McKesson Corporation $MCK Stock Holdings Decreased by Argyle Capital Management LLC

Key Points

• Argyle Capital Management LLC has decreased its holdings in McKesson Corporation by 13.2% during the second quarter, now owning 10,704 shares valued at approximately $7.84 million.
• Multiple analysts have raised their price targets for McKesson, with TD Cowen setting it at $864.00, reflecting positive outlooks and ratings including several "buy" and "outperform" recommendations.
• McKesson recently increased its quarterly dividend from $0.71 to $0.82 per share, which results in an annualized yield of 0.4% and a payout ratio of 13.08%.

Argyle Capital Management LLC reduced its position in McKesson Corporation (NYSE:MCK - Free Report) by 13.2% during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 10,704 shares of the company's stock after selling 1,630 shares during the period. McKesson comprises approximately 2.8% of Argyle Capital Management LLC's holdings, making the stock its 4th largest position. Argyle Capital Management LLC's holdings in McKesson were worth $7,844,000 at the end of the most recent reporting period.

Other institutional investors have also made changes to their positions in the company. Brighton Jones LLC grew its position in McKesson by 46.3% during the fourth quarter. Brighton Jones LLC now owns 2,523 shares of the company's stock valued at $1,438,000 after purchasing an additional 798 shares in the last quarter. Farther Finance Advisors LLC grew its position in McKesson by 20.3% during the first quarter. Farther Finance Advisors LLC now owns 2,526 shares of the company's stock valued at $1,702,000 after purchasing an additional 427 shares in the last quarter. GAMMA Investing LLC grew its position in McKesson by 12.5% during the first quarter. GAMMA Investing LLC now owns 3,556 shares of the company's stock valued at $2,393,000 after purchasing an additional 396 shares in the last quarter. SG Americas Securities LLC grew its position in McKesson by 303.7% during the first quarter. SG Americas Securities LLC now owns 5,369 shares of the company's stock valued at $3,613,000 after purchasing an additional 4,039 shares in the last quarter. Finally, Redhawk Wealth Advisors Inc. purchased a new position in McKesson during the first quarter valued at approximately $230,000. 85.07% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

MCK has been the topic of a number of research analyst reports. Weiss Ratings reaffirmed a "buy (b)" rating on shares of McKesson in a research report on Wednesday. TD Cowen raised their price target on shares of McKesson from $830.00 to $864.00 and gave the company a "buy" rating in a report on Wednesday, September 24th. Leerink Partners raised their price target on shares of McKesson from $785.00 to $850.00 and gave the company an "outperform" rating in a report on Wednesday, September 24th. Evercore ISI raised their price target on shares of McKesson from $800.00 to $825.00 and gave the company an "outperform" rating in a report on Wednesday, September 24th. Finally, Morgan Stanley raised their price target on shares of McKesson from $810.00 to $857.00 and gave the company an "overweight" rating in a report on Wednesday, September 24th. One investment analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and three have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, McKesson currently has an average rating of "Moderate Buy" and an average target price of $829.08.

McKesson Price Performance

NYSE:MCK opened at $758.07 on Friday. The stock has a market cap of $94.29 billion, a P/E ratio of 30.23, a PEG ratio of 1.36 and a beta of 0.52. McKesson Corporation has a one year low of $492.39 and a one year high of $776.14. The company has a fifty day moving average price of $706.17 and a 200 day moving average price of $705.39.

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

McKesson Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, October 1st. Investors of record on Tuesday, September 2nd were paid a dividend of $0.82 per share. This represents a $3.28 annualized dividend and a yield of 0.4%. The ex-dividend date was Tuesday, September 2nd. This is an increase from McKesson's previous quarterly dividend of $0.71. McKesson's dividend payout ratio is currently 13.08%.

Insider Buying and Selling at McKesson

In other McKesson news, CEO Brian S. Tyler sold 11,930 shares of the business's stock in a transaction on Friday, August 22nd. The shares were sold at an average price of $705.63, for a total value of $8,418,165.90. Following the sale, the chief executive officer owned 4,012 shares of the company's stock, valued at $2,830,987.56. The trade was a 74.83% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the business's stock in a transaction on Friday, August 8th. The shares were sold at an average price of $663.67, for a total transaction 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 position. The disclosure for this sale can be found here. Insiders sold a total of 24,189 shares of company stock worth $16,722,190 in the last three months. Insiders own 0.08% of the company's stock.

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.

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