Clark Capital Management Group Inc. Raises Stock Position in McKesson Corporation $MCK

Key Points

• Clark Capital Management Group Inc. increased its stake in McKesson Corporation by 0.5%, owning 117,661 shares valued at approximately $79.2 million as of the end of the first quarter.
• McKesson reported a quarterly EPS of $8.26, which was below analysts' expectations, although its revenue of $97.83 billion exceeded estimates, showing a 23.4% year-over-year growth.
• The company has declared a quarterly dividend of $0.82, an increase from the previous $0.71, with a payout scheduled for October 1st for shareholders on record as of September 2nd.

Clark Capital Management Group Inc. increased its holdings in McKesson Corporation (NYSE:MCK - Free Report) by 0.5% in the 1st quarter, according to its most recent filing with the SEC. The institutional investor owned 117,661 shares of the company's stock after buying an additional 626 shares during the quarter. Clark Capital Management Group Inc. owned about 0.09% of McKesson worth $79,185,000 at the end of the most recent reporting period.

Other large investors also recently bought and sold shares of the company. CBIZ Investment Advisory Services LLC increased its holdings 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 buying an additional 41 shares in the last quarter. Capital A Wealth Management LLC bought a new stake in McKesson in the 4th quarter worth about $26,000. Bank of Jackson Hole Trust increased its holdings 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 buying an additional 18 shares in the last quarter. Saudi Central Bank bought a new stake in McKesson in the 1st quarter worth about $34,000. Finally, Pandora Wealth Inc. bought a new stake in McKesson in the 1st quarter worth about $40,000. 85.07% of the stock is currently owned by institutional investors.

McKesson Price Performance

Shares of MCK traded down $4.42 on Friday, reaching $687.03. The company's stock had a trading volume of 472,767 shares, compared to its average volume of 808,316. The stock's 50 day simple moving average is $699.12 and its two-hundred day simple moving average is $691.13. The stock has a market capitalization of $85.46 billion, a P/E ratio of 27.39, a PEG ratio of 1.37 and a beta of 0.51. 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 posted its quarterly earnings results on Wednesday, August 6th. The company reported $8.26 EPS for the quarter, missing analysts' consensus estimates of $8.33 by ($0.07). McKesson had a negative return on equity of 196.66% and a net margin of 0.84%.The business had revenue of $97.83 billion during the quarter, compared to analysts' expectations of $95.93 billion. During the same period in the prior year, the firm posted $7.88 earnings per share. The firm's revenue for the quarter was up 23.4% on a year-over-year basis. Analysts expect that McKesson Corporation will post 32.77 earnings per share for the current year.

McKesson Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Tuesday, September 2nd will be given a dividend of $0.82 per share. The ex-dividend date is Tuesday, September 2nd. This is an increase from McKesson's previous quarterly dividend of $0.71. This represents a $3.28 annualized dividend and a dividend yield of 0.5%. McKesson's dividend payout ratio (DPR) is 13.08%.

Insider Activity at McKesson

In other news, 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 in the company, valued at $436,031.19. This trade represents a 33.37% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CEO Brian S. Tyler sold 11,930 shares of the firm's stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $705.63, for a total value of $8,418,165.90. Following 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 position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 43,560 shares of company stock worth $30,438,602. Company insiders own 0.08% of the company's stock.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on MCK shares. Morgan Stanley reiterated an "overweight" rating and issued a $810.00 price objective (up from $770.00) on shares of McKesson in a report on Wednesday, July 16th. Cowen restated a "buy" rating on shares of McKesson in a research note on Thursday, August 7th. Wall Street Zen downgraded McKesson from a "strong-buy" rating to a "buy" rating in a research note on Sunday, July 13th. Evercore ISI raised their price objective 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, Wells Fargo & Company raised their price objective on shares of McKesson from $766.00 to $772.00 and gave the stock 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 issued a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, McKesson currently has a consensus rating of "Moderate Buy" and a consensus target price of $725.10.

McKesson 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.