FORA Capital LLC Takes $2.26 Million Position in McKesson Corporation $MCK

Key Points

• FORA Capital LLC has acquired a new position in McKesson Corporation by purchasing 3,360 shares valued at approximately $2.26 million during the first quarter.
• Several institutional investors have increased their stakes in McKesson, with notable increases including a 54.0% lift by Oppenheimer Asset Management and an 18.9% increase by Cambridge Investment Research Advisors.
• McKesson recently declared an increase in its quarterly dividend from $0.71 to $0.82, reflecting a commitment to returning value to shareholders.

FORA Capital LLC purchased a new stake in McKesson Corporation (NYSE:MCK - Free Report) in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm purchased 3,360 shares of the company's stock, valued at approximately $2,261,000.

Other institutional investors and hedge funds have also bought and sold shares of the company. Bank of Hawaii increased its holdings in McKesson by 0.8% in the 1st quarter. Bank of Hawaii now owns 3,208 shares of the company's stock worth $2,159,000 after acquiring an additional 26 shares during the last quarter. Virtus Advisers LLC purchased a new position in shares of McKesson during the 1st quarter valued at $201,000. Comerica Bank raised its position in shares of McKesson by 3.7% during the 1st quarter. Comerica Bank now owns 32,061 shares of the company's stock valued at $21,576,000 after buying an additional 1,147 shares in the last quarter. Freedom Investment Management Inc. purchased a new stake in shares of McKesson during the 1st quarter valued at $230,000. Finally, ICONIQ Capital LLC boosted its stake in shares of McKesson by 23.7% in the 1st quarter. ICONIQ Capital LLC now owns 690 shares of the company's stock valued at $464,000 after purchasing an additional 132 shares in the last quarter. 85.07% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several research analysts recently commented on MCK shares. Wall Street Zen downgraded shares of McKesson from a "strong-buy" rating to a "buy" rating in a research note on Sunday, July 13th. Bank of America raised their price target on McKesson from $755.00 to $800.00 and gave the stock a "buy" rating in a research note on Friday, May 9th. Morgan Stanley reaffirmed an "overweight" rating and issued a $810.00 price target (up previously from $770.00) on shares of McKesson in a research note on Wednesday, July 16th. Wells Fargo & Company upped their price target on McKesson from $766.00 to $772.00 and gave the stock an "equal weight" rating in a research note on Wednesday, August 13th. Finally, Evercore ISI upped their price target on McKesson from $760.00 to $800.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 9th. One investment analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $725.10.

Insider Transactions at McKesson

In other news, CEO Brian S. Tyler sold 19,371 shares of McKesson stock in a transaction dated Friday, July 11th. The stock was sold at an average price of $708.09, for a total transaction of $13,716,411.39. Following the transaction, the chief executive officer directly owned 27,872 shares of the company's stock, valued at $19,735,884.48. The trade was a 41.00% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the stock in a transaction dated Friday, August 8th. The stock was 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 of the company's stock, valued at $436,031.19. This represents a 33.37% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 62,930 shares of company stock worth $44,112,466. Insiders own 0.08% of the company's stock.

McKesson Stock Up 0.8%

Shares of NYSE MCK traded up $5.42 during trading on Friday, reaching $686.44. 880,317 shares of the company traded hands, compared to its average volume of 984,242. The firm has a 50 day simple moving average of $702.44 and a 200-day simple moving average of $687.34. The stock has a market capitalization of $85.38 billion, a PE ratio of 27.37, a P/E/G ratio of 1.35 and a beta of 0.50. McKesson Corporation has a 52-week low of $464.42 and a 52-week high of $737.89.

McKesson (NYSE:MCK - Get Free Report) last released its quarterly 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 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 period in the previous year, the company earned $7.88 EPS. McKesson's revenue for the quarter was up 23.4% compared to the same quarter last year. As a group, research analysts predict that McKesson Corporation will post 32.77 EPS 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. This represents a $3.28 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend is Tuesday, September 2nd. This is an increase from McKesson's previous quarterly dividend of $0.71. McKesson's payout ratio is presently 11.32%.

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.