McKesson Corporation $MCK Stock Holdings Increased by Bank of America Corp DE

Key Points

• Bank of America increased its McKesson stake by 2.4% in the first quarter to 1.54 million shares valued at approximately $1.33 billion. Institutional investors and hedge funds collectively own 85.07% of the company.
• Analysts maintain a generally positive outlook, with 14 Buy ratings and three Holds producing a consensus “Moderate Buy” rating and an average price target of $962.67.
• McKesson exceeded quarterly EPS expectations, reporting $11.69 versus $11.56 expected, while raising its quarterly dividend from $0.82 to $0.94 per share. Shares opened at $867.05, below their 52-week high of $999.

Bank of America Corp DE lifted its holdings in McKesson Corporation (NYSE:MCK - Free Report) by 2.4% in the 1st quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 1,538,726 shares of the company's stock after purchasing an additional 35,916 shares during the quarter. Bank of America Corp DE owned 1.28% of McKesson worth $1,331,552,000 as of its most recent filing with the SEC.

Other large investors also recently modified their holdings of the company. Vanguard Group Inc. raised its holdings in McKesson by 0.6% during the 4th quarter. Vanguard Group Inc. now owns 12,104,719 shares of the company's stock worth $9,929,380,000 after buying an additional 73,109 shares during the period. State Street Corp boosted its holdings in shares of McKesson by 0.5% in the fourth quarter. State Street Corp now owns 5,780,179 shares of the company's stock worth $4,746,118,000 after buying an additional 29,660 shares during the period. Geode Capital Management LLC boosted its holdings in shares of McKesson by 0.9% in the fourth quarter. Geode Capital Management LLC now owns 2,857,344 shares of the company's stock worth $2,333,520,000 after buying an additional 25,082 shares during the period. Franklin Resources Inc. increased its position in shares of McKesson by 5.4% in the fourth quarter. Franklin Resources Inc. now owns 2,825,954 shares of the company's stock worth $2,318,102,000 after acquiring an additional 144,633 shares in the last quarter. Finally, Norges Bank acquired a new stake in shares of McKesson during the fourth quarter valued at approximately $1,651,137,000. 85.07% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of equities analysts recently commented on the stock. UBS Group raised their price objective on shares of McKesson from $1,000.00 to $1,050.00 and gave the stock a "buy" rating in a research note on Friday, May 8th. Wells Fargo & Company decreased their target price on McKesson from $925.00 to $812.00 and set an "equal weight" rating for the company in a research report on Tuesday, May 12th. William Blair assumed coverage on McKesson in a research report on Tuesday, April 28th. They set an "outperform" rating on the stock. Citigroup raised their price objective on McKesson from $945.00 to $1,000.00 and gave the stock a "buy" rating in a research report on Friday, July 24th. Finally, TD Cowen dropped their target price on McKesson from $1,012.00 to $989.00 and set a "buy" rating on the stock in a report on Tuesday, July 21st. Fourteen analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. According to MarketBeat, McKesson has a consensus rating of "Moderate Buy" and a consensus price target of $962.67.

McKesson News Roundup

Here are the key news stories impacting McKesson this week:

• Positive Sentiment: McKesson continues to benefit from expectations for earnings growth. Its latest reported quarter exceeded EPS estimates, and management’s fiscal 2027 outlook calls for earnings of $43.80–$44.60 per share. McKesson earnings expected to grow
• Neutral Sentiment: McKesson’s chief legal officer is leaving to take the same role at luxury home-furnishings company RH. The move is not necessarily an operating concern, but executive turnover may attract investor attention. RH hires McKesson chief legal officer
• Negative Sentiment: A Zacks preview said McKesson lacks the combination of favorable earnings expectations and estimate-revision momentum that typically signals a likely earnings beat. That caution may have pressured the stock ahead of results, particularly after its strong run toward its 52-week high. McKesson earnings preview
• Negative Sentiment: The latest market recap noted that McKesson declined while the broader market advanced, indicating relative weakness rather than a sector-wide healthcare selloff. Investors appear focused on whether upcoming results can justify the company’s elevated valuation. McKesson stock market recap

Insider Buying and Selling at McKesson

In other news, EVP Thomas L. Rodgers sold 2,388 shares of McKesson stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $761.09, for a total transaction of $1,817,482.92. Following 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 sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 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. Also, CEO Brian S. Tyler sold 8,463 shares of the company's stock in a transaction that occurred on Tuesday, July 7th. The shares were sold at an average price of $793.56, for a total value of $6,715,898.28. Following the completion of the sale, the chief executive officer owned 5,919 shares in the company, valued at approximately $4,697,081.64. This represents a 58.84% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 28,748 shares of company stock valued at $22,262,035 over the last quarter. 0.06% of the stock is currently owned by insiders.

McKesson Trading Down 2.4%

Shares of MCK stock opened at $867.05 on Friday. The firm has a market capitalization of $101.51 billion, a P/E ratio of 22.54, a price-to-earnings-growth ratio of 1.46 and a beta of 0.31. McKesson Corporation has a 1 year low of $637.00 and a 1 year high of $999.00. The firm's fifty day simple moving average is $788.86 and its 200 day simple moving average is $840.10.

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

McKesson Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 1st will be paid a $0.94 dividend. The ex-dividend date is Tuesday, September 1st. This represents a $3.76 dividend on an annualized basis and a dividend yield of 0.4%. This is a positive change from McKesson's previous quarterly dividend of $0.82. McKesson's dividend payout ratio is currently 9.77%.

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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