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CAH vs MCK
Which Stock Would AI Choose? Cardinal Health (CAH) vs. McKesson (MCK) Stock Comparison
Key Takeaways
- Both CAH and MCK are large-cap U.S. pharmaceutical distribution leaders benefiting from resilient healthcare demand and specialty-drug growth, yet they differ in valuation, momentum, and catalysts.
- Cardinal Health is expanding higher-margin specialty and physician-services businesses, while McKesson is consolidating its position through large acquisitions and a renewed long-term customer agreement.
- On a forward price-to-earnings (P/E) basis, CAH currently trades slightly below MCK, though McKesson has shown stronger recent relative strength and analyst price-target momentum.
- Tickeron AI Verdict: McKesson (MCK) is the ticker of choice, reflecting more consistent trend strength, fresh 52-week highs, and a broader catalyst pipeline.
- For deeper coverage, explore CAH Major News and CAH Today's Price Move, as well as MCK Major News and MCK Today's Price Move.
- To see which strategies are currently leading, explore the curated Trending AI Robots.
Introduction
Cardinal Health and McKesson are two of the three largest U.S. pharmaceutical wholesale distributors, together with Cencora handling a substantial majority of the country's branded and generic drug distribution. Because both names sit in the same defensive healthcare sub-sector, they are frequently compared by investors seeking stable revenue streams, modest-but-reliable margins, and exposure to specialty pharmaceutical growth. This stock comparison is relevant for long-term, income-oriented investors as well as momentum-focused traders who want to understand how relative performance, valuation, and market positioning differ between two industry giants that often move on the same macro forces.
CAH Overview and Recent Performance
Cardinal Health (CAH) distributes pharmaceuticals and specialty products, manufactures and distributes medical and laboratory supplies, and operates higher-margin businesses in at-home care, nuclear and precision health, and logistics. In its most recent reported quarter, adjusted earnings per share (EPS) rose roughly 40% year over year, driven by strength in the Pharmaceutical and Specialty Solutions segment, while revenue advanced about 6% but came in slightly below consensus expectations. Full-year adjusted EPS climbed approximately 37%. Sentiment has been supported by rapid growth in the specialty platform and management-serviced physician organizations, plus a raised forward earnings outlook. Shares have outperformed the broader market over recent months, and analysts have lifted price targets in response to repeated guidance increases.
MCK Overview and Recent Performance
McKesson (MCK) operates through North American pharmaceutical distribution, oncology and multispecialty services, prescription technology solutions, and medical-surgical distribution. In recent market activity, the stock has traded near the upper end of its 52-week range and touched fresh 52-week highs, supported by double-digit revenue growth and a sharp rise in annual earnings. Key developments include the renewal of a major pharmacy distribution agreement through 2032 and a joint agreement to acquire Option Care Health, a leading home-infusion provider, for roughly $5.8 billion. Several sell-side firms have raised price targets in recent weeks, citing diversified growth drivers and disciplined capital deployment. These factors have reinforced McKesson's perception as a defensive, growth-oriented healthcare holding.
Trending AI Robots
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Head-to-Head Comparison
Both companies share a low-margin, high-volume distribution model, but their growth profiles diverge. Cardinal Health is leaning into specialty pharmaceuticals and physician-services expansion, which supports faster EPS growth and improving margins, and its shares carry a slightly lower forward P/E. McKesson, by contrast, is pursuing larger-scale mergers and acquisitions (M&A), including the Option Care Health deal and a planned specialty acquisition, while benefiting from a long-dated customer agreement that improves revenue visibility. On momentum, McKesson has demonstrated stronger recent relative strength and a cluster of analyst target increases, though it trades at a premium valuation. Risk factors for both include drug-pricing regulation, potential tariff and cost inflation, and the inherently thin margins of distribution; McKesson additionally carries integration risk from its acquisition activity.
Tickeron AI Verdict
Based on observable trend consistency, stability, and catalyst breadth, Tickeron's AI would likely favor MCK over CAH in the current environment. McKesson's position near 52-week highs, its stronger relative-strength profile, and a wider pipeline of corporate catalysts support a more constructive probability-weighted outlook. Cardinal Health offers compelling earnings growth and a lower valuation, but its recent trend has been comparatively less dominant. This assessment reflects probabilistic analysis of momentum and positioning rather than a definitive prediction of future returns.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is CAH is a StrongBuy and MCK is a StrongBuy.
