Financial Advisors Network Inc. Lowers Stock Position in McKesson Corporation $MCK

Key Points

• Financial Advisors Network Inc. reduced its stake in McKesson Corporation by 4.9%, bringing its total ownership to 7,935 shares, valued at approximately $5.34 million.
• McKesson announced a quarterly dividend increase to $0.82 per share, representing an annual yield of 0.5%, set to be paid on October 1st.
• The company reported earnings per share of $8.26 for the last quarter, missing analysts' expectations, however, revenue increased by 23.4% compared to the previous year.

Financial Advisors Network Inc. trimmed its position in McKesson Corporation (NYSE:MCK - Free Report) by 4.9% in the first quarter, according to its most recent filing with the SEC. The institutional investor owned 7,935 shares of the company's stock after selling 406 shares during the period. McKesson comprises 0.9% of Financial Advisors Network Inc.'s investment portfolio, making the stock its 25th biggest position. Financial Advisors Network Inc.'s holdings in McKesson were worth $5,340,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Wellington Management Group LLP increased its holdings in McKesson by 4,559.6% during the first quarter. Wellington Management Group LLP now owns 427,703 shares of the company's stock worth $287,840,000 after buying an additional 418,524 shares during the last quarter. Korea Investment CORP raised its holdings in shares of McKesson by 2.5% in the 1st quarter. Korea Investment CORP now owns 115,296 shares of the company's stock worth $77,593,000 after purchasing an additional 2,853 shares during the period. Qtron Investments LLC lifted its stake in McKesson by 4.3% in the first quarter. Qtron Investments LLC now owns 2,841 shares of the company's stock valued at $1,912,000 after purchasing an additional 118 shares during the last quarter. Aptus Capital Advisors LLC lifted its stake in McKesson by 9.0% in the first quarter. Aptus Capital Advisors LLC now owns 4,455 shares of the company's stock valued at $2,998,000 after purchasing an additional 368 shares during the last quarter. Finally, Northern Trust Corp increased its position in McKesson by 0.7% in the first quarter. Northern Trust Corp now owns 1,542,382 shares of the company's stock worth $1,038,008,000 after buying an additional 10,179 shares during the last quarter. Hedge funds and other institutional investors own 85.07% of the company's stock.

McKesson Price Performance

Shares of NYSE:MCK opened at $672.86 on Monday. McKesson Corporation has a 1 year low of $464.42 and a 1 year high of $737.89. The stock's 50-day moving average is $709.57 and its 200 day moving average is $682.67. The company has a market cap of $83.69 billion, a PE ratio of 26.83, a P/E/G ratio of 1.34 and a beta of 0.50.

McKesson (NYSE:MCK - Get Free Report) last issued 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 net margin of 0.84% and a negative return on equity of 196.66%. The company had revenue of $97.83 billion for the quarter, compared to analysts' expectations of $95.93 billion. During the same period in the previous year, the firm posted $7.88 earnings per share. The firm's revenue for the quarter was up 23.4% compared to the same quarter last year. Analysts expect that McKesson Corporation will post 32.77 EPS for the current fiscal year.

McKesson Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Tuesday, September 2nd will be given a $0.82 dividend. The ex-dividend date of this dividend is Tuesday, September 2nd. This represents a $3.28 annualized dividend 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 currently 11.32%.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on MCK shares. Wells Fargo & Company set a $772.00 price objective on McKesson and gave the stock an "equal weight" rating in a report on Wednesday. Morgan Stanley reaffirmed 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. UBS Group boosted their target price on shares of McKesson from $708.00 to $805.00 and gave the company a "buy" rating in a report on Tuesday, April 29th. Bank of America increased their price objective on McKesson from $755.00 to $800.00 and gave the stock a "buy" rating in a report on Friday, May 9th. Finally, Cowen restated a "buy" rating on shares of McKesson in a research note on Thursday, August 7th. Three equities research analysts have rated the stock with a hold rating, eleven have given a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $719.27.

Insider Transactions at McKesson

In related news, EVP Leann B. Smith sold 1,248 shares of the business's stock in a transaction dated Thursday, May 22nd. The shares were sold at an average price of $717.30, for a total transaction of $895,190.40. Following the sale, the executive vice president owned 2,621 shares of the company's stock, valued at $1,880,043.30. The trade was a 32.26% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Brian S. Tyler sold 19,371 shares of McKesson stock in a transaction that occurred on Friday, July 11th. The shares were sold at an average price of $708.09, for a total transaction of $13,716,411.39. Following the transaction, the chief executive officer owned 27,872 shares of the company's stock, valued at $19,735,884.48. The trade was a 41.00% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 52,274 shares of company stock worth $37,066,715. 0.08% of the stock is owned by insiders.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.