Cardinal Health Inc vs Mckesson Corp

Cardinal Health Inc (CAH) is slightly overvalued and Mckesson Corp (MCK) is undervalued.

Against our estimates of intrinsic value, MCK trades at the wider discount: a margin of safety of +29%, against -9% for CAH.

Values as of the 22 Sept 2026 close.

Cardinal Health Inc (CAH)

Discounting its cash flows at 7.9% (average of 3 methods) values the shares at $203.47; the price of $222.04 is 9% above that value, and 80% of that value comes from beyond year five.

Leak Score 43/100 on 8 of 12 signals

Mckesson Corp (MCK)

Discounting its cash flows at 7.5% (average of 3 methods) values the shares at $1250.61; the price of $891.23 is 29% below that value, and 82% of that value comes from beyond year five.

Leak Score 78/100 on 8 of 12 signals

MetricCAHMCK
VerdictSlightly overvaluedUndervalued
Price$222.04$891.23
Intrinsic value$203.47$1250.61
Margin of safety-9%+29%
Leak Score43/100 (8/12)78/100 (8/12)
Market cap$51.6B$103.9B
Revenue growth, 5 years9.4%11.1%
Operating margin1.3%1.6%
Net margin0.7%1.1%
P/E30.7x23.9x
Forward P/E15.8x17.6x
Dividend yield0.9%0.4%

All stocks in Medical Distribution