McKesson CorporationNYSE: MCK
Health Care · Health Care Distributors
$815.42
+0.03%
Vol: 448K
Research Digest
Friday, May 1, 2026
McKesson signs $1.25B Apollo investment for 13% stake in Medical-Surgical Solutions valued at $13B EV.
McKesson announced definitive agreement with Apollo Funds to invest $1.25B in convertible preferred equity for ~13% minority interest in Medical-Surgical Solutions (MMS), valuing MMS at $13B total enterprise value. Major milestone in planned MMS separation and IPO. Secured new $5B revolving credit facility. Reported record Q2 FY26 revenues of $103.2B (+10% YoY) with adj EPS $9.86 (+39%).
Previous Market Intelligence
13 daysApr 30McKesson raises FY2026 EPS guidance and signs $1.25B Apollo Funds investment in Medical-Surgical Solutions for 13% minority stake.Positive▶
McKesson reported strong fiscal 2026 Q3 results with $106.2B in revenue (11% growth) and raised full-year adjusted EPS guidance to $38.80–$39.20. Most significantly, the company announced on April 20 a definitive agreement with Apollo Funds to acquire 13% of its Medical-Surgical Solutions business in a $1.25B convertible preferred equity transaction, valuing MMS at approximately $13B enterprise value. The company also closed its Norwegian retail operations sale and announced CFO Kenny Cheung will join effective May 29, succeeding Britt Vitalone after 20 years.
Apr 16Wells Fargo downgrades McKesson to Hold; CFO transition underwayNegative▶
Wells Fargo downgraded MCK to Hold on Apr 13. Bank of America cut PT to $1000 on Apr 6. Evercore added to Tactical Underperform list on Apr 8. Britt Vitalone retiring as CFO after 20 years; Kenny Cheung joins May 29. Company secured $2B senior credit facilities Apr 6. Q4 FY2026 earnings report scheduled May 7. Stock down 8% past month despite adjusted EPS growth targets of 13-16%.
Apr 15McKesson faces analyst headwinds; Evercore ISI cuts target to $950; CFO transition to Cheung effective May 29.Negative▶
McKesson announced that CFO Britt Vitalone will retire after 20 years, with Kenny Cheung assuming the role effective May 29, 2026. On April 6, Evercore ISI lowered price target to $950 from $1,000. BofA cut target to $1,040 from $1,000. The stock traded at $864.57 on April 13. Q4 FY2026 results expected May 7. Despite analyst pressure, McKesson's EPS rose 28.88% YoY and revenue up 15.49%.
Apr 14CFO Britt Vitalone retiring May 29; Kenny Cheung replaces her; analyst target cuts due to pricing pressures.Mixed▶
McKesson announced CFO Britt Vitalone retiring after 20-year tenure; Kenny Cheung assumes role May 29. Evercore ISI lowered target from $1,000 to $950 (Outperform retained); Bank of America cut target from $1,040 to $1,000. Company completed Norway business sale to NorgesGruppen. FY25 EPS $9.34 beat estimates. FY26 EPS guidance $38.80-$39.20. Q4 results due May 7.
Apr 13McKesson secures $2B new senior credit facilities; CFO Britt Vitalone retiring, Kenny Cheung taking helm May 29.Neutral▶
McKesson announced it secured $2 billion in new senior credit facilities, strengthening capital flexibility. CFO Britt Vitalone announced retirement effective May 29, 2026, with EVP Kenny Cheung assuming the role. Q3 earnings surpassed expectations with 10.2% YoY revenue growth. BofA analyst Allen Lutz lowered price target to $1,000 from $1,040 while maintaining Buy. Next earnings expected May 7.
Apr 10McKesson progresses toward Medical-Surgical IPO in 2027 while managing CFO transition.Positive▶
McKesson is advancing toward taking its Medical-Surgical business public in the second half of 2027, completing key transition service agreements on January 1 that support the separation. The company announced Britt Vitalone will retire as Executive VP and CFO after 20 years, with Kenny Cheung joining as EVP and CFO effective May 29, 2026. Bank of America Securities maintained Buy rating but lowered price target to $1000 from $1040. Analysts project EPS of $11.50, a 13.64% year-over-year increase.
Apr 9McKesson raises FY2026 EPS guidance and secures $2B credit facility despite analyst price target cut.Positive▶
McKesson reported record quarterly revenues of $103.2B (up 10% YoY) with adjusted EPS of $9.86 (up 39%). The company raised its full-year adjusted EPS guidance range to $38.35-$38.85 from $38.05-$38.55, reflecting strong pharmaceutical distribution momentum. The company secured $2.0 billion in senior secured credit facilities led by JPMorgan, including a $750M Term Loan A-1 and $1.0B revolving credit facility. However, BofA Securities lowered its price target from $1,040 to $1,000 while maintaining a Buy rating, citing pricing pressures from GLP-1 drugs. The stock has shown strong momentum with 1-year returns of 34.11%.
