McKesson Corporation $MCK is Meyer Handelman Co.'s 5th Largest Position

Key Points

• Meyer Handelman Co. trimmed its McKesson stake by 2.3% in the first quarter, but the stock remains its 5th-largest holding and makes up about 2.8% of the portfolio.
• McKesson reported Q1 EPS of $11.69, beating estimates, while revenue rose 6% year over year to $96.3 billion, though that still came in below analyst expectations.
• The company announced a quarterly dividend of $0.82 per share and saw continued insider selling, including CEO Brian S. Tyler’s sale under a pre-arranged trading plan.

Meyer Handelman Co. lessened its stake in McKesson Corporation (NYSE:MCK - Free Report) by 2.3% during the first quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 102,480 shares of the company's stock after selling 2,426 shares during the quarter. McKesson makes up approximately 2.8% of Meyer Handelman Co.'s portfolio, making the stock its 5th biggest holding. Meyer Handelman Co. owned 0.08% of McKesson worth $88,682,000 at the end of the most recent reporting period.

Several other institutional investors have also bought and sold shares of MCK. Meiji Yasuda Asset Management Co Ltd. lifted its position in shares of McKesson by 0.5% during the 4th quarter. Meiji Yasuda Asset Management Co Ltd. now owns 2,262 shares of the company's stock valued at $1,855,000 after buying an additional 11 shares during the last quarter. Investment Research Partners LLC increased its holdings in McKesson by 0.7% in the 4th quarter. Investment Research Partners LLC now owns 1,624 shares of the company's stock worth $1,332,000 after acquiring an additional 11 shares during the last quarter. IHT Wealth Management LLC raised its stake in McKesson by 0.9% in the 4th quarter. IHT Wealth Management LLC now owns 1,196 shares of the company's stock valued at $981,000 after acquiring an additional 11 shares during the period. Obsidian Personal Planning Solutions LLC raised its stake in McKesson by 2.9% in the 3rd quarter. Obsidian Personal Planning Solutions LLC now owns 426 shares of the company's stock valued at $346,000 after acquiring an additional 12 shares during the period. Finally, LRI Investments LLC lifted its holdings in McKesson by 12.1% during the fourth quarter. LRI Investments LLC now owns 111 shares of the company's stock valued at $91,000 after purchasing an additional 12 shares during the last quarter. Hedge funds and other institutional investors own 85.07% of the company's stock.

McKesson Stock Down 0.2%

Shares of MCK opened at $764.77 on Friday. The business's 50-day moving average price is $779.51 and its 200-day moving average price is $840.82. McKesson Corporation has a twelve month low of $637.00 and a twelve month high of $999.00. The stock has a market cap of $89.54 billion, a PE ratio of 19.88, a P/E/G ratio of 1.26 and a beta of 0.31.

McKesson (NYSE:MCK - Get Free Report) last posted its earnings results on Thursday, May 7th. The company reported $11.69 earnings per share (EPS) for the quarter, topping the consensus estimate of $11.56 by $0.13. McKesson had a net margin of 1.18% and a negative return on equity of 345.35%. The business had revenue of $96.30 billion for the quarter, compared to analysts' expectations of $101.35 billion. During the same period in the prior year, the company posted $10.12 EPS. The business's revenue for the quarter was up 6.0% compared to the same quarter last year. McKesson has set its FY 2027 guidance at 43.800-44.600 EPS. Analysts expect that McKesson Corporation will post 44.28 earnings per share for the current fiscal year.

McKesson Announces Dividend

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

Insiders Place Their Bets

In other McKesson news, CEO Brian S. Tyler sold 8,463 shares of the company's stock in a transaction dated Wednesday, June 17th. The stock was sold at an average price of $775.13, for a total value of $6,559,925.19. Following the transaction, the chief executive officer directly owned 14,382 shares in the company, valued at $11,147,919.66. This represents a 37.05% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Thomas L. Rodgers sold 2,388 shares of the firm's stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $761.09, for a total value of $1,817,482.92. Following the completion of the sale, the executive vice president directly owned 3,090 shares in the company, valued at approximately $2,351,768.10. The trade was a 43.59% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 20,285 shares of company stock valued at $15,546,137 in the last ninety days. Corporate insiders own 0.06% of the company's stock.

Analysts Set New Price Targets

A number of equities analysts have weighed in on the stock. Barclays cut their target price on shares of McKesson from $1,050.00 to $925.00 and set an "overweight" rating for the company in a research report on Wednesday, June 10th. Deutsche Bank Aktiengesellschaft restated a "buy" rating and set a $875.00 price target on shares of McKesson in a research note on Friday, May 8th. Evercore reaffirmed an "outperform" rating on shares of McKesson in a report on Thursday, March 5th. Weiss Ratings cut shares of McKesson from a "buy (b+)" rating to a "buy (b)" rating in a report on Monday, May 18th. Finally, Bank of America dropped their target price on McKesson from $1,040.00 to $1,000.00 and set a "buy" rating on the stock in a research report on Monday, April 6th. Fourteen equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat.com, McKesson currently has an average rating of "Moderate Buy" and a consensus price target of $960.53.

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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