Analyzing McKesson Europe (OTCMKTS:CAKFY) and Cosmos Health (NASDAQ:COSM)

McKesson Europe (OTCMKTS:CAKFY) and Cosmos Health (NASDAQ:COSM) are both medical companies, but which is the better business? We will compare the two companies based on the strength of their valuation, earnings, dividends, analyst recommendations, risk, profitability and institutional ownership.

Insider & Institutional Ownership

0.0% of McKesson Europe shares are owned by institutional investors. Comparatively, 12.6% of Cosmos Health shares are owned by institutional investors. 18.7% of Cosmos Health shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares McKesson Europe and Cosmos Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
McKesson Europe	N/A	N/A	N/A
Cosmos Health	-38.19%	-5.83%	-3.29%

Valuation and Earnings

This table compares McKesson Europe and Cosmos Health”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
McKesson Europe	N/A	N/A	N/A	$0.09	47.67
Cosmos Health	$56.45 million	0.23	-$18.54 million	($2.26)	-0.34

McKesson Europe has higher earnings, but lower revenue than Cosmos Health. Cosmos Health is trading at a lower price-to-earnings ratio than McKesson Europe, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and target prices for McKesson Europe and Cosmos Health, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
McKesson Europe	0	0	0	0	N/A
Cosmos Health	0	0	1	0	3.00

Summary

McKesson Europe beats Cosmos Health on 5 of the 9 factors compared between the two stocks.

About McKesson Europe

McKesson Europe AG provides logistics and other services to the pharmaceutical and healthcare sectors worldwide. The company operates through two divisions, Pharmaceutical Distribution and Retail Pharmacy. The Pharmaceutical Distribution division engages in the wholesale of pharmaceutical and other health care products. This division serves its customers through 90 wholesale branches that supply pharmaceutical products to approximately 40,000 pharmacies and hospitals, as well as operates 70 distribution centers in Europe. The Retail Pharmacy division operates approximately 2,000 owned pharmacies and approximately 8,000 members in its brand partnership program. This division also provides outpatient drug, e-commerce, and home care services primarily in Belgium, Ireland, Italy, and the United Kingdom under the Lloyds Pharmacy brand. In addition, this division provides traditional prescription drugs, over-the-counter products, and medical services. It also provides other services for pharmacists, such as the organization and management of pharmacy cooperation programs in the Great Britain, France, Portugal, and Belgium. The company was formerly known as Celesio AG and changed its name to McKesson Europe AG in September 2017. The company was founded in 1835 and is headquartered in Stuttgart, Germany. McKesson Europe AG is a subsidiary of McKesson Corporation.

About Cosmos Health

Cosmos Health Inc. manufactures, develops, and trades branded nutraceutical products in Greece, the United Kingdom, Croatia, Bulgaria, Cayman Islands, and Cyprus. It offers medicines, OTC medicines, nutraceutical products, vitamins, minerals and dietary, health care products, medical devices, baby products, and others under the Sky Premium Life and Mediterranation brand names. The company serves wholesale distributors and other healthcare providers, such as clinics, government agencies, independent retail and specialty pharmacies and independent specialty distributors. It sells its products through independent wholesale distributors. Cosmos Health Inc. was incorporated in 2009 and is headquartered in Chicago, Illinois.