PDT Partners LLC Acquires 2,439 Shares of McKesson Corporation $MCK

Key Points

• PDT Partners LLC significantly increased its stake in McKesson Corporation by 122% in the first quarter, owning 4,439 shares valued at approximately $2.99 million.
• The company announced a quarterly dividend increase from $0.71 to $0.82 per share, reflecting a commitment to returning value to shareholders.
• McKesson's stock price opened at $686.44 with a 52-week range of $464.42 to $737.89, and it reported a quarterly revenue of $97.83 billion despite a slight miss on EPS estimates.

PDT Partners LLC increased its position in McKesson Corporation (NYSE:MCK - Free Report) by 122.0% in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 4,439 shares of the company's stock after acquiring an additional 2,439 shares during the quarter. PDT Partners LLC's holdings in McKesson were worth $2,987,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Capital A Wealth Management LLC purchased a new stake in McKesson in the 4th quarter worth approximately $26,000. Bank of Jackson Hole Trust increased its holdings in McKesson by 64.3% in the 1st quarter. Bank of Jackson Hole Trust now owns 46 shares of the company's stock worth $29,000 after acquiring an additional 18 shares in the last quarter. CBIZ Investment Advisory Services LLC increased its holdings in McKesson by 1,366.7% in the 1st quarter. CBIZ Investment Advisory Services LLC now owns 44 shares of the company's stock worth $30,000 after acquiring an additional 41 shares in the last quarter. Saudi Central Bank purchased a new stake in McKesson in the 1st quarter worth approximately $34,000. Finally, Pandora Wealth Inc. bought a new position in McKesson in the 1st quarter worth approximately $40,000. 85.07% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research firms have weighed in on MCK. 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. Wall Street Zen downgraded McKesson from a "strong-buy" rating to a "buy" rating in a research note on Sunday, July 13th. Cowen restated a "buy" rating on shares of McKesson in a research note on Thursday, August 7th. Morgan Stanley restated an "overweight" rating and issued a $810.00 price target (up from $770.00) on shares of McKesson in a research note on Wednesday, July 16th. Finally, 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. One 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. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $725.10.

Insiders Place Their Bets

In related news, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the firm's stock in a transaction 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 directly owned 657 shares in the company, valued at $436,031.19. This trade represents a 33.37% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Brian S. Tyler sold 11,930 shares of the firm's stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $705.63, for a total value of $8,418,165.90. Following the completion of the sale, the chief executive officer owned 4,012 shares of the company's stock, valued at approximately $2,830,987.56. This represents a 74.83% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 43,560 shares of company stock valued at $30,438,602. 0.08% of the stock is owned by corporate insiders.

McKesson Price Performance

Shares of NYSE MCK traded down $4.42 during midday trading on Friday, reaching $687.03. 472,767 shares of the stock traded hands, compared to its average volume of 808,316. The stock has a market capitalization of $85.45 billion, a PE ratio of 27.39, a P/E/G ratio of 1.37 and a beta of 0.51. McKesson Corporation has a one year low of $464.42 and a one year high of $737.89. The company's 50 day moving average is $699.12 and its 200 day moving average is $690.52.

McKesson (NYSE:MCK - Get Free Report) last posted its earnings results on Wednesday, August 6th. The company reported $8.26 EPS for the quarter, missing analysts' consensus estimates of $8.33 by ($0.07). The firm had revenue of $97.83 billion for the quarter, compared to the consensus estimate of $95.93 billion. McKesson had a net margin of 0.84% and a negative return on equity of 196.66%. The firm's revenue was up 23.4% compared to the same quarter last year. During the same quarter in the prior year, the company posted $7.88 earnings per share. As a group, equities analysts forecast that McKesson Corporation will post 32.77 EPS for the current year.

McKesson Increases Dividend

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

About McKesson

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.