McKesson’s (MCK) “Overweight” Rating Reiterated at Morgan Stanley

Morgan Stanley reissued their overweight rating on shares of McKesson (NYSE:MCK) in a research report report published on Wednesday morning, Marketbeat reports. Morgan Stanley currently has a $810.00 target price on the stock, up from their prior target price of $770.00.

A number of other brokerages also recently issued reports on MCK. Cfra Research downgraded shares of McKesson from a “moderate buy” rating to a “hold” rating in a research report on Friday, April 4th. Wells Fargo & Company set a $766.00 price objective on shares of McKesson and gave the company an “equal weight” rating in a research report on Tuesday, June 3rd. Wall Street Zen downgraded shares of McKesson from a “strong-buy” rating to a “buy” rating in a research report on Sunday, July 13th. Evercore ISI upped their target price on shares of McKesson from $760.00 to $800.00 and gave the stock an “outperform” rating in a report on Wednesday, July 9th. Finally, Mizuho upped their target price on shares of McKesson from $630.00 to $690.00 and gave the stock a “neutral” rating in a report on Thursday, April 3rd. Three research analysts have rated the stock with a hold rating, eleven have issued a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $710.17.

McKesson Stock Down 0.1%

Shares of NYSE MCK opened at $709.84 on Wednesday. McKesson has a twelve month low of $464.42 and a twelve month high of $737.89. The firm has a market cap of $88.81 billion, a P/E ratio of 27.48, a PEG ratio of 1.42 and a beta of 0.48. The company has a 50 day moving average of $716.44 and a 200 day moving average of $666.89.

McKesson (NYSE:MCK) last announced its earnings results on Thursday, May 8th. The company reported $10.12 earnings per share for the quarter, beating analysts’ consensus estimates of $9.83 by $0.29. The business had revenue of $90.82 billion during the quarter, compared to analyst estimates of $94 billion. McKesson had a net margin of 0.92% and a negative return on equity of 201.12%. The company’s quarterly revenue was up 18.9% compared to the same quarter last year. During the same period in the previous year, the business earned $6.18 EPS. As a group, equities analysts expect that McKesson will post 32.77 earnings per share for the current fiscal year.

McKesson Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, July 1st. Stockholders of record on Monday, June 2nd were given a dividend of $0.71 per share. This represents a $2.84 annualized dividend and a dividend yield of 0.40%. The ex-dividend date was Monday, June 2nd. McKesson’s dividend payout ratio is 10.99%.

Insider Activity

In related news, CAO Napoleon B. Rutledge, Jr. sold 543 shares of the stock in a transaction dated Monday, May 19th. The shares were sold at an average price of $726.51, for a total value of $394,494.93. Following the sale, the chief accounting officer directly owned 1,972 shares of the company’s stock, valued at $1,432,677.72. This represents a 21.59% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Britt J. Vitalone sold 1,878 shares of the stock in a transaction dated Wednesday, May 28th. The stock was sold at an average price of $717.91, for a total transaction of $1,348,234.98. Following the completion of the sale, the chief financial officer directly owned 14,028 shares in the company, valued at $10,070,841.48. This trade represents a 11.81% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 52,488 shares of company stock worth $37,242,862. 0.08% of the stock is owned by insiders.

Hedge Funds Weigh In On McKesson

Institutional investors have recently modified their holdings of the stock. CBIZ Investment Advisory Services LLC increased its position in shares of McKesson by 1,366.7% during the first quarter. CBIZ Investment Advisory Services LLC now owns 44 shares of the company’s stock worth $30,000 after acquiring an additional 41 shares during the period. Capital A Wealth Management LLC purchased a new position in shares of McKesson during the fourth quarter worth approximately $26,000. Bank of Jackson Hole Trust increased its position in shares of McKesson by 64.3% during the first quarter. Bank of Jackson Hole Trust now owns 46 shares of the company’s stock worth $29,000 after acquiring an additional 18 shares during the period. Millstone Evans Group LLC purchased a new position in McKesson during the fourth quarter valued at approximately $28,000. Finally, Saudi Central Bank purchased a new position in McKesson during the first quarter valued at approximately $34,000. 85.07% of the stock is owned by hedge funds and other institutional investors.

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.