Investment Management Associates Inc. ADV Has $9.06 Million Stock Holdings in McKesson Corporation $MCK

Key Points

• Investment Management Associates cut its McKesson stake by 38.9% in the fourth quarter, but still held 11,045 shares valued at about $9.06 million. McKesson remained one of the fund’s larger positions.
• Wall Street remains generally constructive on the stock, with 14 Buy ratings and 3 Hold ratings and an average target price of about $970.73. Recent firms like Morgan Stanley, Barclays, JPMorgan, and Bank of America all maintained bullish views, though some trimmed price targets.
• McKesson posted a Q4 EPS beat at $11.69 versus $11.56 expected, but revenue missed forecasts at $96.3 billion. The company also gave FY2027 EPS guidance of $43.80-$44.60 and continued advancing its planned $13 billion medical-surgical spinoff.

Investment Management Associates Inc. ADV trimmed its position in shares of McKesson Corporation (NYSE:MCK - Free Report) by 38.9% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 11,045 shares of the company's stock after selling 7,035 shares during the quarter. McKesson makes up 2.5% of Investment Management Associates Inc. ADV's holdings, making the stock its 16th biggest holding. Investment Management Associates Inc. ADV's holdings in McKesson were worth $9,060,000 at the end of the most recent reporting period.

A number of other hedge funds also recently made changes to their positions in MCK. Brighton Jones LLC raised its position in shares of McKesson by 46.3% during the fourth quarter. Brighton Jones LLC now owns 2,523 shares of the company's stock worth $1,438,000 after acquiring an additional 798 shares during the last quarter. Caxton Associates LLP bought a new position in shares of McKesson during the first quarter worth about $233,000. Sivia Capital Partners LLC raised its position in shares of McKesson by 77.9% during the second quarter. Sivia Capital Partners LLC now owns 685 shares of the company's stock worth $502,000 after acquiring an additional 300 shares during the last quarter. Treasurer of the State of North Carolina raised its position in shares of McKesson by 0.9% during the second quarter. Treasurer of the State of North Carolina now owns 58,623 shares of the company's stock worth $42,958,000 after acquiring an additional 508 shares during the last quarter. Finally, Osterweis Capital Management Inc. bought a new position in shares of McKesson during the second quarter worth about $166,000. 85.07% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on MCK. Morgan Stanley restated an "overweight" rating and set a $966.00 price objective on shares of McKesson in a research report on Thursday, January 29th. Weiss Ratings restated a "buy (b+)" rating on shares of McKesson in a research report on Monday. JPMorgan Chase & Co. lowered their price objective on McKesson from $1,107.00 to $1,015.00 and set an "overweight" rating for the company in a research report on Friday. Barclays raised their price objective on McKesson from $960.00 to $1,050.00 and gave the stock an "overweight" rating in a research report on Wednesday, February 18th. Finally, Bank of America lowered their target price on McKesson from $1,040.00 to $1,000.00 and set a "buy" rating for the company in a report on Monday, April 6th. Fourteen analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $970.73.

Insider Activity

In other news, EVP Michele Lau sold 2,725 shares of the business's stock in a transaction that occurred on Monday, March 2nd. The stock was sold at an average price of $990.00, for a total transaction of $2,697,750.00. Following the completion of the sale, the executive vice president owned 3,247 shares in the company, valued at $3,214,530. The trade was a 45.63% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, EVP Leann B. Smith sold 190 shares of the business's stock in a transaction that occurred on Tuesday, February 17th. The shares were sold at an average price of $945.00, for a total value of $179,550.00. Following the sale, the executive vice president owned 2,989 shares of the company's stock, valued at approximately $2,824,605. This represents a 5.98% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 3,264 shares of company stock worth $3,205,315 over the last quarter. 0.08% of the stock is currently owned by corporate insiders.

Key Stories Impacting McKesson

Here are the key news stories impacting McKesson this week:

• Positive Sentiment: McKesson beat quarterly adjusted EPS estimates, reporting $11.69 per share versus $11.56 expected, and cited strength in oncology, specialty distribution, and biopharma services. Reuters article
• Positive Sentiment: The company guided fiscal 2027 EPS to $43.80-$44.60, which is roughly in line with expectations and suggests continued earnings growth. McKesson also reaffirmed its long-term financial targets. Yahoo Finance article
• Positive Sentiment: JPMorgan lowered its price target to $1,015 from $1,107 but kept an overweight rating, implying meaningful upside from the current share price. Benzinga article
• Positive Sentiment: William Blair reiterated a Buy rating, saying McKesson’s durable earnings power and fiscal 2027 growth outlook outweigh near-term revenue softness. TipRanks article
• Neutral Sentiment: McKesson advanced plans for its $13 billion medical-surgical spinoff/separation, a strategic move that could unlock value over time but also adds execution risk. MSN article
• Negative Sentiment: Revenue came in below Wall Street forecasts at $96.3 billion versus $101.35 billion expected, reinforcing concerns about softer sales momentum despite improved margins. Yahoo Finance article
• Negative Sentiment: The stock has been trading lower as investors focus on the revenue shortfall and near-term softness in the medical-surgical business, even with strong earnings and guidance. Zacks article

McKesson Stock Performance

Shares of MCK stock opened at $734.93 on Friday. The company has a market cap of $90.02 billion, a P/E ratio of 19.10, a PEG ratio of 1.09 and a beta of 0.35. The stock has a 50 day simple moving average of $883.74 and a two-hundred day simple moving average of $859.93. McKesson Corporation has a fifty-two week low of $637.00 and a fifty-two week high of $999.00.

McKesson (NYSE:MCK - Get Free Report) last issued its earnings results on Thursday, May 7th. The company reported $11.69 earnings per share for the quarter, topping analysts' consensus estimates of $11.56 by $0.13. The business had revenue of $96.30 billion during the quarter, compared to the consensus estimate of $101.35 billion. McKesson had a negative return on equity of 378.75% and a net margin of 1.18%.The firm's revenue for the quarter was up 6.0% on a year-over-year basis. During the same period in the previous year, the company posted $10.12 earnings per share. McKesson has set its FY 2027 guidance at 43.800-44.600 EPS. On average, research analysts predict that McKesson Corporation will post 44.24 earnings per share for the current year.

McKesson Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Stockholders of record on Monday, June 1st will be issued a dividend of $0.82 per share. The ex-dividend date is Monday, June 1st. This represents a $3.28 annualized dividend and a dividend yield of 0.4%. McKesson's payout ratio is currently 8.53%.

McKesson Company Profile

McKesson Corporation NYSE: MCK is a global healthcare services and distribution company that supplies pharmaceuticals, medical-surgical products and health care technology solutions. Founded in 1833 and headquartered in Irving, Texas, McKesson operates across the drug distribution and healthcare services value chain, connecting manufacturers, pharmacies, hospitals and health systems to help manage the movement of medicines and clinical supplies.

The company's core activities include pharmaceutical wholesale distribution and logistics, specialty pharmacy services, and the provision of medical-surgical supplies to acute and non-acute care providers.

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