No, you fly to Cuzco, unless you want to waste two entire days on a bus. From Cuzco, you take bus and/or train to the sacred valley, and a train to Machu Picchu.

The airlines to Cuzco are TACA and LAN. It's much easier for non-residents of Peru to get good fares on TACA. LAN only offers their good prices to residents of Peru. You should be able to get an airfare of around $150 round trip on TACA. Peruvians also can get this fare on LAN, but non residents are more likely to see fares on LAN in the $350-420 range.