McKesson (NYSE:MCK) Lowered to “Hold” Rating by Zacks Research

Zacks Research lowered shares of McKesson (NYSE:MCK) from a strong-buy rating to a hold rating in a report issued on Tuesday morning,Zacks.com reports.

MCK has been the subject of a number of other reports. TD Cowen increased their price objective on McKesson from $830.00 to $864.00 and gave the stock a “buy” rating in a report on Wednesday, September 24th. Mizuho raised their price target on shares of McKesson from $750.00 to $770.00 and gave the stock a “neutral” rating in a research note on Wednesday, September 24th. UBS Group lifted their price objective on shares of McKesson from $920.00 to $980.00 and gave the company a “buy” rating in a report on Thursday, November 6th. Morgan Stanley increased their target price on shares of McKesson from $857.00 to $916.00 and gave the stock an “overweight” rating in a report on Thursday, November 6th. Finally, Wall Street Zen downgraded shares of McKesson from a “buy” rating to a “hold” rating in a research report on Saturday, November 8th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $887.69.

McKesson Stock Down 0.5%

Shares of NYSE:MCK opened at $884.76 on Tuesday. The firm has a market cap of $109.20 billion, a price-to-earnings ratio of 35.28, a PEG ratio of 1.46 and a beta of 0.51. McKesson has a 12 month low of $558.13 and a 12 month high of $895.58. The company’s fifty day simple moving average is $799.61 and its 200 day simple moving average is $738.51.

McKesson (NYSE:MCK) last released its earnings results on Wednesday, November 5th. The company reported $9.86 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $8.84 by $1.02. McKesson had a negative return on equity of 196.66% and a net margin of 0.84%.The firm had revenue of $103.15 billion during the quarter, compared to analysts’ expectations of $103.80 billion. During the same quarter in the prior year, the company earned $7.07 EPS. The company’s revenue was up 10.2% on a year-over-year basis. Research analysts expect that McKesson will post 32.77 earnings per share for the current fiscal year.

McKesson Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, January 2nd. Investors of record on Monday, December 1st will be issued a dividend of $0.82 per share. The ex-dividend date is Monday, December 1st. This represents a $3.28 dividend on an annualized basis and a yield of 0.4%. McKesson’s dividend payout ratio (DPR) is presently 10.21%.

Insider Transactions at McKesson

In other McKesson news, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the company’s stock in a transaction that occurred on Friday, November 7th. The stock was sold at an average price of $861.63, for a total value of $283,476.27. Following the sale, the chief accounting officer owned 328 shares in the company, valued at $282,614.64. This represents a 50.08% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 0.08% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Acadian Asset Management LLC lifted its position in shares of McKesson by 22.0% during the 1st quarter. Acadian Asset Management LLC now owns 378,926 shares of the company’s stock valued at $254,979,000 after buying an additional 68,294 shares during the last quarter. Bank Julius Baer & Co. Ltd Zurich raised its stake in McKesson by 8,018.0% in the 2nd quarter. Bank Julius Baer & Co. Ltd Zurich now owns 12,177 shares of the company’s stock valued at $9,823,000 after acquiring an additional 12,027 shares during the period. Dynamic Technology Lab Private Ltd purchased a new stake in McKesson during the first quarter valued at about $289,000. Archford Capital Strategies LLC boosted its position in McKesson by 151.8% during the second quarter. Archford Capital Strategies LLC now owns 2,276 shares of the company’s stock worth $1,668,000 after purchasing an additional 1,372 shares during the period. Finally, Lynwood Price Capital Management LP increased its stake in shares of McKesson by 18.3% in the second quarter. Lynwood Price Capital Management LP now owns 25,800 shares of the company’s stock worth $18,906,000 after purchasing an additional 4,000 shares in the last quarter. 85.07% of the stock is owned by institutional investors and hedge funds.

McKesson Company Profile

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.