ING Groep NV Lowers Holdings in McKesson Corporation (NYSE:MCK)

Key Points

• ING Groep NV reduced its stake in McKesson Corporation by 11.2%, ending the first quarter with 88,953 shares valued at approximately $59.86 million.
• McKesson recently announced an increase in its quarterly dividend to $0.82 per share, up from the previous $0.71, reflecting a positive change for investors.
• Despite mixed earnings results, several analysts have raised their price targets for McKesson shares, with Bank of America setting a new target of $800.00 and maintaining a "buy" rating.

ING Groep NV trimmed its holdings in shares of McKesson Corporation (NYSE:MCK - Free Report) by 11.2% in the first quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 88,953 shares of the company's stock after selling 11,210 shares during the period. ING Groep NV owned about 0.07% of McKesson worth $59,864,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also modified their holdings of the business. Capital A Wealth Management LLC bought a new position in shares of McKesson during the 4th quarter worth about $26,000. Bank of Jackson Hole Trust raised its stake in shares of McKesson by 64.3% during the first quarter. Bank of Jackson Hole Trust now owns 46 shares of the company's stock worth $29,000 after buying an additional 18 shares during the last quarter. CBIZ Investment Advisory Services LLC raised its stake in shares of McKesson by 1,366.7% during the first quarter. CBIZ Investment Advisory Services LLC now owns 44 shares of the company's stock worth $30,000 after buying an additional 41 shares during the last quarter. Cornerstone Planning Group LLC boosted its holdings in shares of McKesson by 1,840.0% in the first quarter. Cornerstone Planning Group LLC now owns 97 shares of the company's stock valued at $67,000 after buying an additional 92 shares during the period. Finally, Johnson Financial Group Inc. acquired a new position in McKesson during the fourth quarter worth $76,000. Institutional investors and hedge funds own 85.07% of the company's stock.

Insider Activity

In other McKesson news, CEO Brian S. Tyler sold 19,371 shares of the business's 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 completion of the sale, the chief executive officer directly owned 27,872 shares in the company, valued at $19,735,884.48. The trade was a 41.00% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Napoleon B. Rutledge, Jr. sold 543 shares of the business's stock in a transaction that occurred on Monday, May 19th. The stock was sold at an average price of $726.51, for a total value of $394,494.93. Following the completion of the transaction, the chief accounting officer directly owned 1,972 shares in the company, valued at approximately $1,432,677.72. This represents a 21.59% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 52,488 shares of company stock valued at $37,242,862. 0.08% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on MCK. Wells Fargo & Company set a $766.00 price objective on shares of McKesson and gave the company an "equal weight" rating in a research report on Tuesday, June 3rd. Evercore ISI raised their price target on shares of McKesson from $760.00 to $800.00 and gave the stock an "outperform" rating in a report on Wednesday, July 9th. UBS Group raised their price target on shares of McKesson from $708.00 to $805.00 and gave the stock a "buy" rating in a report on Tuesday, April 29th. Wall Street Zen lowered shares of McKesson from a "strong-buy" rating to a "buy" rating in a research note on Sunday, July 13th. Finally, Bank of America boosted their price target on shares of McKesson from $755.00 to $800.00 and gave the company a "buy" rating in a research note on Friday, May 9th. Three research analysts have rated the stock with a hold rating, eleven have issued a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, McKesson presently has an average rating of "Moderate Buy" and a consensus price target of $710.17.

McKesson Price Performance

Shares of MCK traded down $4.64 during midday trading on Wednesday, hitting $704.85. 1,268,592 shares of the company traded hands, compared to its average volume of 624,894. The stock has a 50-day moving average of $716.27 and a 200-day moving average of $677.85. The firm has a market cap of $88.18 billion, a P/E ratio of 27.29, a PEG ratio of 1.43 and a beta of 0.50. McKesson Corporation has a one year low of $464.42 and a one year high of $737.89.

McKesson (NYSE:MCK - Get Free Report) last issued 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 negative return on equity of 201.12% and a net margin of 0.92%. McKesson's quarterly revenue was up 23.4% compared to the same quarter last year. During the same period in the previous year, the business posted $7.88 earnings per share. Sell-side 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 issued a dividend of $0.82 per share. The ex-dividend date is Tuesday, September 2nd. This is a boost from McKesson's previous quarterly dividend of $0.71. This represents a $3.28 annualized dividend and a dividend yield of 0.5%. McKesson's dividend payout ratio 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.