CAH's MACD Histogram crosses above signal line
The Moving Average Convergence Divergence (MACD) for CAH turned positive on November 04, 2026. Looking at past instances where CAH's MACD turned positive, the stock continued to rise in 30 of 42 cases over the following month. The odds of a continued upward trend are 71%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on November 04, 2026. You may want to consider a long position or call options on CAH as a result. In 59 of 87 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 68%.
CAH moved above its 50-day moving average on October 08, 2026 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for CAH crossed bullishly above the 50-day moving average on October 13, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 7 of 12 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 58%.
Following a +1.32% 3-day Advance, the price is estimated to grow further. Considering data from situations where CAH advanced for three days, in 264 of 394 cases, the price rose further within the following month. The odds of a continued upward trend are 67%.
The Aroon Indicator entered an Uptrend today. In 188 of 310 cases where CAH Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 61%.
Bearish Trend Analysis
The RSI Indicator demonstrates that the ticker has stayed in the overbought zone for 7 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CAH declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 43%.
CAH broke above its upper Bollinger Band on November 04, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 2 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 73, placing this stock better than average.
The Tickeron Price Growth Rating for this company is 5 (best 1 - 100 worst), indicating outstanding price growth. CAH’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 20 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of 30 (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (-21.824) is normal, around the industry mean (14.423). CAH has a moderately high P/E Ratio (37.376) as compared to the industry average of (11.188). Projected Growth (PEG Ratio) (1.105) is also within normal values, averaging (2.016). Dividend Yield (0.008) settles around the average of (0.134) among similar stocks. P/S Ratio (0.217) is also within normal values, averaging (4.260).
The Tickeron SMR rating for this company is 99 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
Aroon Indicator for MCK shows an upward move is likely
MCK's Aroon Indicator triggered a bullish signal on November 13, 2026. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 355 similar instances where the Aroon Indicator showed a similar pattern. In 260 of the 355 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at 73%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on November 04, 2026. You may want to consider a long position or call options on MCK as a result. In 53 of 95 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 56%.
The Moving Average Convergence Divergence (MACD) for MCK just turned positive on November 04, 2026. Looking at past instances where MCK's MACD turned positive, the stock continued to rise in 37 of 53 cases over the following month. The odds of a continued upward trend are 70%.
Following a +7.24% 3-day Advance, the price is estimated to grow further. Considering data from situations where MCK advanced for three days, in 254 of 382 cases, the price rose further within the following month. The odds of a continued upward trend are 66%.
Bearish Trend Analysis
The RSI Indicator demonstrates that the ticker has stayed in the overbought zone for 7 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The Stochastic Oscillator has been in the overbought zone for 2 days. Expect a price pull-back in the near future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where MCK declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 43%.
MCK broke above its upper Bollinger Band on November 04, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 5 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 73, placing this stock better than average.
The Tickeron Price Growth Rating for this company is 7 (best 1 - 100 worst), indicating outstanding price growth. MCK’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 13 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (-29.171) is normal, around the industry mean (14.423). MCK has a moderately high P/E Ratio (28.334) as compared to the industry average of (11.188). Projected Growth (PEG Ratio) (1.616) is also within normal values, averaging (2.016). Dividend Yield (0.004) settles around the average of (0.134) among similar stocks. P/S Ratio (0.265) is also within normal values, averaging (4.260).
The Tickeron PE Growth Rating for this company is 33 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 100 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
CAH | MCK | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 34 | 35 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 30 Undervalued | 13 Undervalued | |
PROFIT vs RISK RATING 1..100 | 2 | 5 | |
SMR RATING 1..100 | 99 | 100 | |
PRICE GROWTH RATING 1..100 | 5 | 7 | |
P/E GROWTH RATING 1..100 | 20 | 33 | |
SEASONALITY SCORE 1..100 | n/a | 48 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
MCK's Valuation (13) in the Medical Distributors industry is in the same range as CAH (30). This means that MCK’s stock grew similarly to CAH’s over the last 12 months.
