Seek Returns logo

MCK vs. NBIX: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at MCK and NBIX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolMCKNBIX
Company NameMcKesson CorporationNeurocrine Biosciences, Inc.
CountryUnited StatesUnited States
GICS SectorHealth CareHealth Care
GICS IndustryHealth Care Providers & ServicesBiotechnology
Market Capitalization84.45 billion USD13.29 billion USD
ExchangeNYSENasdaqGS
Listing DateNovember 10, 1994May 23, 1996
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of MCK and NBIX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

MCK vs. NBIX: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolMCKNBIX
5-Day Price Return0.30%0.89%
13-Week Price Return-4.46%12.48%
26-Week Price Return12.64%17.27%
52-Week Price Return21.04%-12.18%
Month-to-Date Return-2.11%4.49%
Year-to-Date Return19.13%-1.84%
10-Day Avg. Volume0.83M0.68M
3-Month Avg. Volume0.86M1.13M
3-Month Volatility22.24%23.14%
Beta0.510.21

Profitability

Return on Equity (TTM)

MCK

39.43%

Health Care Providers & Services Industry

Max
26.03%
Q3
13.74%
Median
8.26%
Q1
4.13%
Min
-3.62%

MCK’s Return on Equity of 39.43% is exceptionally high, placing it well beyond the typical range for the Health Care Providers & Services industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

NBIX

13.22%

Biotechnology Industry

Max
77.14%
Q3
10.76%
Median
-20.08%
Q1
-42.71%
Min
-119.20%

In the upper quartile for the Biotechnology industry, NBIX’s Return on Equity of 13.22% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

MCK vs. NBIX: A comparison of their Return on Equity (TTM) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Net Profit Margin (TTM)

MCK

0.92%

Health Care Providers & Services Industry

Max
12.40%
Q3
5.93%
Median
1.96%
Q1
0.93%
Min
-6.10%

Falling into the lower quartile for the Health Care Providers & Services industry, MCK’s Net Profit Margin of 0.92% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

NBIX

13.88%

Biotechnology Industry

Max
59.44%
Q3
16.21%
Median
-11.49%
Q1
-167.42%
Min
-409.07%

NBIX’s Net Profit Margin of 13.88% is aligned with the median group of its peers in the Biotechnology industry. This indicates its ability to convert revenue into profit is typical for the sector.

MCK vs. NBIX: A comparison of their Net Profit Margin (TTM) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Operating Profit Margin (TTM)

MCK

1.23%

Health Care Providers & Services Industry

Max
19.05%
Q3
10.21%
Median
4.22%
Q1
1.98%
Min
-4.27%

MCK’s Operating Profit Margin of 1.23% is in the lower quartile for the Health Care Providers & Services industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

NBIX

19.72%

Biotechnology Industry

Max
60.62%
Q3
20.76%
Median
-12.41%
Q1
-181.14%
Min
-482.02%

NBIX’s Operating Profit Margin of 19.72% is around the midpoint for the Biotechnology industry, indicating that its efficiency in managing core business operations is typical for the sector.

MCK vs. NBIX: A comparison of their Operating Profit Margin (TTM) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Profitability at a Glance

SymbolMCKNBIX
Return on Equity (TTM)39.43%13.22%
Return on Assets (TTM)4.54%9.39%
Net Profit Margin (TTM)0.92%13.88%
Operating Profit Margin (TTM)1.23%19.72%
Gross Profit Margin (TTM)3.59%98.49%

Financial Strength

Current Ratio (MRQ)

MCK

0.90

Health Care Providers & Services Industry

Max
2.01
Q3
1.49
Median
1.30
Q1
0.94
Min
0.17

MCK’s Current Ratio of 0.90 falls into the lower quartile for the Health Care Providers & Services industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

NBIX

3.20

Biotechnology Industry

Max
19.31
Q3
9.38
Median
4.54
Q1
2.45
Min
0.76

NBIX’s Current Ratio of 3.20 aligns with the median group of the Biotechnology industry, indicating that its short-term liquidity is in line with its sector peers.

