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

Updated June 24, 2025

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

Company Overview

MCK’s market capitalization of 90.31 billion USD is substantially larger than SMMT’s 15.14 billion USD, indicating a significant difference in their market valuations.

MCK has a positive beta (0.49), indicating it generally moves with the broader market, whereas SMMT has a negative beta (-1.05), often moving inversely, which can offer diversification or hedging benefits.

Symbol	MCK	SMMT
Company Name	McKesson Corporation	Summit Therapeutics Inc.
Country	US	US
Sector	Healthcare	Healthcare
Industry	Medical - Distribution	Biotechnology
CEO	Mr. Brian S. Tyler Ph.D.	Mr. Robert W. Duggan
Price	721.83 USD	20.39 USD
Market Cap	90.31 billion USD	15.14 billion USD
Beta	0.49	-1.05
Exchange	NYSE	NASDAQ
IPO Date	November 10, 1994	March 5, 2015
ADR	No	No

Historical Performance

This chart compares the performance of MCK and SMMT over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Data is adjusted for dividends and splits.

Profitability

Return on Equity

MCK

-132.73%

Medical - Distribution Industry

Max: 14.21%
Q3: 14.21%
Median: 11.87%
Q1: -50.95%
Min: -132.73%

MCK has a negative Return on Equity of -132.73%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

SMMT

-70.50%

Biotechnology Industry

Max: 88.17%
Q3: -3.67%
Median: -32.82%
Q1: -68.26%
Min: -147.61%

SMMT has a negative Return on Equity of -70.50%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

MCK vs. SMMT: A comparison of their ROE against their respective Medical - Distribution and Biotechnology industry benchmarks.

Return on Invested Capital

MCK

26.59%

Medical - Distribution Industry

Max: 12.79%
Q3: 10.23%
Median: 8.99%
Q1: 5.81%
Min: 5.81%

MCK’s Return on Invested Capital of 26.59% is exceptionally high, placing it well beyond the typical range for the Medical - Distribution industry. This demonstrates an outstanding ability to deploy capital efficiently and create significant value.

SMMT

-48.26%

Biotechnology Industry

Max: 46.00%
Q3: -13.54%
Median: -32.10%
Q1: -53.49%
Min: -111.05%

SMMT has a negative Return on Invested Capital of -48.26%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.

MCK vs. SMMT: A comparison of their ROIC against their respective Medical - Distribution and Biotechnology industry benchmarks.

Net Profit Margin

MCK

0.92%

Medical - Distribution Industry

Max: 3.21%
Q3: 2.13%
Median: 0.70%
Q1: 0.55%
Min: 0.55%

MCK’s Net Profit Margin of 0.92% is aligned with the median group of its peers in the Medical - Distribution industry. This indicates its ability to convert revenue into profit is typical for the sector.

SMMT

Biotechnology Industry

Max: 238.42%
Q3: -9.15%
Median: -119.54%
Q1: -1,082.88%
Min: -2,642.69%

Net Profit Margin data for SMMT is currently unavailable.

MCK vs. SMMT: A comparison of their Net Profit Margin against their respective Medical - Distribution and Biotechnology industry benchmarks.

Operating Profit Margin

MCK

1.24%

Medical - Distribution Industry

Max: 5.22%
Q3: 3.08%
Median: 1.07%
Q1: 0.83%
Min: -1.61%

MCK’s Operating Profit Margin of 1.24% is around the midpoint for the Medical - Distribution industry, indicating that its efficiency in managing core business operations is typical for the sector.

SMMT

Biotechnology Industry

Max: 570.33%
Q3: -10.32%
Median: -120.17%
Q1: -1,214.02%
Min: -2,973.10%

Operating Profit Margin data for SMMT is currently unavailable.

MCK vs. SMMT: A comparison of their Operating Margin against their respective Medical - Distribution and Biotechnology industry benchmarks.