CAH's Profit vs Risk Rating (2) in the Medical Distributors industry is in the same range as MCK (5). This means that CAH’s stock grew similarly to MCK’s over the last 12 months.
CAH's SMR Rating (99) in the Medical Distributors industry is in the same range as MCK (100). This means that CAH’s stock grew similarly to MCK’s over the last 12 months.
CAH's Price Growth Rating (5) in the Medical Distributors industry is in the same range as MCK (7). This means that CAH’s stock grew similarly to MCK’s over the last 12 months.
CAH's P/E Growth Rating (20) in the Medical Distributors industry is in the same range as MCK (33). This means that CAH’s stock grew similarly to MCK’s over the last 12 months.
| CAH | MCK | |
|---|---|---|
| RSI ODDS (%) | 1 day ago 45% | 1 day ago 41% |
| Stochastic ODDS (%) | 1 day ago 49% | 1 day ago 43% |
| Momentum ODDS (%) | 1 day ago 68% | 1 day ago 56% |
| MACD ODDS (%) | 1 day ago 71% | 1 day ago 70% |
| TrendWeek ODDS (%) | 1 day ago 67% | 1 day ago 66% |
| TrendMonth ODDS (%) | 1 day ago 65% | 1 day ago 70% |
| Advances ODDS (%) | 1 day ago 67% | 10 days ago 66% |
| Declines ODDS (%) | 18 days ago 43% | 3 days ago 43% |
| BollingerBands ODDS (%) | 1 day ago 40% | 1 day ago 43% |
| Aroon ODDS (%) | 1 day ago 61% | 1 day ago 73% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
CAH’s FA Score shows that 4 FA rating(s) are green while MCK’s FA Score has 4 green FA rating(s).
- CAH’s FA Score: 4 green, 1 red.
- MCK’s FA Score: 4 green, 1 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
CAH’s TA Score shows that 6 TA indicator(s) are bullish while MCK’s TA Score has 4 bullish TA indicator(s).
- CAH’s TA Score: 6 bullish, 4 bearish.
- MCK’s TA Score: 4 bullish, 4 bearish.
Price Growth
CAH (@Medical Distributors) experienced а +3.45% price change this week, while MCK (@Medical Distributors) price change was +3.96% for the same time period.
The average weekly price growth across all stocks in the @Medical Distributors industry was -9.56%. For the same industry, the average monthly price growth was -20.12%, and the average quarterly price growth was -23.70%.
Reported Earning Dates
CAH is expected to report earnings on Feb 04, 2027.
MCK is expected to report earnings on Feb 10, 2027.
Industries' Descriptions
@Medical Distributors (-9.56% weekly)Healthcare distribution market can be segmented into pharmaceutical product distribution services, medical device distribution services, and biopharmaceutical product distribution services. In addition to serving as intermediaries, many medical distributors also purchase and take legal ownership of pharmaceuticals and manage inventory and credit risk. According to a Deloitte report, pharmaceutical distributors’ core services of efficient product distribution, inventory management, financial risk management, and information-sharing generate $33 billion-$53 billion in value annually to the U.S. health care ecosystem. Some prominent players in the overall medical distribution industry include McKesson Corporation, AmerisourceBergen Corporation, Cardinal Health, Inc. and Patterson Companies, Inc.
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CAH and
Correlation & Price change
A.I.dvisor indicates that over the last year, CAH has been closely correlated with MCK. These tickers have moved in lockstep 72% of the time. This A.I.-generated data suggests there is a high statistical probability that if CAH jumps, then MCK could also see price increases.
| Ticker / NAME | Correlation To CAH | 1D Price Change % | ||
|---|---|---|---|---|
| CAH | 100% | +1.06% | ||
| MCK - CAH | 72% Closely correlated | +2.39% | ||
| COR - CAH | 61% Loosely correlated | +2.96% | ||
| HSIC - CAH | 8% Poorly correlated | +0.09% | ||
| AHG - CAH | 4% Poorly correlated | -5.93% | ||
| FOCL - CAH | 2% Poorly correlated | -4.84% | ||
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