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BAX vs. MCK: Baxter vs. McKesson Stock Comparison

How do Baxter (BAX) and McKesson (MCK) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Baxter (BAX) and McKesson (MCK) both fall under the Health Care Equipment & Services industry group, but BAX is classified in Health Care Equipment & Supplies while MCK is classified in Health Care Providers & Services.

Company profile comparison for Baxter (BAX) and McKesson (MCK)
Profile ItemBAXMCK
NameBaxter International Inc.McKesson Corporation
Country/RegionUnited StatesUnited States
GICS SectorHealth CareHealth Care
GICS Industry GroupHealth Care Equipment & ServicesHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & SuppliesHealth Care Providers & Services
GICS Sub-IndustryHealth Care EquipmentHealth Care Distributors
Market Capitalization13.34 billion USD122.48 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateOctober 27, 1981November 10, 1994
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

BAX
MCK
GSPC
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Baxter (BAX) vs. McKesson (MCK), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Baxter (BAX) and McKesson (MCK). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Baxter (BAX) and McKesson (MCK). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Baxter (BAX) and McKesson (MCK)
MetricBAXMCK
Total Return (1Y)45.72%25.40%
Total Return (3Y, Annualized)-5.53%32.67%
Total Return (5Y, Annualized)-17.96%37.84%

Risk Profile

Drawdown History

BAX
MCK
GSPC
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Baxter (BAX) vs. McKesson (MCK), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Baxter (BAX) and McKesson (MCK). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Baxter (BAX) and McKesson (MCK)
MetricBAXMCK
Volatility (1Y, Annualized)42.31%31.71%
Beta (5Y)0.620.26
Max Drawdown (5Y)-80.61%-27.17%
Avg. Volume (3M)6.53M822.69K

Risk-Adjusted Performance

Risk-Return Positioning

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BAX and MCK are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Baxter (BAX) and McKesson (MCK)
MetricBAXMCK
Sharpe Ratio (1Y)0.980.67
Sortino Ratio (1Y)1.421.15

Profitability

ROE (TTM)

McKesson (MCK) has no ROE value reported for this period; Baxter (BAX) reports a negative figure of -9.04%, which needs context because negative ROE can reflect losses or negative shareholders’ equity.

BAX

Health Care Equipment & Services industry group

-9.04%

Max
47.61%
Q3
14.36%
Median
5.45%
BAX
-9.04%
Q1
-10.67%
Min
-47.01%

MCK

Health Care Equipment & Services industry group

--

Max
47.61%
Q3
14.36%
Median
5.45%
Q1
-10.67%
Min
-47.01%
MCK
--
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Baxter (BAX) vs. McKesson (MCK): MCK does not report ROE, so it has no value marker; BAX is benchmarked against the Health Care Equipment & Services industry group.

Net Margin (TTM)

Baxter (BAX) reports a negative net margin of -6.23%, usually indicating a net loss over the period. Meanwhile McKesson (MCK) reports 1.12%, ranking against industry peers normally.

BAX

Health Care Equipment & Services industry group

-6.23%

Max
29.35%
Q3
9.33%
Median
2.18%
BAX
-6.23%
Q1
-6.29%
Min
-28.46%

MCK

Health Care Equipment & Services industry group

1.12%

Max
29.35%
Q3
9.33%
Median
2.18%
MCK
1.12%
Q1
-6.29%
Min
-28.46%
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Baxter (BAX) vs. McKesson (MCK): A comparison of their net margin against the Health Care Equipment & Services industry group benchmark.

Operating Margin (TTM)

Both Baxter (BAX) at 9.88% and McKesson (MCK) at 1.48% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

BAX

Health Care Equipment & Services industry group

9.88%

Max
35.43%
Q3
14.14%
BAX
9.88%
Median
6.81%
Q1
-0.28%
Min
-16.29%

MCK

Health Care Equipment & Services industry group

1.48%

Max
35.43%
Q3
14.14%
Median
6.81%
MCK
1.48%
Q1
-0.28%
Min
-16.29%
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Baxter (BAX) vs. McKesson (MCK): A comparison of their operating margin against the Health Care Equipment & Services industry group benchmark.

Profitability Metrics

Profitability metrics for Baxter (BAX) and McKesson (MCK)
MetricBAXMCK
ROE (TTM)-9.04%--
ROA (TTM)2.71%4.72%
Net Margin (TTM)-6.23%1.12%
Operating Margin (TTM)9.88%1.48%
Gross Margin (TTM)33.37%3.65%

Growth

Revenue Growth

Both Baxter (BAX) at 5.72% and McKesson (MCK) at 12.36% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

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Baxter (BAX) vs. McKesson (MCK): A comparison of their Revenue Growth across different time periods.

EPS Growth

Only one side can be read here: McKesson (MCK) reports EPS growth of 49.22%, ranked against its industry; Baxter (BAX) has no EPS growth figure this period.

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Baxter (BAX) vs. McKesson (MCK): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Baxter (BAX) and McKesson (MCK)
MetricBAXMCK
Revenue Growth (YoY)5.72%12.36%
Revenue Growth (3Y CAGR)3.79%13.39%
EPS Growth (YoY)--49.22%
EPS Growth (3Y CAGR)--15.31%

Financial Strength

Current Ratio (MRQ)

Baxter (BAX) at 1.79 keeps current ratio within its industry’s typical mid-range, while McKesson (MCK) at 0.90 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for MCK.