Profitability at a Glance

Symbol	MCK	SMMT
Return on Equity (TTM)	-132.73%	-70.50%
Return on Assets (TTM)	4.39%	-62.73%
Return on Invested Capital (TTM)	26.59%	-48.26%
Net Profit Margin (TTM)	0.92%	--
Operating Profit Margin (TTM)	1.24%	--
Gross Profit Margin (TTM)	3.66%	--

Financial Strength

Current Ratio

MCK

0.90

Medical - Distribution Industry

Max: 1.41
Q3: 1.38
Median: 1.13
Q1: 0.90
Min: 0.87

MCK’s Current Ratio of 0.90 aligns with the median group of the Medical - Distribution industry, indicating that its short-term liquidity is in line with its sector peers.

SMMT

10.63

Biotechnology Industry

Max: 28.73
Q3: 13.84
Median: 6.20
Q1: 3.34
Min: 0.24

SMMT’s Current Ratio of 10.63 aligns with the median group of the Biotechnology industry, indicating that its short-term liquidity is in line with its sector peers.

MCK vs. SMMT: A comparison of their Current Ratio against their respective Medical - Distribution and Biotechnology industry benchmarks.

Debt-to-Equity Ratio

MCK

-3.56

Medical - Distribution Industry

Max: 7.76
Q3: 4.37
Median: 0.65
Q1: 0.31
Min: 0.03

MCK has a Debt-to-Equity Ratio of -3.56, which indicates negative shareholder equity where liabilities exceed assets. This is a critical sign of financial distress.

SMMT

0.02

Biotechnology Industry

Max: 0.46
Q3: 0.22
Median: 0.05
Q1: 0.01
Min: 0.00

SMMT’s Debt-to-Equity Ratio of 0.02 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. SMMT: A comparison of their D/E Ratio against their respective Medical - Distribution and Biotechnology industry benchmarks.

Interest Coverage Ratio

MCK

25.45

Medical - Distribution Industry

Max: 15.45
Q3: 9.41
Median: 7.07
Q1: 4.10
Min: -1.21

With an Interest Coverage Ratio of 25.45, MCK demonstrates a superior capacity to service its debt, placing it well above the typical range for the Medical - Distribution industry. This stems from either robust earnings or a conservative debt load.

SMMT

-30.27

Biotechnology Industry

Max: 112.09
Q3: -3.01
Median: -14.97
Q1: -85.97
Min: -207.17

SMMT has a negative Interest Coverage Ratio of -30.27. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

MCK vs. SMMT: A comparison of their Interest Coverage against their respective Medical - Distribution and Biotechnology industry benchmarks.

Financial Strength at a Glance

Symbol	MCK	SMMT
Current Ratio (TTM)	0.90	10.63
Quick Ratio (TTM)	0.53	10.63
Debt-to-Equity Ratio (TTM)	-3.56	0.02
Debt-to-Asset Ratio (TTM)	0.10	0.02
Net Debt-to-EBITDA Ratio (TTM)	0.33	1.19
Interest Coverage Ratio (TTM)	25.45	-30.27

Growth

The following charts compare key year-over-year (YoY) growth metrics for MCK and SMMT. These metrics are based on the companies’ annual financial reports.

Revenue Growth (YoY)

MCK vs. SMMT: A comparison of their annual year-over-year Revenue Growth.

EPS Growth (YoY)

MCK vs. SMMT: A comparison of their annual year-over-year EPS (Earnings Per Share) Growth.

Free Cash Flow Growth (YoY)

MCK vs. SMMT: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

MCK

0.39%

Medical - Distribution Industry

Max: 1.66%
Q3: 0.74%
Median: 0.39%
Q1: 0.00%
Min: 0.00%

MCK’s Dividend Yield of 0.39% is consistent with its peers in the Medical - Distribution industry, providing a dividend return that is standard for its sector.

SMMT

0.00%

Biotechnology Industry

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

SMMT 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. SMMT: A comparison of their Dividend Yield against their respective Medical - Distribution and Biotechnology industry benchmarks.

