturns · margins · balance sheet
53
79
Growthrevenue & earnings expansion
87
52
Valuevaluation vs sector peers
63
MCK is stronger on 3 of 3 pillars.
Fundamentals, head-to-head
CAH
MCK
$5.5bB+
FCF
$5.7bB+
+10.1%B
Rev
+12.4%B+
35.7xC+
P/E
21.7xB+
1.42B
PEG
1.67C+
Winner per row is the stronger grade in our model; a tie or a missing value shows no highlight.
Valuation · DCF cross-check
CAH
MCK
66% below
Price vs fair valuelower is cheaper
9% below
~-16%/yr
Growth the price implies10-yr FCF · lower = less priced in
~6%/yr
+158%
1-yr DCF upside
-4%
+190%
5-yr DCF upside
+10%
+247%
10-yr DCF upside
+35%
The DCF is a cross-check on intrinsic value, separate from the quality-growth score above.
Model signals
CAH
Why this score
- Buying back stock
- Short track record
MCK
Why this score
- Buying back stock
- Raising its dividend
- Short track record
The companies
CAHCardinal Health, Inc.
Why now
Medical Distribution · market cap $54.7b. 4% off the 52-week high of $243.21. Revenue growing +10%, comfortably above the S&P median. 15 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $252.40 (implying +8% upside).
Moat
Free cash flow runs well ahead of reported net income — non-cash charges (depreciation, intangible amortization) are holding down GAAP earnings while cash generation stays strong. $54.7b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk
Trailing P/E 36x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates. Net margin 0.7% is thin — operating leverage cuts both ways; input-cost inflation or pricing pressure hits the bottom line first. ROE -58% is below the long-run sustainable threshold of ~10% — capital efficiency would need to improve for the equity base to compound at the market rate.
MCKMcKesson Corporation
Why now
Medical Distribution · market cap $96.8b. 17% off the 52-week high of $999.00. Revenue growing +12%, comfortably above the S&P median. 15 sell-side analysts rate this a Buy with a mean 1-yr target of $947.13 (implying +14% upside).
Moat
FCF converts 120% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined. $96.8b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk
Net margin 1.2% is thin — operating leverage cuts both ways; input-cost inflation or pricing pressure hits the bottom line first. ROE -219% is below the long-run sustainable threshold of ~10% — capital efficiency would need to improve for the equity base to compound at the market rate.
Verdict — model-derived comparison
Generating verdict… typically 5–10 seconds
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.