McKesson drives growth with oncology, strong cash flow, and share buybacks in US pharma market

McKesson, a leading pharmaceutical distributor in the US oligopoly, generates over $5 billion in free cash flow and is expanding through its oncology segment, which saw a 31% revenue increase year-over-year. The company is strategically acquiring businesses to shift towards higher-margin areas while maintaining strong liquidity and low debt despite negative shareholder equity from buybacks and opioid liabilities. McKesson's disciplined capital returns and undervalued discounted cash flow make it a compelling buy for investors focused on earnings growth and market positioning.