MCK vs. NBIX: A comparison of their Current Ratio (MRQ) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Debt-to-Equity Ratio (MRQ)

MCK

1.29

Health Care Providers & Services Industry

Max
2.17
Q3
1.18
Median
0.74
Q1
0.45
Min
0.00

MCK’s leverage is in the upper quartile of the Health Care Providers & Services industry, with a Debt-to-Equity Ratio of 1.29. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

NBIX

0.00

Biotechnology Industry

Max
1.35
Q3
0.64
Median
0.09
Q1
0.00
Min
0.00

NBIX’s Debt-to-Equity Ratio of 0.00 is typical for the Biotechnology industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

MCK vs. NBIX: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Interest Coverage Ratio (TTM)

MCK

17.45

Health Care Providers & Services Industry

Max
14.47
Q3
7.15
Median
5.45
Q1
2.04
Min
-4.44

With an Interest Coverage Ratio of 17.45, MCK demonstrates a superior capacity to service its debt, placing it well above the typical range for the Health Care Providers & Services industry. This stems from either robust earnings or a conservative debt load.

NBIX

6.75

Biotechnology Industry

Max
72.37
Q3
1.91
Median
-7.81
Q1
-63.90
Min
-153.80

NBIX’s Interest Coverage Ratio of 6.75 is in the upper quartile for the Biotechnology industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

MCK vs. NBIX: A comparison of their Interest Coverage Ratio (TTM) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Financial Strength at a Glance

SymbolMCKNBIX
Current Ratio (MRQ)0.903.20
Quick Ratio (MRQ)0.513.10
Debt-to-Equity Ratio (MRQ)1.290.00
Interest Coverage Ratio (TTM)17.456.75

Growth

Revenue Growth

MCK vs. NBIX: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

MCK vs. NBIX: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

MCK

0.40%

Health Care Providers & Services Industry

Max
5.38%
Q3
2.22%
Median
0.55%
Q1
0.00%
Min
0.00%

MCK’s Dividend Yield of 0.40% is consistent with its peers in the Health Care Providers & Services industry, providing a dividend return that is standard for its sector.

NBIX

0.00%

Biotechnology Industry

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

NBIX currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

MCK vs. NBIX: A comparison of their Dividend Yield (TTM) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Dividend Payout Ratio (TTM)

MCK

10.47%

Health Care Providers & Services Industry

Max
186.69%
Q3
74.82%
Median
26.76%
Q1
0.00%
Min
0.00%

MCK’s Dividend Payout Ratio of 10.47% is within the typical range for the Health Care Providers & Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

NBIX

0.00%

Biotechnology Industry

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

NBIX has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

MCK vs. NBIX: A comparison of their Dividend Payout Ratio (TTM) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Dividend at a Glance

SymbolMCKNBIX
Dividend Yield (TTM)0.40%0.00%
Dividend Payout Ratio (TTM)10.47%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

MCK

26.24

Health Care Providers & Services Industry

Max
55.89
Q3
30.85
Median
21.17
Q1
12.63
Min
0.00

MCK’s P/E Ratio of 26.24 is within the middle range for the Health Care Providers & Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

NBIX

37.70

Biotechnology Industry

Max
60.14
Q3
38.17
Median
29.01
Q1
15.12
Min
0.00

NBIX’s P/E Ratio of 37.70 is within the middle range for the Biotechnology industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

MCK vs. NBIX: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Price-to-Sales Ratio (TTM)

MCK

0.24

Health Care Providers & Services Industry

Max
3.10
Q3
1.74
Median
0.67
Q1
0.24
Min
0.00

MCK’s P/S Ratio of 0.24 aligns with the market consensus for the Health Care Providers & Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

NBIX

5.23

Biotechnology Industry

Max
76.98
Q3
36.53
Median
9.49
Q1
4.49
Min
0.00

NBIX’s P/S Ratio of 5.23 aligns with the market consensus for the Biotechnology industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

MCK vs. NBIX: A comparison of their Price-to-Sales Ratio (TTM) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Price-to-Book Ratio (MRQ)

MCK

4.06

Health Care Providers & Services Industry

Max
7.61
Q3
4.32
Median
2.53
Q1
1.14
Min
0.77

MCK’s P/B Ratio of 4.06 is within the conventional range for the Health Care Providers & Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

NBIX

4.62

Biotechnology Industry

Max
20.53
Q3
9.76
Median
4.77
Q1
2.49
Min
0.59

NBIX’s P/B Ratio of 4.62 is within the conventional range for the Biotechnology industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

MCK vs. NBIX: A comparison of their Price-to-Book Ratio (MRQ) against their respective Health Care Providers & Services and Biotechnology industry benchmarks.

Valuation at a Glance

SymbolMCKNBIX
Price-to-Earnings Ratio (TTM)26.2437.70
Price-to-Sales Ratio (TTM)0.245.23
Price-to-Book Ratio (MRQ)4.064.62
Price-to-Free Cash Flow Ratio (TTM)9.2624.84