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Market Cap

€5.1b

Last Updated

2021/04/19 20:09 UTC

Data Sources

Company Financials

Executive Summary

McKesson Europe AG provides logistics and services to the pharmaceutical and healthcare sectors worldwide. More Details


Snowflake Analysis

Mediocre balance sheet unattractive dividend payer.


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Share Price & News

How has McKesson Europe's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CLS1 is less volatile than 75% of German stocks over the past 3 months, typically moving +/- 1% a week.

Volatility Over Time: CLS1's weekly volatility (1%) has been stable over the past year.


Market Performance


7 Day Return

-4.6%

CLS1

-1.3%

DE Healthcare

1.4%

DE Market


1 Year Return

-1.6%

CLS1

0.3%

DE Healthcare

43.3%

DE Market

Return vs Industry: CLS1 underperformed the German Healthcare industry which returned 0.3% over the past year.

Return vs Market: CLS1 underperformed the German Market which returned 43.3% over the past year.


Shareholder returns

CLS1IndustryMarket
7 Day-4.6%-1.3%1.4%
30 Day-4.6%1.7%5.3%
90 Day-4.2%-2.9%11.0%
1 Year1.6%-1.6%2.5%0.3%47.6%43.3%
3 Year4.1%-5.3%-23.7%-27.9%28.3%17.8%
5 Yearn/a-28.1%-32.7%55.3%33.8%

Long-Term Price Volatility Vs. Market

How volatile is McKesson Europe's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is McKesson Europe undervalued compared to its fair value and its price relative to the market?

2.95x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: CLS1 (€25) is trading above our estimate of fair value (€14.46)

Significantly Below Fair Value: CLS1 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CLS1 is unprofitable, so we can't compare its PE Ratio to the DE Healthcare industry average.

PE vs Market: CLS1 is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CLS1's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CLS1 is overvalued based on its PB Ratio (2.9x) compared to the DE Healthcare industry average (1.7x).


Future Growth

How is McKesson Europe forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

13.2%

Forecasted Healthcare industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as McKesson Europe has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has McKesson Europe performed over the past 5 years?

-52.3%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: CLS1 is currently unprofitable.

Growing Profit Margin: CLS1 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if CLS1's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Unable to compare CLS1's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CLS1 is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare industry (2%).


Return on Equity

High ROE: CLS1 has a negative Return on Equity (-3.78%), as it is currently unprofitable.


Financial Health

How is McKesson Europe's financial position?


Financial Position Analysis

Short Term Liabilities: CLS1's short term assets (€5.7B) exceed its short term liabilities (€4.9B).

Long Term Liabilities: CLS1's short term assets (€5.7B) exceed its long term liabilities (€1.3B).


Debt to Equity History and Analysis

Debt Level: CLS1's debt to equity ratio (54.4%) is considered high.

Reducing Debt: CLS1's debt to equity ratio has increased from 49.8% to 54.4% over the past 5 years.

Debt Coverage: CLS1's debt is well covered by operating cash flow (32.8%).

Interest Coverage: CLS1 is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Dividend

What is McKesson Europe current dividend yield, its reliability and sustainability?

3.32%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CLS1's dividend (3.32%) is higher than the bottom 25% of dividend payers in the German market (1.05%).

High Dividend: CLS1's dividend (3.32%) is in the top 25% of dividend payers in the German market (3.13%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, CLS1 has been paying a dividend for less than 10 years.

Growing Dividend: CLS1 has only been paying a dividend for 4 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: CLS1 is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.6yrs

Average management tenure


CEO

Kevin Kettler

2.42yrs

Tenure

Mr. Kevin Kettler has been Chairman of the Management Board at McKesson Europe AG since November 1, 2018 and its Labour Relations Director since November 2018.


Leadership Team

Experienced Management: CLS1's management team is seasoned and experienced (6.6 years average tenure).


Board Members

Experienced Board: CLS1's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

McKesson Europe AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: McKesson Europe AG
  • Ticker: CLS1
  • Exchange: HMSE
  • Founded: 1835
  • Industry: Health Care Distributors
  • Sector: Healthcare
  • Market Cap: €5.081b
  • Shares outstanding: 203.22m
  • Website: https://www.mckesson.eu/mck-en

Number of Employees


Location

  • McKesson Europe AG
  • Stockholmer Platz 1
  • Stuttgart
  • Baden-Württemberg
  • 70137
  • Germany

Listings


Biography

McKesson Europe AG provides logistics and services to the pharmaceutical and healthcare sectors worldwide. The company operates through two divisions, Consumer Solutions and Pharmacy Solutions. The Consume...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/19 20:09
End of Day Share Price2021/04/19 00:00
Earnings2020/03/31
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.