INVO Fertility (NASDAQ:IVF) and McKesson (NYSE:MCK) Critical Survey

McKesson (NYSE:MCK) and INVO Fertility (NASDAQ:IVF) are both healthcare companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, earnings, valuation, profitability, dividends, risk and analyst recommendations.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for McKesson and INVO Fertility, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
McKesson	0	4	15	0	2.79
INVO Fertility	1	0	0	1	2.50

McKesson presently has a consensus price target of $1,040.29, indicating a potential downside of 3.84%. INVO Fertility has a consensus price target of $320.00, indicating a potential upside of 12,160.54%. Given INVO Fertility’s higher possible upside, analysts clearly believe INVO Fertility is more favorable than McKesson.

Institutional & Insider Ownership

85.1% of McKesson shares are held by institutional investors. Comparatively, 12.0% of INVO Fertility shares are held by institutional investors. 0.1% of McKesson shares are held by insiders. Comparatively, 0.4% of INVO Fertility shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares McKesson and INVO Fertility”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
McKesson	$403.43 billion	0.31	$4.76 billion	$38.89	27.82
INVO Fertility	$6.84 million	0.24	-$25.13 million	($135.32)	-0.02

McKesson has higher revenue and earnings than INVO Fertility. INVO Fertility is trading at a lower price-to-earnings ratio than McKesson, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

McKesson has a beta of 0.27, indicating that its share price is 73% less volatile than the S&P 500. Comparatively, INVO Fertility has a beta of 2.42, indicating that its share price is 142% more volatile than the S&P 500.

Profitability

This table compares McKesson and INVO Fertility’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
McKesson	1.12%	-202.94%	5.92%
INVO Fertility	-116.29%	-85.54%	-31.05%

Summary

McKesson beats INVO Fertility on 10 of the 15 factors compared between the two stocks.

About McKesson

McKesson Corporation is a healthcare services and information technology company that distributes pharmaceuticals and other medical products. Its customers include pharmacies, hospitals, health systems, clinics and other healthcare providers. The company also provides medical-surgical supplies and technology and services that support pharmacy operations, prescription management and care delivery. Its offerings include specialized support for oncology and other areas of care. Founded in 1833, McKesson serves customers primarily in the United States and Canada.

About INVO Fertility

INVO Fertility, Inc. is a commercial-stage fertility company focused on expanding access to assisted reproductive technology. The company develops and commercializes fertility products and services designed to provide alternatives to conventional in vitro fertilization (IVF) treatment. Its principal product is INVOcell, a medical device used in the INVO Procedure. The system allows early-stage embryo incubation to take place inside the patient’s body rather than in a conventional laboratory incubator, while still involving the retrieval of eggs, fertilization, and subsequent embryo transfer under the supervision of fertility professionals.