Are You a Value Investor? This 1 Stock Could Be the Perfect Pick
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
San Francisco, CA-based McKesson Corporation is a health care services and information technology company. McKesson operates through two segments:
MCK sits at a Zacks Rank #3 (Hold), holds a Value Style Score of A, and has a VGM Score of A. Compared to the Medical - Dental Supplies industry's P/E of 19.6X, shares of McKesson are trading at a forward P/E of 12.9X. MCK also has a PEG Ratio of 1.3, a Price/Cash Flow ratio of 10.6X, and a Price/Sales ratio of 0.2X.
A company's earnings performance is important for value investors as well. For fiscal 2023, eight analysts revised their earnings estimate higher in the last 60 days for MCK, while the Zacks Consensus Estimate has increased $1.15 to $25.93 per share. MCK also holds an average earnings surprise of 3.4%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding MCK to their portfolios.
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McKesson Corporation (MCK) : Free Stock Analysis Report
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