Meiji Yasuda Asset Management Co Ltd. Lowers Position in McKesson Corporation $MCK

Key Points

• Meiji Yasuda Asset Management Co Ltd. reduced its stake in McKesson Corporation by 4.8% in Q1, now holding 7,785 shares worth $5,239,000 after selling 389 shares.
• