WallStSmart
MCK

McKesson Corporation

NYSE: MCK · HEALTHCARE · MEDICAL DISTRIBUTION

$822.63
-1.48% today

Updated 2026-04-29

Market cap
$101.43B
P/E ratio
23.93
P/S ratio
0.26x
EPS (TTM)
$34.61
Dividend yield
0.37%
52W range
$635 – $999
Volume
0.8M

McKesson Corporation (MCK) Stock Valuation Analysis

Fair value estimate, historical valuation range, and quality signals for MCK.

WallStSmart Verdict
Fairly
Valued

Valuation reasonably reflects current fundamentals. Limited margin of safety at these levels.

Smart Value Score: 57 / 100
P/E (TTM)
23.9x
vs 5Y median of 24.0x
PEG
1.01
Fair range
Margin of Safety
+63.78%
Fair value $2,631.85 vs $822.63
EV / EBITDA
16.5x

MCK historical valuation range

Where current P/E sits in MCK's own 5Y range.

NOW
14.2x
5Y Low
23.6x
25th
24.0x
Median
25.2x
75th
42.3x
5Y High
MCK is trading cheaper than 63% of the last 5Y.
38th percentile · Below median

MCK intrinsic value (DCF)

DCF-based fair value estimate vs current market price.

Current price
$822.63
Market value
Intrinsic value
$2,631.85
DCF estimate
Margin of safety
+63.78%
+219.9% upside to fair value

Intrinsic value calculated using discounted cash flow (DCF) model based on projected free cash flows, discount rate, and terminal growth assumptions. A positive margin of safety indicates the current price is below estimated fair value, providing a cushion against estimation error.

MCK valuation signals

Quick-read green flags, caution flags, and risks based on current metrics.

!
PEG in fair range
PEG of 1.01 suggests price reflects growth fairly. Neither a bargain nor overpriced.
!
P/E in mid-range
P/E sits at the 38th percentile of the 5Y range. Neither cheap nor rich historically.
Strong margin of safety
Current price 63.8% below DCF intrinsic value estimate. Meaningful downside cushion.

P/E Ratio — History

Current: 23.93x

P/S Ratio — History

Current: 0.26x

Is MCK overvalued in 2026?

McKesson Corporation (MCK) currently trades at $822.63 per share with a market capitalization of $101,433,082,000.00. Based on our multi-factor framework, the stock trades at a fair valuation with a Smart Value Score of 57/100. This score blends growth quality, financial health, and price attractiveness into a single institutional-grade read.

The stock trades at a P/E ratio of 23.9x, below its 5-year median of 24.0x. The PEG ratio of 1.01 points to a price that reasonably reflects expected earnings growth.

Looking at its own history, MCK is currently trading cheaper than 63% of the last 5Y on P/E. This places it in the 38th percentile of its historical range, a reasonable but unremarkable position.

Our discounted cash flow model estimates MCK's intrinsic value at $2,631.85 per share, against the current market price of $822.63. This implies a margin of safety of +63.78%. A meaningful cushion exists against model error, making this a reasonable risk-adjusted entry.

The Piotroski F-Score of 4/9 puts financial quality in a middling range, neither a standout strength nor an obvious red flag.

Bottom line: MCK trades at a fair valuation on our framework, with a Smart Value Score of 57/100. The valuation is defensible but offers no obvious bargain. Patience or a better entry price may reward disciplined buyers.

Frequently asked questions

Is MCK overvalued in 2026?

Based on a Smart Value Score of 57/100, MCK is fairly valued. Price reasonably reflects current fundamentals with limited cushion in either direction.

What is MCK's fair value?

Our DCF model estimates MCK's intrinsic value at $2,631.85 per share, versus the current price of $822.63. This produces a margin of safety of +63.78%.

What P/E ratio does MCK trade at?

MCK trades at a P/E of 23.9x on trailing twelve-month earnings, compared to its 5-year median of 24.0x.

Is MCK a buy based on valuation?

WallStSmart does not issue buy or sell recommendations. Our Smart Value Score of 57/100 reflects the combined read on growth, quality, and price. The profile is balanced. Best suited for investors with an existing thesis.

How does MCK's valuation compare to its history?

On P/E, MCK currently sits in the 38th percentile of its own 5Y range. That is below its long-run median relative to where it has traded over the period.

What is MCK's Smart Value Score?

MCK's Smart Value Score is 57/100. The Smart Value Score is a proprietary WallStSmart metric blending growth quality, financial health, and valuation attractiveness into a single 0-100 read. Scores above 75 are rare and indicate strong multi-factor alignment.