McKesson FY2028 EPS Forecast Boosted by Zacks Research

McKesson Corporation (NYSE:MCK) – Analysts at Zacks Research raised their FY2028 earnings estimates for McKesson in a research report issued on Tuesday, September 23rd. Zacks Research analyst Team now anticipates that the company will post earnings per share of $46.92 for the year, up from their previous estimate of $46.77. The consensus estimate for McKesson’s current full-year earnings is $32.77 per share.

A number of other equities analysts have also weighed in on the company. UBS Group boosted their price objective on McKesson from $820.00 to $860.00 and gave the stock a “buy” rating in a research note on Wednesday. Evercore ISI boosted their price target on shares of McKesson from $800.00 to $825.00 and gave the company an “outperform” rating in a research report on Wednesday. Deutsche Bank Aktiengesellschaft raised their price objective on shares of McKesson from $775.00 to $856.00 and gave the stock a “buy” rating in a research report on Wednesday. Morgan Stanley increased their price target on shares of McKesson from $810.00 to $857.00 and gave the company an “overweight” rating in a research note on Wednesday. Finally, Cowen restated a “buy” rating on shares of McKesson in a report on Wednesday. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $826.91.

McKesson Stock Performance

NYSE:MCK opened at $760.73 on Wednesday. McKesson has a one year low of $472.29 and a one year high of $770.00. The stock has a market cap of $94.62 billion, a PE ratio of 30.33, a P/E/G ratio of 1.43 and a beta of 0.51. The stock has a 50 day moving average price of $696.23 and a 200 day moving average price of $697.91.

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

McKesson Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Tuesday, September 2nd will be issued a $0.82 dividend. The ex-dividend date is Tuesday, September 2nd. This represents a $3.28 annualized dividend and a dividend yield of 0.4%. This is a boost from McKesson’s previous quarterly dividend of $0.71. McKesson’s dividend payout ratio (DPR) is presently 13.08%.

Insider Activity

In related news, CEO Brian S. Tyler sold 19,371 shares of the firm’s stock in a transaction dated Friday, July 11th. The stock was sold at an average price of $708.09, for a total transaction of $13,716,411.39. Following the completion of the transaction, the chief executive officer directly owned 27,872 shares in the company, valued at $19,735,884.48. This trade represents a 41.00% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CAO Napoleon B. Rutledge, Jr. sold 329 shares of McKesson stock in a transaction dated Friday, August 8th. The shares were sold at an average price of $663.67, for a total value of $218,347.43. Following the completion of the transaction, the chief accounting officer directly owned 657 shares of the company’s stock, valued at approximately $436,031.19. This represents a 33.37% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 43,560 shares of company stock worth $30,438,602. 0.08% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On McKesson

Several large investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. grew its stake in shares of McKesson by 2.0% in the second quarter. Vanguard Group Inc. now owns 12,072,090 shares of the company’s stock worth $8,846,186,000 after acquiring an additional 232,286 shares in the last quarter. Geode Capital Management LLC boosted its holdings in McKesson by 4.1% in the second quarter. Geode Capital Management LLC now owns 2,820,724 shares of the company’s stock valued at $2,057,065,000 after purchasing an additional 112,224 shares during the period. GAMMA Investing LLC grew its stake in McKesson by 75,632.7% during the 1st quarter. GAMMA Investing LLC now owns 2,393,152 shares of the company’s stock worth $1,610,567,000 after purchasing an additional 2,389,992 shares in the last quarter. Alliancebernstein L.P. grew its stake in McKesson by 150.4% during the 2nd quarter. Alliancebernstein L.P. now owns 2,268,015 shares of the company’s stock worth $1,661,956,000 after purchasing an additional 1,362,386 shares in the last quarter. Finally, Norges Bank purchased a new stake in McKesson during the 2nd quarter worth about $1,346,661,000. 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.