DekaBank Deutsche Girozentrale Boosts Stock Position in McKesson Corporation $MCK

Key Points

• DekaBank Deutsche Girozentrale increased its stake in McKesson Corporation by 1.7%, owning 227,498 shares valued at $165.2 million as of the latest SEC filing.
• Analysts have raised price targets for McKesson, with UBS Group increasing its target from $820 to $860, reflecting a positive sentiment toward the stock.
• McKesson recently announced a quarterly dividend increase to $0.82 per share, a rise from the previous $0.71, indicating a strong financial performance.

DekaBank Deutsche Girozentrale lifted its position in shares of McKesson Corporation (NYSE:MCK - Free Report) by 1.7% in the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 227,498 shares of the company's stock after purchasing an additional 3,781 shares during the period. DekaBank Deutsche Girozentrale owned 0.18% of McKesson worth $165,203,000 as of its most recent SEC filing.

A number of other institutional investors also recently modified their holdings of the company. Northern Trust Corp boosted its holdings in shares of McKesson by 0.7% during the first quarter. Northern Trust Corp now owns 1,542,382 shares of the company's stock worth $1,038,008,000 after purchasing an additional 10,179 shares during the period. Boston Partners boosted its holdings in shares of McKesson by 33.3% during the first quarter. Boston Partners now owns 1,461,785 shares of the company's stock worth $984,927,000 after purchasing an additional 365,484 shares during the period. Price T Rowe Associates Inc. MD boosted its holdings in shares of McKesson by 9.1% during the first quarter. Price T Rowe Associates Inc. MD now owns 1,290,116 shares of the company's stock worth $868,237,000 after purchasing an additional 107,638 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its holdings in shares of McKesson by 16.5% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,284,881 shares of the company's stock worth $864,712,000 after purchasing an additional 181,831 shares during the period. Finally, Invesco Ltd. boosted its holdings in shares of McKesson by 0.7% during the first quarter. Invesco Ltd. now owns 1,061,744 shares of the company's stock worth $714,543,000 after purchasing an additional 7,108 shares during the period. 85.07% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling

In related news, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the business's stock in a transaction that occurred 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 completion of the transaction, the chief accounting officer directly owned 657 shares in the company, valued at $436,031.19. The trade was a 33.37% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Brian S. Tyler sold 11,930 shares of the business's stock in a transaction that occurred 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 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 disclosure for this sale can be found here. Over the last 90 days, insiders sold 24,189 shares of company stock valued at $16,722,190. 0.08% of the stock is owned by company insiders.

Analysts Set New Price Targets

Several analysts have commented on MCK shares. UBS Group raised their price objective on shares of McKesson from $820.00 to $860.00 and gave the stock a "buy" rating in a report on Wednesday, September 24th. Wall Street Zen raised McKesson from a "hold" rating to a "buy" rating in a research report on Sunday, September 28th. Leerink Partners increased their target price on McKesson from $785.00 to $850.00 and gave the stock an "outperform" rating in a research report on Wednesday, September 24th. Evercore ISI increased their target price on McKesson from $800.00 to $825.00 and gave the stock an "outperform" rating in a research report on Wednesday, September 24th. Finally, Weiss Ratings reissued a "buy (b)" rating on shares of McKesson in a research report on Wednesday, October 8th. One analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $834.54.

McKesson Stock Performance

MCK stock opened at $788.38 on Tuesday. The firm has a 50 day moving average price of $718.77 and a 200-day moving average price of $710.76. McKesson Corporation has a 52-week low of $492.39 and a 52-week high of $793.97. The firm has a market capitalization of $98.06 billion, a price-to-earnings ratio of 31.43, a PEG ratio of 1.42 and a beta of 0.52.

McKesson (NYSE:MCK - Get Free Report) last released its earnings results on Wednesday, August 6th. The company reported $8.26 earnings per share (EPS) for the quarter, missing the consensus estimate of $8.33 by ($0.07). McKesson had a net margin of 0.84% and a negative return on equity of 196.66%. The business had revenue of $97.83 billion for the quarter, compared to analysts' expectations of $95.93 billion. During the same quarter in the previous year, the business posted $7.88 earnings per share. McKesson's revenue for the quarter was up 23.4% on a year-over-year basis. As a group, sell-side analysts forecast that McKesson Corporation will post 32.77 earnings per share for the current fiscal year.

McKesson Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, October 1st. Stockholders of record on Tuesday, September 2nd were issued a dividend of $0.82 per share. The ex-dividend date was Tuesday, September 2nd. This is a positive change from McKesson's previous quarterly dividend of $0.71. This represents a $3.28 annualized dividend and a dividend yield of 0.4%. McKesson's dividend payout ratio (DPR) is 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.

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