McKesson Corporation (NYSE:MCK) Receives Average Recommendation of “Moderate Buy” from Analysts

Shares of McKesson Corporation (NYSE:MCK) have been given an average rating of “Moderate Buy” by the seventeen research firms that are presently covering the company, Marketbeat reports. Three research analysts have rated the stock with a hold recommendation and fourteen have assigned a buy recommendation to the company. The average 12 month target price among brokers that have issued a report on the stock in the last year is $962.6667.

MCK has been the topic of several research analyst reports. Citigroup lifted their price target on McKesson from $945.00 to $1,000.00 and gave the company a “buy” rating in a research report on Friday, July 24th. Deutsche Bank Aktiengesellschaft restated a “buy” rating and issued a $875.00 price objective on shares of McKesson in a report on Friday, May 8th. Wells Fargo & Company lowered their target price on McKesson from $925.00 to $812.00 and set an “equal weight” rating on the stock in a report on Tuesday, May 12th. UBS Group boosted their price target on shares of McKesson from $1,000.00 to $1,050.00 and gave the stock a “buy” rating in a research report on Friday, May 8th. Finally, TD Cowen cut their price target on shares of McKesson from $1,012.00 to $989.00 and set a “buy” rating for the company in a report on Tuesday, July 21st.

Insider Buying and Selling at McKesson

In other news, CAO Napoleon B. Rutledge, Jr. sold 133 shares of the firm’s stock in a transaction on Friday, June 5th. The stock was sold at an average price of $764.00, for a total transaction of $101,612.00. Following the completion of the sale, the chief accounting officer directly owned 632 shares of the company’s stock, valued at $482,848. This trade represents a 17.39% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Brian S. Tyler sold 8,463 shares of McKesson stock in a transaction on Tuesday, July 7th. The stock was sold at an average price of $793.56, for a total value of $6,715,898.28. Following the completion of the transaction, the chief executive officer owned 5,919 shares in the company, valued at $4,697,081.64. The trade was a 58.84% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 28,748 shares of company stock valued at $22,262,035. 0.06% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On McKesson

Hedge funds and other institutional investors have recently modified their holdings of the stock. University of Texas Texas AM Investment Management Co. acquired a new stake in McKesson during the 4th quarter worth about $25,000. Swiss RE Ltd. acquired a new position in shares of McKesson in the fourth quarter worth about $26,000. State of Wyoming acquired a new position in shares of McKesson in the second quarter worth about $29,000. Kingdom Financial Group LLC. purchased a new position in shares of McKesson in the fourth quarter worth approximately $33,000. Finally, Birchwood Financial Partners Inc. purchased a new stake in shares of McKesson in the 4th quarter valued at approximately $33,000. Institutional investors and hedge funds own 85.07% of the company’s stock.

McKesson Price Performance

McKesson stock opened at $890.23 on Friday. McKesson has a 12-month low of $637.00 and a 12-month high of $999.00. The stock has a market capitalization of $104.23 billion, a PE ratio of 23.14, a price-to-earnings-growth ratio of 1.46 and a beta of 0.31. The firm has a 50 day simple moving average of $786.82 and a 200-day simple moving average of $839.75.

McKesson (NYSE:MCK) last announced its earnings results on Thursday, May 7th. The company reported $11.69 EPS for the quarter, topping the consensus estimate of $11.56 by $0.13. The firm had revenue of $96.30 billion for the quarter, compared to analysts’ expectations of $101.35 billion. McKesson had a negative return on equity of 345.35% and a net margin of 1.18%.The firm’s quarterly revenue was up 6.0% compared to the same quarter last year. During the same quarter in the previous year, the company earned $10.12 earnings per share. McKesson has set its FY 2027 guidance at 43.800-44.600 EPS. On average, analysts forecast that McKesson will post 44.28 earnings per share for the current fiscal year.

McKesson Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Tuesday, September 1st will be paid a dividend of $0.94 per share. This is a boost from McKesson’s previous quarterly dividend of $0.82. This represents a $3.76 annualized dividend and a yield of 0.4%. The ex-dividend date of this dividend is Tuesday, September 1st. McKesson’s dividend payout ratio (DPR) is currently 8.53%.

McKesson Company Profile

McKesson Corporation (NYSE: MCK) is a global healthcare services and distribution company that supplies pharmaceuticals, medical-surgical products and health care technology solutions. Founded in 1833 and headquartered in Irving, Texas, McKesson operates across the drug distribution and healthcare services value chain, connecting manufacturers, pharmacies, hospitals and health systems to help manage the movement of medicines and clinical supplies.

The company’s core activities include pharmaceutical wholesale distribution and logistics, specialty pharmacy services, and the provision of medical-surgical supplies to acute and non-acute care providers.