Is McKesson (MCK) an Overlooked Dividend Stock in the Pharma Sector for 2025?

McKesson Corporation (NYSE:MCK) is included among the 14 Best Pharma Dividend Stocks to Buy in 2025.

In its fourth-quarter 2025 earnings announcement, the company revealed plans to spin off its Medical-Surgical Solutions segment into a separate entity, referred to as “NewCo.” Management emphasized that disciplined portfolio management remains a core element of its overall strategy. McKesson stated that this separation is expected to strengthen the strategic direction and operational focus of both businesses, while also delivering greater value to shareholders.

McKesson Corporation (NYSE:MCK)’s cash position came in strong in fiscal 2025. Over the full fiscal year, the company returned $3.5 billion to its shareholders, comprising $3.1 billion in share buybacks and $345 million in dividends. It reported $6.1 billion in cash flow from operations and allocated $859 million toward capital expenditures, leading to a free cash flow of $5.2 billion.

McKesson Corporation (NYSE:MCK) has been growing its payouts for eight consecutive years, and in the past five years, its dividend growth came in at nearly 12%. The company currently offers a quarterly dividend of $0.71 per share and has a dividend yield of 0.40%, as of July 17.

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Disclosure: None.