BAX

Health Care Equipment & Services industry group

1.79

Max
7.59
Q3
4.00
Median
1.98
BAX
1.79
Q1
1.37
Min
0.30

MCK

Health Care Equipment & Services industry group

0.90

Max
7.59
Q3
4.00
Median
1.98
Q1
1.37
MCK
0.90
Min
0.30
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Baxter (BAX) vs. McKesson (MCK): A comparison of their current ratio against the Health Care Equipment & Services industry group benchmark.

Debt / Equity (MRQ)

Only one side’s leverage can be read here: Baxter (BAX) carries debt-to-equity ratio of 1.36 against its industry range, while McKesson (MCK) reports no figure this period.

BAX

Health Care Equipment & Services industry group

1.36

Max
1.88
BAX
1.36
Q3
0.91
Median
0.58
Q1
0.16
Min
0.00

MCK

Health Care Equipment & Services industry group

--

Max
1.88
Q3
0.91
Median
0.58
Q1
0.16
Min
0.00
MCK
--
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Baxter (BAX) vs. McKesson (MCK): MCK does not report debt-to-equity ratio, so it has no value marker; BAX is benchmarked against the Health Care Equipment & Services industry group.

Financial Strength Metrics

Financial strength metrics for Baxter (BAX) and McKesson (MCK)
MetricBAXMCK
Current Ratio (MRQ)1.790.90
Debt / Equity (MRQ)1.36--
Net Debt / EBITDA3.730.64

Dividends

Dividend Yield (TTM)

Both Baxter (BAX) at 0.16% and McKesson (MCK) at 0.32% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.

BAX

Health Care Equipment & Services industry group

0.16%

BAX
0.16%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

MCK

Health Care Equipment & Services industry group

0.32%

MCK
0.32%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Baxter (BAX) vs. McKesson (MCK): A comparison of their dividend yield against the Health Care Equipment & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Baxter (BAX) reports payout ratio above 100% at 154.67%, meaning dividends exceeded current-period earnings and sustainability needs extra context. Meanwhile McKesson (MCK) reports 8.77%, ranking against industry peers normally.

BAX

Health Care Equipment & Services industry group

154.67%

BAX
154.67%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

MCK

Health Care Equipment & Services industry group

8.77%

MCK
8.77%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Baxter (BAX) vs. McKesson (MCK): A comparison of their payout ratio against the Health Care Equipment & Services industry group benchmark.

Dividend Metrics

Dividend metrics for Baxter (BAX) and McKesson (MCK)
MetricBAXMCK
Dividend Yield (TTM)0.16%0.32%
Dividend Payout Ratio (TTM)154.67%8.77%

Valuation

P/E Ratio (TTM)

An earnings multiple is available for just one side: McKesson (MCK) trades at 27.36 times trailing earnings, ranked against its peers, while Baxter (BAX) has no P/E ratio this period.

BAX

Health Care Equipment & Services industry group

--

Max
80.41
Q3
47.62
Median
29.93
Q1
21.19
Min
4.21
BAX
--

MCK

Health Care Equipment & Services industry group

27.36

Max
80.41
Q3
47.62
Median
29.93
MCK
27.36
Q1
21.19
Min
4.21
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Baxter (BAX) vs. McKesson (MCK): BAX does not report P/E ratio, so it has no value marker; MCK is benchmarked against the Health Care Equipment & Services industry group.

P/S Ratio (TTM)

McKesson (MCK) at 0.29 sits in the cheaper P/S ratio quartile while Baxter (BAX) at 1.15 prices around its industry’s middle — MCK costs less per dollar of sales, though read it alongside growth and margins.

BAX

Health Care Equipment & Services industry group

1.15

Max
8.80
Q3
4.32
Median
2.13
BAX
1.15
Q1
1.10
Min
0.03

MCK

Health Care Equipment & Services industry group

0.29

Max
8.80
Q3
4.32
Median
2.13
Q1
1.10
MCK
0.29
Min
0.03
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Baxter (BAX) vs. McKesson (MCK): A comparison of their P/S ratio against the Health Care Equipment & Services industry group benchmark.

P/B Ratio (MRQ)

McKesson (MCK) reports a negative P/B ratio of -30.85, meaning negative book equity — the multiple itself is not meaningful for valuation. Meanwhile Baxter (BAX) reports 2.05, ranking against industry peers normally.

BAX

Health Care Equipment & Services industry group

2.05

Max
11.68
Q3
6.12
Median
3.00
BAX
2.05
Q1
1.73
Min
-1.31

MCK

Health Care Equipment & Services industry group

-30.85

Max
11.68
Q3
6.12
Median
3.00
Q1
1.73
Min
-1.31
MCK
-30.85
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Baxter (BAX) vs. McKesson (MCK): A comparison of their P/B ratio against the Health Care Equipment & Services industry group benchmark.

Valuation Metrics

Valuation metrics for Baxter (BAX) and McKesson (MCK)
MetricBAXMCK
P/E Ratio (TTM)--27.36
P/S Ratio (TTM)1.150.29
P/B Ratio (MRQ)2.05-30.85
Free Cash Flow Yield (TTM)9.16%6.04%