Apr 8McKesson reports strong Q2 FY2026 results; Q1 earnings April 22 with record quarterly revenuePositive▶
McKesson reported strong fiscal 2026 second quarter results with quarterly consolidated revenues reaching a record $103.2 billion, up 10% YoY. Adjusted EPS of $9.86 increased 39%, and the company raised full-year adjusted EPS guidance to $38.35-$38.85. McKesson entered a new Credit Agreement establishing $2.0 billion in senior secured credit facilities on April 6, 2026. BofA Securities maintained a Buy rating while lowering its price target from $1,040 to $1,000. The company faces pricing pressures from GLP-1 drugs but continues to benefit from significant earnings and revenue growth. Next earnings report expected May 7, 2026. Stock share price was $884.28 with 1-year return of 34.11%.
Apr 7McKesson secures $2B senior credit facilities; plans Medical-Surgical Solutions separationPositive▶
McKesson announced intent to separate its Medical-Surgical Solutions segment into an independent company to enhance strategic opportunity and shareholder value. McKesson subsidiaries entered a new $2B senior secured credit agreement on April 1 with a $750M term loan A-1 due 2031, $250M term loan A-2 due 2028, and $1B revolving facility. Share price moved to $884.28 with 1.37% daily return and 6.99% 90-day return. Analysts project significant earnings and revenue growth with median price target of $953.50. The increasing complexity of pharmaceutical supply chain (biosimilars, cold chain, personalized medicine) benefits large distributors like McKesson.
Apr 6McKesson leadership transition underway as CFO Britt Vitalone retires with successor Kenny Cheung taking over in May 2026Positive▶
McKesson Corporation announced CFO Britt Vitalone is retiring with Kenny Cheung set to take over in May 2026. Stock trading at $886 with market cap of $108.32B and P/E ratio of 25.44. Strong revenue momentum and analyst earnings estimate raises. Q1 2026 earnings due May 7. Company operates through U.S. Pharmaceutical, RxTS, Medical-Surgical Solutions and International segments accounting for over 90% of U.S. pharmaceutical wholesale industry.
Apr 3McKesson announces CFO transition with Kenny Cheung taking over from retiring Britt Vitalone in May 2026; declares dividend of $0.82 per share.Positive▶
McKesson (MCK) announced leadership transition on April 1, 2026: retiring CFO Britt Vitalone will transition to strategic advisor role, with Kenny Cheung assuming CFO position in May. Board declared regular quarterly dividend of $0.82 per share. Q3 FY2026 showed strong operational momentum: 11.4% YoY revenue increase, oncology and biopharma services drove growth. Company raised full-year adjusted EPS guidance to 13-16% growth.
Apr 2McKesson raises fiscal 2026 EPS guidance to $38.80-$39.20 after strong Q3; CFO transition announced.Positive▶
McKesson reported fiscal 2026 Q3 results with $106.2 billion in revenues (up 11%) and adjusted EPS of $9.34 (up 16%). The company raised and narrowed full-year adjusted EPS guidance to $38.80-$39.20 (from $38.35-$38.85). CFO Britt Vitalone, who served in the role for 8+ years, is retiring; Kenny Cheung will assume the CFO role effective May 29, 2026. The company completed the sale of its Norwegian retail/distribution business to NorgesGruppen on January 30, 2026, and advanced its planned Medical-Surgical Solutions segment separation. Barclays raised price target to $1,050 (from $960) and TD Cowen to $1,012 (from $1,000).
Apr 1McKesson plans Medical-Surgical Solutions separation, announces CFO transition, and raises FY2026 EPS guidance amid strong Q4 results.Positive▶
McKesson reported record quarterly consolidated revenues of $103.2 billion (10% YoY increase) and Adjusted EPS of $9.86 (up 39%). The company announced plans to separate its Medical-Surgical Solutions into an independent entity. CFO Britt Vitalone is retiring, with Kenny Cheung taking over in May 2026. Morgan Stanley reiterates Overweight at $966, while TD Cowen lifted target to $1,012.
Sector Peers
| Company | Price | Day | 1M | Fwd P/E | Beta | Mkt Cap |
|---|---|---|---|---|---|---|
| MCKMCKESSON | $815.42 | +0.03% | -4.8% | 18.5x | 0.42 | $99.9B |
| CORCENCORA | $305.04 | -0.96% | -4.0% | 15.7x | 0.72 | $59.9B |
| CAHCARDINAL | $195.26 | +1.23% | -9.3% | 16.6x | 0.65 | $45.4B |
| HSICHENRY | $74.09 | -0.68% | -0.4% | 12.7x | 0.88 | $8.6B |
| LLYELI | $964.50 | +3.20% | +0.8% | 22.2x | 0.50 | $834.9B |
| JNJJOHNSON | $227.78 | -0.90% | -4.6% | 18.1x | 0.33 | $553.3B |
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