Advisors Capital Management LLC Acquires 765 Shares of McKesson Corporation $MCK

Key Points

• Advisors Capital Management LLC increased its stake in McKesson Corporation by 1.7%, bringing their total holdings to 46,724 shares valued at approximately $31.45 million.
• McKesson reported $8.26 earnings per share for the last quarter, missing analysts' expectations, but their revenue grew 23.4% year-over-year to $97.83 billion.
• The company announced a quarterly dividend increase from $0.71 to $0.82 per share, reflecting a payout ratio of 13.08% and an annualized yield of 0.5%.

Advisors Capital Management LLC increased its holdings in McKesson Corporation (NYSE:MCK - Free Report) by 1.7% during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 46,724 shares of the company's stock after buying an additional 765 shares during the quarter. Advisors Capital Management LLC's holdings in McKesson were worth $31,445,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds also recently made changes to their positions in MCK. Capital A Wealth Management LLC purchased a new position in shares of McKesson in the fourth quarter worth approximately $26,000. Bank of Jackson Hole Trust boosted its holdings in shares of McKesson by 64.3% in the first quarter. Bank of Jackson Hole Trust now owns 46 shares of the company's stock worth $29,000 after buying an additional 18 shares during the last quarter. CBIZ Investment Advisory Services LLC boosted its holdings in shares of McKesson by 1,366.7% in the first quarter. CBIZ Investment Advisory Services LLC now owns 44 shares of the company's stock worth $30,000 after buying an additional 41 shares during the last quarter. Saudi Central Bank purchased a new position in shares of McKesson in the first quarter worth approximately $34,000. Finally, Flaharty Asset Management LLC purchased a new position in shares of McKesson in the first quarter worth approximately $39,000. Hedge funds and other institutional investors own 85.07% of the company's stock.

Insider Buying and Selling at McKesson

In related news, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the business's stock in a transaction on Friday, August 8th. The shares were sold at an average price of $663.67, for a total value of $218,347.43. Following the sale, the chief accounting officer owned 657 shares in the company, valued at approximately $436,031.19. The trade was a 33.37% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Brian S. Tyler sold 11,930 shares of the business's stock in a transaction on 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 sale, the chief executive officer owned 4,012 shares in the company, valued at $2,830,987.56. This represents a 74.83% decrease in their position. The disclosure for this sale can be found here. Insiders sold 43,560 shares of company stock worth $30,438,602 in the last 90 days. 0.08% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

A number of equities analysts recently issued reports on the stock. Cowen reissued a "buy" rating on shares of McKesson in a report on Thursday, August 7th. Wall Street Zen downgraded shares of McKesson from a "strong-buy" rating to a "buy" rating in a report on Sunday, July 13th. Evercore ISI lifted their price target on shares of McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a report on Wednesday, July 9th. Morgan Stanley reaffirmed an "overweight" rating and set a $810.00 price target (up previously from $770.00) on shares of McKesson in a report on Wednesday, July 16th. Finally, Wells Fargo & Company lifted their price target on shares of McKesson from $766.00 to $772.00 and gave the company an "equal weight" rating in a report on Wednesday, August 13th. One investment analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $725.10.

McKesson Price Performance

Shares of MCK stock traded down $8.48 during mid-day trading on Friday, hitting $711.32. The company had a trading volume of 522,385 shares, compared to its average volume of 704,488. McKesson Corporation has a 52-week low of $464.42 and a 52-week high of $737.89. The stock's 50 day moving average price is $697.81 and its 200-day moving average price is $694.47. The company has a market capitalization of $88.48 billion, a P/E ratio of 28.36, a P/E/G ratio of 1.43 and a beta of 0.51.

McKesson (NYSE:MCK - Get Free Report) last released its earnings results on Wednesday, August 6th. The company reported $8.26 EPS 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 company had revenue of $97.83 billion during the quarter, compared to analysts' expectations of $95.93 billion. During the same period last year, the firm posted $7.88 EPS. McKesson's quarterly revenue was up 23.4% compared to the same quarter last year. On average, equities research analysts expect that McKesson Corporation will post 32.77 earnings per share for the current year.

McKesson Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Tuesday, September 2nd will be issued a $0.82 dividend. This represents a $3.28 annualized dividend and a dividend yield of 0.5%. This is a boost from McKesson's previous quarterly dividend of $0.71. The ex-dividend date of this dividend is Tuesday, September 2nd. McKesson's payout ratio is presently 13.08%.

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.