McKesson (NYSE:MCK) Price Target Raised to $857.00 at Morgan Stanley

McKesson (NYSE:MCK) had its price objective boosted by Morgan Stanley from $810.00 to $857.00 in a research note released on Wednesday, MarketBeat Ratings reports. The brokerage currently has an overweight rating on the stock.

Several other research analysts have also recently weighed in on MCK. Leerink Partners boosted their price objective on McKesson from $785.00 to $850.00 and gave the stock an “outperform” rating in a research report on Wednesday. Bank of America boosted their price target on shares of McKesson from $800.00 to $850.00 and gave the stock a “buy” rating in a report on Wednesday. Wells Fargo & Company raised their price objective on shares of McKesson from $772.00 to $816.00 and gave the stock an “equal weight” rating in a report on Wednesday. Evercore ISI boosted their target price on shares of McKesson from $760.00 to $800.00 and gave the company an “outperform” rating in a research note on Wednesday, July 9th. Finally, Deutsche Bank Aktiengesellschaft increased their target price on shares of McKesson from $775.00 to $856.00 and gave the company a “buy” rating in a research report on Wednesday. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, McKesson has an average rating of “Moderate Buy” and a consensus price target of $826.91.

McKesson Price Performance

NYSE MCK opened at $760.73 on Wednesday. The company has a fifty day moving average price of $696.23 and a 200-day moving average price of $697.91. The firm has a market cap of $94.62 billion, a price-to-earnings ratio of 30.33, a PEG ratio of 1.43 and a beta of 0.51. McKesson has a 1 year low of $472.29 and a 1 year high of $770.00.

McKesson (NYSE:MCK) last released its quarterly earnings results on Wednesday, August 6th. The company reported $8.26 earnings per share for the quarter, missing the consensus estimate of $8.33 by ($0.07). McKesson had a negative return on equity of 196.66% and a net margin of 0.84%.The firm had revenue of $97.83 billion for the quarter, compared to analysts’ expectations of $95.93 billion. During the same quarter last year, the firm posted $7.88 earnings per share. The firm’s revenue for the quarter was up 23.4% compared to the same quarter last year. On average, research analysts anticipate that McKesson will post 32.77 EPS for the current fiscal year.

McKesson Increases Dividend

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

Insiders Place Their Bets

In other news, CEO Brian S. Tyler sold 11,930 shares of the business’s stock in a transaction dated 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 completion of 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 ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Napoleon B. Rutledge, Jr. sold 329 shares of McKesson stock in a transaction that occurred on Friday, August 8th. The shares were sold at an average price of $663.67, for a total transaction of $218,347.43. Following the sale, the chief accounting officer owned 657 shares of the company’s stock, valued at approximately $436,031.19. The trade was a 33.37% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 43,560 shares of company stock worth $30,438,602 in the last quarter. 0.08% of the stock is currently owned by company insiders.

Institutional Trading of McKesson

Several institutional investors and hedge funds have recently made changes to their positions in the stock. GAMMA Investing LLC grew its position in McKesson by 75,632.7% in the first quarter. GAMMA Investing LLC now owns 2,393,152 shares of the company’s stock worth $1,610,567,000 after acquiring an additional 2,389,992 shares in the last quarter. Norges Bank purchased a new position in shares of McKesson in the 2nd quarter worth about $1,346,661,000. Alliancebernstein L.P. increased its position in shares of McKesson by 150.4% during the 2nd quarter. Alliancebernstein L.P. now owns 2,268,015 shares of the company’s stock valued at $1,661,956,000 after purchasing an additional 1,362,386 shares during the last quarter. Nuveen LLC purchased a new position in shares of McKesson during the 1st quarter valued at about $475,235,000. Finally, Arrowstreet Capital Limited Partnership lifted its position in McKesson by 56.4% in 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 last quarter. Hedge funds and other institutional investors own 85.07% of the company’s stock.

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.