Insider Selling: McKesson (NYSE:MCK) CEO Sells 11,930 Shares of Stock

Key Points

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McKesson Corporation (NYSE:MCK - Get Free Report) CEO Brian S. Tyler sold 11,930 shares of the business's stock in a transaction dated Friday, August 15th. The stock was sold at an average price of $677.76, for a total value of $8,085,676.80. Following the completion of the transaction, the chief executive officer directly owned 15,942 shares of the company's stock, valued at approximately $10,804,849.92. This trade represents a 42.80% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink.

McKesson Trading Down 2.6%

NYSE:MCK traded down $18.2950 during mid-day trading on Friday, reaching $687.7050. The company's stock had a trading volume of 1,217,333 shares, compared to its average volume of 950,293. The firm's fifty day moving average price is $707.48 and its two-hundred day moving average price is $684.02. The stock has a market cap of $85.54 billion, a P/E ratio of 27.42, a PEG ratio of 1.40 and a beta of 0.50. McKesson Corporation has a 12-month low of $464.42 and a 12-month high of $737.89.

McKesson (NYSE:MCK - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The company reported $8.26 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $8.33 by ($0.07). The firm had revenue of $97.83 billion for the quarter, compared to the consensus estimate of $95.93 billion. McKesson had a net margin of 0.84% and a negative return on equity of 196.66%. The company's revenue for the quarter was up 23.4% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $7.88 earnings per share. Analysts predict that McKesson Corporation will post 32.77 earnings per share 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 paid a dividend of $0.82 per share. The ex-dividend date is Tuesday, September 2nd. This represents a $3.28 dividend on an annualized basis and a dividend yield of 0.5%. This is an increase from McKesson's previous quarterly dividend of $0.71. McKesson's dividend payout ratio is presently 11.32%.

Analyst Upgrades and Downgrades

A number of research firms have issued reports on MCK. Evercore ISI boosted their price target on McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a research note on Wednesday, July 9th. Morgan Stanley restated an "overweight" rating and set a $810.00 price target (up from $770.00) on shares of McKesson in a research note on Wednesday, July 16th. Wells Fargo & Company boosted their price objective on McKesson from $766.00 to $772.00 and gave the company an "equal weight" rating in a research note on Wednesday, August 13th. Bank of America boosted their price objective on McKesson from $755.00 to $800.00 and gave the company a "buy" rating in a research note on Friday, May 9th. Finally, UBS Group boosted their price objective on McKesson from $708.00 to $805.00 and gave the company a "buy" rating in a research note on Tuesday, April 29th. One research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and three have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $725.10.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in MCK. Capital A Wealth Management LLC bought a new position in McKesson in the 4th quarter worth approximately $26,000. Solstein Capital LLC boosted its stake in McKesson by 171.4% in the 2nd quarter. Solstein Capital LLC now owns 38 shares of the company's stock worth $28,000 after purchasing an additional 24 shares during the period. Bank of Jackson Hole Trust boosted its stake in McKesson by 64.3% in the 1st quarter. Bank of Jackson Hole Trust now owns 46 shares of the company's stock worth $29,000 after purchasing an additional 18 shares during the period. State of Wyoming bought a new position in McKesson in the 2nd quarter worth approximately $29,000. Finally, CBIZ Investment Advisory Services LLC boosted its stake in McKesson by 1,366.7% in the 1st quarter. CBIZ Investment Advisory Services LLC now owns 44 shares of the company's stock worth $30,000 after purchasing an additional 41 shares during the period. 85.07% of the stock is currently owned by institutional investors.

About McKesson

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.