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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.

A successful pharmacist in front of shelves of drugs in a community-based oncology pharmacy.

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.

While we acknowledge the potential of MCK to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than MCK and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 13 Best Industrial Dividend Stocks to Buy Right Now and 10 Best Passive Income Stocks to Buy Now.

Disclosure: None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

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