Leerink Partnrs Weighs in on McKesson FY2029 Earnings

McKesson Corporation (NYSE:MCK) – Investment analysts at Leerink Partnrs issued their FY2029 earnings per share estimates for shares of McKesson in a research note issued on Monday, October 6th. Leerink Partnrs analyst M. Cherny expects that the company will earn $56.30 per share for the year. The consensus estimate for McKesson’s current full-year earnings is $32.77 per share.

McKesson (NYSE:MCK) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $8.26 EPS for the quarter, missing analysts’ consensus estimates of $8.33 by ($0.07). McKesson had a negative return on equity of 196.66% and a net margin of 0.84%.The company had revenue of $97.83 billion during the quarter, compared to the consensus estimate of $95.93 billion. During the same quarter in the previous year, the business posted $7.88 EPS. The firm’s revenue for the quarter was up 23.4% on a year-over-year basis.

Several other equities research analysts have also recently weighed in on the company. Deutsche Bank Aktiengesellschaft upped their target price on McKesson from $775.00 to $856.00 and gave the stock a “buy” rating in a research note on Wednesday, September 24th. Evercore ISI boosted their price target on McKesson from $800.00 to $825.00 and gave the stock an “outperform” rating in a report on Wednesday, September 24th. Citigroup raised their price objective on McKesson from $820.00 to $860.00 and gave the company a “buy” rating in a research note on Wednesday, September 24th. Morgan Stanley lifted their target price on McKesson from $810.00 to $857.00 and gave the company an “overweight” rating in a research report on Wednesday, September 24th. Finally, Wall Street Zen raised shares of McKesson from a “hold” rating to a “buy” rating in a report on Sunday, September 28th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat.com, McKesson presently has an average rating of “Moderate Buy” and an average target price of $829.08.

McKesson Stock Up 0.4%

MCK stock opened at $740.82 on Tuesday. The firm has a market cap of $92.15 billion, a P/E ratio of 29.54, a P/E/G ratio of 1.32 and a beta of 0.52. The company’s 50-day moving average price is $703.30 and its two-hundred day moving average price is $704.05. McKesson has a 12 month low of $482.44 and a 12 month high of $776.14.

Hedge Funds Weigh In On McKesson

Hedge funds have recently bought and sold shares of the company. Norges Bank acquired a new stake in McKesson during the second quarter worth approximately $1,346,661,000. Alliancebernstein L.P. lifted its stake in McKesson by 150.4% in the second quarter. Alliancebernstein L.P. now owns 2,268,015 shares of the company’s stock valued at $1,661,956,000 after buying an additional 1,362,386 shares during the period. Nuveen LLC bought a new position in shares of McKesson during the 1st quarter worth approximately $475,235,000. Arrowstreet Capital Limited Partnership grew its position in shares of McKesson by 56.4% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 1,236,536 shares of the company’s stock worth $906,109,000 after buying an additional 446,060 shares during the period. Finally, Wellington Management Group LLP increased its stake in shares of McKesson by 4,559.6% in the 1st quarter. Wellington Management Group LLP now owns 427,703 shares of the company’s stock valued at $287,840,000 after acquiring an additional 418,524 shares in the last quarter. Institutional investors own 85.07% of the company’s stock.

Insiders Place Their Bets

In related news, CAO Napoleon B. Rutledge, Jr. sold 329 shares of McKesson stock in a transaction that occurred on Friday, August 8th. The stock was sold at an average price of $663.67, for a total value of $218,347.43. Following the transaction, the chief accounting officer directly owned 657 shares of the company’s stock, valued at $436,031.19. The trade was a 33.37% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Brian S. Tyler sold 11,930 shares of the firm’s stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $705.63, for a total transaction of $8,418,165.90. Following the transaction, the chief executive officer owned 4,012 shares of the company’s stock, valued at approximately $2,830,987.56. The trade was a 74.83% decrease in their position. The disclosure for this sale can be found here. Insiders sold 43,560 shares of company stock valued at $30,438,602 over the last 90 days. 0.08% of the stock is currently owned by company insiders.

McKesson Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, October 1st. Investors of record on Tuesday, September 2nd were paid a $0.82 dividend. This is a positive change from McKesson’s previous quarterly dividend of $0.71. This represents a $3.28 annualized dividend and a dividend yield of 0.4%. The ex-dividend date of this dividend was Tuesday, September 2nd. McKesson’s payout ratio is presently 13.08%.

About McKesson

McKesson Corporation provides healthcare services in the United States and internationally. It operates through four segments: U.S. Pharmaceutical, Prescription Technology Solutions (RxTS), Medical-Surgical Solutions, and International. The U.S. Pharmaceutical segment distributes branded, generic, specialty, biosimilar and over-the-counter pharmaceutical drugs, and other healthcare-related products.