Mediolanum International Funds Ltd Has $63.13 Million Stock Position in McKesson Corporation (NYSE:MCK)

Key Points

• Mediolanum International Funds Ltd increased its stake in McKesson Corporation by 46.4% in the first quarter, owning approximately 0.9% of the company's shares, valued at $63.13 million.
• McKesson reported $10.12 EPS for the last quarter, exceeding forecasts, and its quarterly revenue increased by 18.9% year-over-year, totaling $90.82 billion.
• The company also declared a quarterly dividend of $0.71, with an annualized yield of 0.40%, reflecting a dividend payout ratio of 10.99%.

Mediolanum International Funds Ltd increased its stake in shares of McKesson Corporation (NYSE:MCK - Free Report) by 46.4% during the first quarter, according to the company in its most recent filing with the SEC. The fund owned 94,497 shares of the company's stock after acquiring an additional 29,971 shares during the period. McKesson accounts for about 0.9% of Mediolanum International Funds Ltd's holdings, making the stock its 22nd largest position. Mediolanum International Funds Ltd owned about 0.08% of McKesson worth $63,130,000 as of its most recent filing with the SEC.

A number of other hedge funds have also made changes to their positions in the stock. T. Rowe Price Investment Management Inc. increased its holdings in shares of McKesson by 8.5% during the 4th quarter. T. Rowe Price Investment Management Inc. now owns 2,847,385 shares of the company's stock valued at $1,622,754,000 after acquiring an additional 222,496 shares during the last quarter. Geode Capital Management LLC boosted its stake in McKesson by 0.4% during the 4th quarter. Geode Capital Management LLC now owns 2,663,303 shares of the company's stock valued at $1,513,195,000 after purchasing an additional 10,015 shares during the period. Franklin Resources Inc. boosted its stake in McKesson by 4.6% during the 4th quarter. Franklin Resources Inc. now owns 2,620,948 shares of the company's stock valued at $1,493,704,000 after purchasing an additional 114,396 shares during the period. GAMMA Investing LLC boosted its stake in McKesson by 75,632.7% during the 1st quarter. GAMMA Investing LLC now owns 2,393,152 shares of the company's stock valued at $1,610,567,000 after purchasing an additional 2,389,992 shares during the period. Finally, Norges Bank bought a new stake in McKesson during the 4th quarter valued at approximately $1,200,361,000. Institutional investors and hedge funds own 85.07% of the company's stock.

Analyst Ratings Changes

MCK has been the subject of several recent analyst reports. Mizuho increased their target price on McKesson from $630.00 to $690.00 and gave the company a "neutral" rating in a research note on Thursday, April 3rd. Wall Street Zen downgraded McKesson from a "strong-buy" rating to a "buy" rating in a research note on Sunday, July 13th. UBS Group increased their target price on McKesson from $708.00 to $805.00 and gave the company a "buy" rating in a research note on Tuesday, April 29th. Wells Fargo & Company set a $766.00 price objective on McKesson and gave the stock an "equal weight" rating in a research report on Tuesday, June 3rd. Finally, Cfra Research downgraded McKesson from a "moderate buy" rating to a "hold" rating in a research report on Friday, April 4th. Three equities research analysts have rated the stock with a hold rating, eleven have assigned a buy rating and one has issued a strong buy rating to the company's stock. Based on data from MarketBeat, McKesson currently has an average rating of "Moderate Buy" and a consensus target price of $710.17.

Insider Activity

In related news, CEO Brian S. Tyler sold 19,371 shares of the firm's stock in a transaction on Friday, July 11th. The stock was sold at an average price of $708.09, for a total transaction of $13,716,411.39. Following the completion of the sale, the chief executive officer directly owned 27,872 shares of the company's stock, valued at $19,735,884.48. This trade represents a 41.00% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Britt J. Vitalone sold 1,878 shares of the firm's stock in a transaction on Wednesday, May 28th. The shares were sold at an average price of $717.91, for a total value of $1,348,234.98. Following the sale, the chief financial officer directly owned 14,028 shares of the company's stock, valued at $10,070,841.48. This represents a 11.81% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 52,488 shares of company stock worth $37,242,862. 0.08% of the stock is currently owned by insiders.

McKesson Price Performance

Shares of McKesson stock traded down $0.21 during midday trading on Wednesday, hitting $711.94. 311,079 shares of the company were exchanged, compared to its average volume of 872,672. The firm has a market cap of $89.07 billion, a P/E ratio of 27.57, a PEG ratio of 1.43 and a beta of 0.48. McKesson Corporation has a 52 week low of $464.42 and a 52 week high of $737.89. The firm has a 50 day simple moving average of $717.32 and a 200-day simple moving average of $673.84.

McKesson (NYSE:MCK - Get Free Report) last posted its earnings results on Thursday, May 8th. The company reported $10.12 EPS for the quarter, topping the consensus estimate of $9.83 by $0.29. McKesson had a negative return on equity of 201.12% and a net margin of 0.92%. The business had revenue of $90.82 billion during the quarter, compared to the consensus estimate of $94 billion. During the same quarter last year, the company earned $6.18 EPS. McKesson's revenue was up 18.9% on a year-over-year basis. Equities research analysts expect that McKesson Corporation will post 32.77 earnings per share for the current year.

McKesson Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Tuesday, September 2nd will be issued a dividend of $0.82 per share. This represents a $3.28 dividend on an annualized basis and a yield of 0.46%. This is a boost from McKesson's previous quarterly dividend of $0.71. McKesson's dividend payout ratio (DPR) is currently 10.99%.

McKesson Profile

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.