Commerce Bank Sells 1,962 Shares of McKesson Corporation (NYSE:MCK)

Key Points

• Commerce Bank has reduced its holdings in McKesson Corporation by 1.4%, now owning approximately 137,691 shares valued at $92.67 million.
• McKesson announced a quarterly dividend increase from $0.71 to $0.82 per share, which will be paid on October 1st.
• The company's recent quarterly earnings report showed an EPS of $10.12, surpassing analysts' estimates, but revenue fell short of the consensus with $90.82 billion reported.

Commerce Bank cut its holdings in McKesson Corporation (NYSE:MCK - Free Report) by 1.4% in the 1st quarter, according to its most recent 13F filing with the SEC. The firm owned 137,691 shares of the company's stock after selling 1,962 shares during the quarter. Commerce Bank owned about 0.11% of McKesson worth $92,665,000 as of its most recent SEC filing.

Other large investors have also bought and sold shares of the company. T. Rowe Price Investment Management Inc. grew its holdings in shares of McKesson by 8.5% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 2,847,385 shares of the company's stock worth $1,622,754,000 after buying an additional 222,496 shares in the last quarter. GAMMA Investing LLC grew its holdings in shares of McKesson by 75,632.7% during the first quarter. GAMMA Investing LLC now owns 2,393,152 shares of the company's stock worth $1,610,567,000 after buying an additional 2,389,992 shares in the last quarter. Northern Trust Corp grew its holdings in shares of McKesson by 9.0% during the fourth quarter. Northern Trust Corp now owns 1,532,203 shares of the company's stock worth $873,218,000 after buying an additional 126,940 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its holdings in shares of McKesson by 9.5% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,103,050 shares of the company's stock worth $628,639,000 after buying an additional 95,806 shares in the last quarter. Finally, AQR Capital Management LLC grew its holdings in shares of McKesson by 9.2% during the fourth quarter. AQR Capital Management LLC now owns 922,180 shares of the company's stock worth $525,560,000 after buying an additional 77,344 shares in the last quarter. 85.07% of the stock is owned by institutional investors.

Insider Activity

In other McKesson news, EVP Thomas L. Rodgers sold 2,891 shares of the firm's stock in a transaction on Friday, May 30th. The stock was sold at an average price of $712.18, for a total transaction of $2,058,912.38. Following the transaction, the executive vice president owned 2,544 shares in the company, valued at $1,811,785.92. This trade represents a 53.19% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Leann B. Smith sold 1,248 shares of the firm's stock in a transaction on Thursday, May 22nd. The stock was sold at an average price of $717.30, for a total value of $895,190.40. Following the transaction, the executive vice president owned 2,621 shares in the company, valued at approximately $1,880,043.30. This trade represents a 32.26% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 52,488 shares of company stock worth $37,242,862. 0.08% of the stock is currently owned by insiders.

McKesson Trading Up 0.7%

Shares of MCK traded up $4.89 during mid-day trading on Friday, reaching $698.43. The company's stock had a trading volume of 960,996 shares, compared to its average volume of 561,144. McKesson Corporation has a 1-year low of $464.42 and a 1-year high of $737.89. The stock has a market cap of $87.38 billion, a P/E ratio of 27.04, a PEG ratio of 1.40 and a beta of 0.50. The business has a 50-day simple moving average of $716.92 and a two-hundred day simple moving average of $674.88.

McKesson (NYSE:MCK - Get Free Report) last released its quarterly earnings data on Thursday, May 8th. The company reported $10.12 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $9.83 by $0.29. The company had revenue of $90.82 billion during the quarter, compared to analysts' expectations of $94 billion. McKesson had a negative return on equity of 201.12% and a net margin of 0.92%. The business's revenue was up 18.9% on a year-over-year basis. During the same period last year, the firm posted $6.18 earnings per share. Research analysts anticipate that McKesson Corporation will post 32.77 EPS 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. The ex-dividend date is Tuesday, September 2nd. This represents a $3.28 dividend on an annualized basis and a yield of 0.5%. McKesson's dividend payout ratio is 10.99%.

Wall Street Analyst Weigh In

A number of research firms recently issued reports on MCK. Morgan Stanley reiterated an "overweight" rating and set a $810.00 price objective (up from $770.00) on shares of McKesson in a report on Wednesday, July 16th. Cfra Research downgraded McKesson from a "moderate buy" rating to a "hold" rating in a report on Friday, April 4th. Mizuho increased their price objective on McKesson from $630.00 to $690.00 and gave the stock a "neutral" rating in a report on Thursday, April 3rd. Evercore ISI increased their price target on McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a research report on Wednesday, July 9th. Finally, Bank of America increased their price target on McKesson from $755.00 to $800.00 and gave the company a "buy" rating in a research report on Friday, May 9th. Three investment 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's stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $710.17.

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.