Deutsche Bank AG Sells 218,823 Shares of McKesson Corporation (NYSE:MCK)

Key Points

• Deutsche Bank AG reduced its stake in McKesson Corporation by 29.1%, selling 218,823 shares, while still owning 532,460 shares valued at approximately $358 million.
• Several institutional investors significantly increased their holdings in McKesson, with GAMMA Investing LLC boosting its stake by over 75,600% during the first quarter, translating to an ownership of approximately $1.61 billion.
• McKesson announced a quarterly dividend increase from $0.71 to $0.82 per share, reflecting a strong annualized dividend of $3.28 and a dividend yield of 0.5%.

Deutsche Bank AG trimmed its position in McKesson Corporation (NYSE:MCK - Free Report) by 29.1% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 532,460 shares of the company's stock after selling 218,823 shares during the period. Deutsche Bank AG owned 0.42% of McKesson worth $358,340,000 at the end of the most recent reporting period.

A number of other institutional investors have also added to or reduced their stakes in MCK. GAMMA Investing LLC increased its stake in shares of McKesson by 75,632.7% in the 1st 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. Farallon Capital Management LLC purchased a new stake in shares of McKesson in the 4th quarter worth approximately $348,044,000. Marshall Wace LLP increased its position in McKesson by 59,720.3% during the 4th quarter. Marshall Wace LLP now owns 358,922 shares of the company's stock valued at $204,553,000 after buying an additional 358,322 shares in the last quarter. Leigh Baldwin & CO. LLC purchased a new position in McKesson during the fourth quarter valued at $182,861,000. Finally, Voya Investment Management LLC boosted its holdings in McKesson by 259.7% in the fourth quarter. Voya Investment Management LLC now owns 338,378 shares of the company's stock worth $192,845,000 after acquiring an additional 244,315 shares in the last quarter. Institutional investors own 85.07% of the company's stock.

Analysts Set New Price Targets

A number of brokerages recently issued reports on MCK. Wells Fargo & Company set a $766.00 price target on shares of McKesson and gave the stock an "equal weight" rating in a research note on Tuesday, June 3rd. UBS Group increased their price target on shares of McKesson from $708.00 to $805.00 and gave the company a "buy" rating in a report on Tuesday, April 29th. Evercore ISI boosted their target price on McKesson from $760.00 to $800.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 9th. Bank of America raised their target price on shares of McKesson from $755.00 to $800.00 and gave the stock a "buy" rating in a report on Friday, May 9th. Finally, Morgan Stanley reiterated an "overweight" rating and set a $810.00 target price (up from $770.00) on shares of McKesson in a research note on Wednesday, July 16th. Three equities research analysts have rated the stock with a hold rating, twelve have issued a buy rating and one has assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $710.17.

Insider Activity

In other news, EVP Thomas L. Rodgers sold 2,891 shares of the business's stock in a transaction on Friday, May 30th. The shares were sold at an average price of $712.18, for a total value of $2,058,912.38. Following the transaction, the executive vice president owned 2,544 shares of the company's stock, valued at approximately $1,811,785.92. The trade was a 53.19% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Leann B. Smith sold 341 shares of the company's stock in a transaction on Wednesday, May 28th. The stock was sold at an average price of $717.91, for a total transaction of $244,807.31. Following the transaction, the executive vice president owned 2,800 shares of the company's stock, valued at approximately $2,010,148. This represents a 10.86% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 52,488 shares of company stock valued at $37,242,862 in the last three months. 0.08% of the stock is currently owned by insiders.

McKesson Trading Down 5.6%

Shares of NYSE:MCK opened at $664.10 on Friday. The stock has a 50 day moving average of $715.17 and a 200 day moving average of $678.53. The company has a market cap of $83.09 billion, a PE ratio of 26.48, a price-to-earnings-growth ratio of 1.42 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 announced its quarterly earnings data 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). McKesson had a negative return on equity of 180.77% and a net margin of 0.84%. The firm had revenue of $97.83 billion during the quarter, compared to analysts' expectations of $95.93 billion. During the same period last year, the company earned $7.88 earnings per share. The business's revenue for the quarter was up 23.4% on a year-over-year basis. Equities research analysts predict 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 will be paid on Wednesday, October 1st. Investors of record on Tuesday, September 2nd will be given a dividend of $0.82 per share. 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%. The ex-dividend date is Tuesday, September 2nd. McKesson's dividend payout ratio (DPR) is 10.99%.

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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