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MCK (McKesson) Cyclically Adjusted PS Ratio : 0.40 (As of Jul. 11, 2025)


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What is McKesson Cyclically Adjusted PS Ratio?

As of today (2025-07-11), McKesson's current share price is $709.59. McKesson's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2025 was $1,763.56. McKesson's Cyclically Adjusted PS Ratio for today is 0.40.

The historical rank and industry rank for McKesson's Cyclically Adjusted PS Ratio or its related term are showing as below:

MCK' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 0.15   Med: 0.26   Max: 0.48
Current: 0.41

During the past years, McKesson's highest Cyclically Adjusted PS Ratio was 0.48. The lowest was 0.15. And the median was 0.26.

MCK's Cyclically Adjusted PS Ratio is ranked better than
51.32% of 76 companies
in the Medical Distribution industry
Industry Median: 0.43 vs MCK: 0.41

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

McKesson's adjusted revenue per share data for the three months ended in Mar. 2025 was $720.817. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is $1,763.56 for the trailing ten years ended in Mar. 2025.

Shiller PE for Stocks: The True Measure of Stock Valuation


McKesson Cyclically Adjusted PS Ratio Historical Data

The historical data trend for McKesson's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

McKesson Cyclically Adjusted PS Ratio Chart

McKesson Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.20 0.26 0.26 0.35 0.38

McKesson Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.35 0.37 0.30 0.34 0.38

Competitive Comparison of McKesson's Cyclically Adjusted PS Ratio

For the Medical Distribution subindustry, McKesson's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


McKesson's Cyclically Adjusted PS Ratio Distribution in the Medical Distribution Industry

For the Medical Distribution industry and Healthcare sector, McKesson's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where McKesson's Cyclically Adjusted PS Ratio falls into.


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McKesson Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

McKesson's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=709.59/1763.56
=0.40

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

McKesson's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2025 is calculated as:

For example, McKesson's adjusted Revenue per Share data for the three months ended in Mar. 2025 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Mar. 2025 (Change)*Current CPI (Mar. 2025)
=720.817/134.9266*134.9266
=720.817

Current CPI (Mar. 2025) = 134.9266.

McKesson Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201506 202.323 100.684 271.133
201509 207.494 100.392 278.873
201512 206.461 99.792 279.150
201603 202.948 100.470 272.549
201606 218.127 101.688 289.426
201609 219.110 101.861 290.236
201612 225.811 101.863 299.108
201703 227.631 102.862 298.589
201706 239.676 103.349 312.907
201709 247.910 104.136 321.212
201712 257.774 104.011 334.393
201803 250.621 105.290 321.166
201806 260.431 106.317 330.513
201809 266.709 106.507 337.877
201812 288.246 105.998 366.913
201903 272.784 107.251 343.176
201906 294.857 108.070 368.134
201909 314.842 108.329 392.142
201912 329.282 108.420 409.785
202003 330.519 108.902 409.506
202006 341.170 108.767 423.224
202009 372.598 109.815 457.801
202012 392.470 109.897 481.858
202103 372.431 111.754 449.654
202106 396.420 114.631 466.605
202109 427.317 115.734 498.179
202112 452.599 117.630 519.152
202203 443.638 121.301 493.471
202206 460.274 125.017 496.759
202209 486.863 125.227 524.576
202212 499.929 125.222 538.674
202303 500.436 127.348 530.218
202306 545.264 128.729 571.517
202309 572.812 129.860 595.163
202312 606.887 129.419 632.712
202403 579.765 131.776 593.626
202406 606.603 132.554 617.462
202409 724.292 133.029 734.624
202412 752.717 133.157 762.720
202503 720.817 134.927 720.817

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


McKesson  (NYSE:MCK) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


McKesson Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of McKesson's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


McKesson Business Description

Address
6555 State Highway 161, Irving, TX, USA, 75039
McKesson Corp is one of three leading pharmaceutical wholesalers in the US engaged in sourcing and distributing branded, generic, and specialty pharmaceutical products to pharmacies (retail chains, independent, and mail order), hospitals networks, and healthcare providers. Along with Cencora and Cardinal Health, the three account for over 90% of the US pharmaceutical wholesale industry. Outside the US market, McKesson engages in pharmaceutical wholesale and distribution in Canada. Additionally, the company supplies medical-surgical products and equipment to healthcare facilities and provides a variety of technology solutions for pharmacies.
Executives
Leann B Smith officer: EVP & Chief HR Officer 6555 NORTH STATE HWY 161, IRVING TX 75039
Rutledge Napoleon B Jr officer: SVP, Controller & CAO 2999 WILDWOOD PARKWAY, ATLANTA GA 30339
Britt J. Vitalone officer: EVP & CFO MCKESSON CORPORATION, 6555 STATE HWY 161, IRVING TX 75039
Thomas L Rodgers officer: EVP, Chief Strategy & BDO 6555 NORTH STATE HWY 161, IRVING TX 75039
Brian S. Tyler officer: Chief Executive Officer MCKESSON CORPORATION, 6555 STATE HWY 161, IRVING TX 75039
Maria Martinez director THE LANDMARK @ 1 MARKET STREET, SUITE 300, SAN FRANCISCO CA 94105
Susan Nowakowski director 14778 EL RODEO CT., RANCHO SANTA FE CA 92067
Lori A. Schechter officer: EVP, Chief Legal Officer & GC MCKESSON CORPORATION, 6555 NORTH STATE HWY 161, IRVING TX 75039
Nancy Flores officer: EVP, CIO & CTO 6555 NORTH STATE HWY 161, IRVING TX 75039
Tracy Faber officer: EVP & Chief HR Officer 6555 NORTH STATE HWY 161, IRVING TX 75039
Donald R Knauss director P O BOX 1734, ATLANTA GA 30301
Bradley E Lerman director MEDTRONIC, INC., 710 MEDTRONIC PKWY MSLC300, MINNEAPOLIS MN 55432
Dominic J Caruso director JOHNSON & JOHNSON, ONE JOHNSON & JOHNSON PLAZA, NEW BRUNSWICK NJ 08933
Webster Roy Dunbar director 5757 N. GREEN BAY AVENUE, MILWAUKEE WI 53209
James H. Hinton director 6555 NORTH STATE HWY. 161, IRVING TX 75039