MCKNEUTRAL

MCK PEG Ratio Analysis

0.67x

Updated 798h ago·SEC filings & market data

Key Takeaway

The current PEG ratio of 0.67x measures price relative to expected earnings growth, where a value below 1.0x often signals that a stock’s growth is not fully priced in.

Sector Performance

44th percentile

MCK

0.67x

Sector Median

0.77x

Sector Avg

2.65x

Prior Period

0.66x(Jul 2026)

↓ Declining
📊

Deep Analysis

The current PEG ratio of 0.67x measures price relative to expected earnings growth, where a value below 1.0x often signals that a stock’s growth is not fully priced in.

Compared to sector peers, this sits below the 0.90x median and at the 41st percentile, placing it on the lower half of the peer group but not among the most extreme value outliers. The ratio is increasing over the last 8 quarters, with a year-over-year rise of +13.6% and a quarter-over-quarter gain of +1.5%, moving from 0.59x to 0.67x. A low PEG at 0.67x still points to a reasonable entry for growth-focused investors, but the upward trend means the stock is gradually becoming less inexpensive relative to its growth prospects. This combination—attractive level with a rising trend—creates a balanced risk profile rather than a clear bargain or a clear overvaluation. Since the level supports some upside while the trend tempers it, this metric supports the overall NEUTRAL verdict directly.

Frequently Asked Questions

What does the PEG Ratio tell investors about MCK?

The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.

How is the PEG Ratio calculated?

PEG Ratio is calculated as: P/E Ratio / EPS Growth Rate.

Who are MCK's closest peers by PEG Ratio?

The closest peers by PEG Ratio include: FORM (0.49x), HII (0.48x), CPRI (0.47x), CBOE (0.46x), CELH (0.46x).

The Formula

P/E Ratio / EPS Growth Rate

Why It Matters

The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.

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MCK

0.67x

Sector Median

0.77x

Sector Avg

2.65x

How MCK's PEG Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.