McKesson Corporation (NYSE:MCK) Holdings Cut by Benjamin Edwards Inc.

Key Points

• Benjamin Edwards Inc. significantly reduced its stake in McKesson Corporation by 59.2%, selling 3,544 shares during the first quarter, leaving them with 2,445 shares valued at approximately $1,645,000.
• Several analysts have raised their price targets for McKesson, with UBS Group increasing it from $708 to $805, while the average consensus target price now stands at $718.73.
• McKesson announced an increase in its quarterly dividend from $0.71 to $0.82, reflecting a growing commitment to returning value to shareholders, with a projected annual yield of 0.5%.

Benjamin Edwards Inc. decreased its holdings in shares of McKesson Corporation (NYSE:MCK - Free Report) by 59.2% in the 1st quarter, according to its most recent Form 13F filing with the SEC. The firm owned 2,445 shares of the company's stock after selling 3,544 shares during the period. Benjamin Edwards Inc.'s holdings in McKesson were worth $1,645,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently modified their holdings of the company. Oppenheimer Asset Management Inc. lifted its position in shares of McKesson by 54.0% during the 1st quarter. Oppenheimer Asset Management Inc. now owns 4,541 shares of the company's stock valued at $3,056,000 after acquiring an additional 1,592 shares during the period. Dynamic Advisor Solutions LLC raised its holdings in McKesson by 16.6% during the first quarter. Dynamic Advisor Solutions LLC now owns 778 shares of the company's stock worth $524,000 after purchasing an additional 111 shares during the last quarter. Cambridge Investment Research Advisors Inc. boosted its position in McKesson by 18.9% during the first quarter. Cambridge Investment Research Advisors Inc. now owns 23,033 shares of the company's stock worth $15,501,000 after purchasing an additional 3,659 shares in the last quarter. Wealth Enhancement Advisory Services LLC grew its holdings in McKesson by 4.3% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 183,258 shares of the company's stock valued at $123,332,000 after purchasing an additional 7,556 shares during the last quarter. Finally, LPL Financial LLC increased its position in shares of McKesson by 12.8% in the first quarter. LPL Financial LLC now owns 155,946 shares of the company's stock valued at $104,950,000 after buying an additional 17,750 shares in the last quarter. 85.07% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity at McKesson

In other news, CAO Napoleon B. Rutledge, Jr. sold 543 shares of the company's stock in a transaction on Monday, May 19th. The shares were sold at an average price of $726.51, for a total value of $394,494.93. Following the completion of the transaction, the chief accounting officer directly owned 1,972 shares in the company, valued at approximately $1,432,677.72. This represents a 21.59% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Thomas L. Rodgers sold 2,891 shares of the firm's stock in a transaction on Friday, May 30th. The shares were sold at an average price of $712.18, for a total transaction of $2,058,912.38. Following the sale, the executive vice president directly owned 2,544 shares of the company's stock, valued at approximately $1,811,785.92. The trade was a 53.19% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 52,817 shares of company stock valued at $37,461,210 over the last 90 days. Corporate insiders own 0.08% of the company's stock.

McKesson Price Performance

MCK stock traded down $0.96 during trading on Friday, reaching $672.86. 630,704 shares of the stock traded hands, compared to its average volume of 894,105. The business's 50 day moving average price is $710.37 and its 200-day moving average price is $681.11. The firm has a market capitalization of $83.69 billion, a PE ratio of 26.83, a P/E/G ratio of 1.32 and a beta of 0.50. McKesson Corporation has a 52-week low of $464.42 and a 52-week high of $737.89.

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

McKesson Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Tuesday, September 2nd will be paid a dividend of $0.82 per share. 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 dividend yield of 0.5%. The ex-dividend date is Tuesday, September 2nd. McKesson's payout ratio is presently 11.32%.

Analyst Upgrades and Downgrades

MCK has been the topic of a number of research reports. Bank of America increased their price objective on shares of McKesson from $755.00 to $800.00 and gave the company a "buy" rating in a research note on Friday, May 9th. Wells Fargo & Company set a $772.00 target price on McKesson and gave the company an "equal weight" rating in a report on Wednesday. Morgan Stanley reissued an "overweight" rating and issued a $810.00 price target (up from $770.00) on shares of McKesson in a report on Wednesday, July 16th. UBS Group lifted their price objective on McKesson from $708.00 to $805.00 and gave the stock a "buy" rating in a research report on Tuesday, April 29th. Finally, Wall Street Zen cut shares of McKesson from a "strong-buy" rating to a "buy" rating in a research note on Sunday, July 13th. Three research analysts have rated the stock with a hold rating, eleven have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, McKesson has a consensus rating of "Moderate Buy" and an average target price of $719.27.

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.