GAMMA Investing LLC Raises Position in McKesson Corporation $MCK

Key Points

• GAMMA Investing LLC increased its stake in McKesson Corporation by 12.2%, owning 3,989 shares valued at approximately $2.92 million as of the last reporting period.
• Several other institutional investors have also shown interest in McKesson, with 85.07% of the stock currently held by hedge funds and other institutional investors.
• McKesson recently declared a quarterly dividend of $0.82 per share, representing a boost from the previous dividend of $0.71 and an annualized yield of 0.5%.

GAMMA Investing LLC increased its position in McKesson Corporation (NYSE:MCK - Free Report) by 12.2% in the 2nd quarter, according to its most recent filing with the SEC. The fund owned 3,989 shares of the company's stock after purchasing an additional 433 shares during the period. GAMMA Investing LLC's holdings in McKesson were worth $2,923,000 at the end of the most recent quarter.

Several other institutional investors also recently bought and sold shares of the company. Cobblestone Asset Management LLC purchased a new position in shares of McKesson in the 2nd quarter valued at about $202,000. Lewis Asset Management LLC acquired a new position in shares of McKesson during the second quarter worth $762,000. Petredis Investment Advisors LLC increased its stake in shares of McKesson by 1.4% in the second quarter. Petredis Investment Advisors LLC now owns 5,020 shares of the company's stock worth $3,679,000 after buying an additional 71 shares during the last quarter. Coastwise Capital Group LLC bought a new position in McKesson during the second quarter worth $207,000. Finally, Farther Finance Advisors LLC raised its position in shares of McKesson by 11.0% during the 2nd quarter. Farther Finance Advisors LLC now owns 2,803 shares of the company's stock worth $2,054,000 after purchasing an additional 277 shares during the period. 85.07% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several research firms recently weighed in on MCK. Morgan Stanley reaffirmed an "overweight" rating and issued a $810.00 price objective (up previously from $770.00) on shares of McKesson in a report on Wednesday, July 16th. Evercore ISI raised their price objective on McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a research note on Wednesday, July 9th. Wells Fargo & Company raised their price objective on McKesson from $766.00 to $772.00 and gave the stock an "equal weight" rating in a research report on Wednesday, August 13th. Cowen reaffirmed a "buy" rating on shares of McKesson in a report on Thursday, August 7th. Finally, Wall Street Zen downgraded McKesson from a "buy" rating to a "hold" rating in a report on Saturday. One investment analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and three have given a Hold rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $725.10.

McKesson Trading Down 0.2%

Shares of McKesson stock traded down $1.26 during trading on Monday, hitting $697.05. 583,806 shares of the stock were exchanged, compared to its average volume of 678,052. The company has a fifty day moving average price of $694.76 and a 200-day moving average price of $697.18. The stock has a market capitalization of $86.70 billion, a price-to-earnings ratio of 27.79, a price-to-earnings-growth ratio of 1.39 and a beta of 0.51. McKesson Corporation has a 1-year low of $464.42 and a 1-year 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 earnings per share for the quarter, missing the consensus estimate of $8.33 by ($0.07). McKesson had a negative return on equity of 196.66% and a net margin of 0.84%.The firm had revenue of $97.83 billion for the quarter, compared to analyst estimates of $95.93 billion. During the same period in the previous year, the business posted $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 forecast that McKesson Corporation will post 32.77 EPS for the current fiscal year.

McKesson Increases Dividend

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

Insider Activity at McKesson

In other news, CEO Brian S. Tyler sold 19,371 shares of the company's stock in a transaction on Friday, July 11th. The shares were sold at an average price of $708.09, for a total value of $13,716,411.39. Following the sale, the chief executive officer directly owned 27,872 shares of the company's stock, valued at approximately $19,735,884.48. This represents a 41.00% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CAO Napoleon B. Rutledge, Jr. sold 329 shares of McKesson stock in a transaction that occurred on Friday, August 8th. The stock was sold at an average price of $663.67, for a total value of $218,347.43. Following the completion of the sale, the chief accounting officer owned 657 shares of the company's stock, valued at approximately $436,031.19. The trade was a 33.37% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 43,560 shares of company stock valued at $30,438,602 in the last ninety days. 0.08% of the stock is currently owned by insiders.

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.