Dividend Payout Ratio

MCK

10.47%

Medical - Distribution Industry

Max: 66.64%
Q3: 26.81%
Median: 17.80%
Q1: 0.00%
Min: 0.00%

MCK’s Dividend Payout Ratio of 10.47% is within the typical range for the Medical - Distribution industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

SMMT

0.00%

Biotechnology Industry

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

SMMT 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. SMMT: A comparison of their Payout Ratio against their respective Medical - Distribution and Biotechnology industry benchmarks.

Dividend at a Glance

Symbol	MCK	SMMT
Dividend Yield (TTM)	0.39%	0.00%
Dividend Payout Ratio (TTM)	10.47%	0.00%

Valuation

Price-to-Earnings Ratio

MCK

27.43

Medical - Distribution Industry

Max: 33.61
Q3: 30.50
Median: 25.17
Q1: 20.91
Min: 19.32

MCK’s P/E Ratio of 27.43 is within the middle range for the Medical - Distribution industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

SMMT

-62.51

Biotechnology Industry

Max: 89.12
Q3: 54.87
Median: 20.22
Q1: 12.04
Min: 0.84

SMMT has a negative P/E Ratio of -62.51. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.

MCK vs. SMMT: A comparison of their P/E Ratio against their respective Medical - Distribution and Biotechnology industry benchmarks.

Forward P/E to Growth Ratio

MCK

2.12

Medical - Distribution Industry

Max: 3.33
Q3: 3.13
Median: 2.33
Q1: 1.94
Min: 1.14

MCK’s Forward PEG Ratio of 2.12 is within the middle range of its peers in the Medical - Distribution industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

SMMT

6.46

Biotechnology Industry

Max: 2.71
Q3: 1.17
Median: 0.44
Q1: 0.13
Min: 0.00

SMMT’s Forward PEG Ratio of 6.46 is exceptionally high for the Biotechnology industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.

MCK vs. SMMT: A comparison of their Forward PEG Ratio against their respective Medical - Distribution and Biotechnology industry benchmarks.

Price-to-Sales Ratio

MCK

0.25

Medical - Distribution Industry

Max: 1.01
Q3: 0.69
Median: 0.25
Q1: 0.18
Min: 0.05

MCK’s P/S Ratio of 0.25 aligns with the market consensus for the Medical - Distribution industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

SMMT

Biotechnology Industry

Max: 149.59
Q3: 71.74
Median: 14.80
Q1: 4.75
Min: 0.18

P/S Ratio data for SMMT is currently unavailable.

MCK vs. SMMT: A comparison of their P/S Ratio against their respective Medical - Distribution and Biotechnology industry benchmarks.

Price-to-Book Ratio

MCK

-43.57

Medical - Distribution Industry

Max: 56.19
Q3: 31.91
Median: 2.80
Q1: 2.48
Min: 0.99

MCK has a negative P/B Ratio of -43.57, indicating its liabilities exceed its assets and result in negative shareholder equity. This is a critical warning sign of financial distress.

SMMT

43.71

Biotechnology Industry

Max: 18.16
Q3: 8.31
Median: 3.49
Q1: 1.73
Min: 0.01

The P/B Ratio is often not a primary valuation metric for the Biotechnology industry.

MCK vs. SMMT: A comparison of their P/B Ratio against their respective Medical - Distribution and Biotechnology industry benchmarks.

Valuation at a Glance

Symbol	MCK	SMMT
Price-to-Earnings Ratio (P/E, TTM)	27.43	-62.51
Forward PEG Ratio (TTM)	2.12	6.46
Price-to-Sales Ratio (P/S, TTM)	0.25	--
Price-to-Book Ratio (P/B, TTM)	-43.57	43.71
Price-to-Free Cash Flow Ratio (P/FCF, TTM)	16.10	-87.26
EV-to-EBITDA (TTM)	17.93	-86.69
EV-to-Sales (TTM)	0.26	--