MCKMcKesson Corporation
Is the price fair?
Neither cheap nor expensive: nothing decisive, though modest expectations priced in.
Priced for ~1% a year FCF growth. The price demands less than its three-year revenue growth of 13% a year, expectations look modest.
In its normal range: P/E 25.2 vs a 23.6 median over 31 quarters (+7% vs median).
Where this answer is blind. The growth-implied estimate assumes a fixed discount rate; capital-heavy sectors look structurally rich on it.
What MCK's price assumes
McKesson Corporation trades at 25.2× earnings against 26.2× for the median Healthcare name, cheaper than its own group.
Trailing P/E · Healthcare median 26.2 · cheaper than the typical name in its group
- Price / sales
- 0.22
Price / sales · as of 2026-Q2
- Free cash flow yield
- 7.3%
Free cash flow yield · Healthcare median 4.8%
- Growth the price implies
- +0.62%
Growth the price implies · The price pays for +0.62% free cash flow growth a year for a decade; the business has delivered +11% a year over the last three.
Details›
- EV / EBIToperating margin 1.6%: the multiple describes the denominator
- not meaningful
- EV / salesas of 2026-Q2
- 0.23
- Healthcare median P/E509 names
- 26.2
- Free cash flow, trailing twelve months
- $6.42B
- Market capitalisation
- $87.9B
- 3-year revenue growth
- +13%
- 3-year free cash flow growth
- +11%
| Method | Per share |
|---|---|
| Its own P/E history, lower quartile | $609.09 |
| Its own P/E history, median | $880.79 |
| Its own P/E history, upper quartile | $969.54 |
| 52-week range | $695.00 – $994.59 |
| Today | $938.60 |
Multiples from SEC filings and end-of-day closes; implied growth from a reverse discounted cash flow. Group medians across the names Ryufin tracks.
Healthcare
Ranks #2 of 446 by RyuScore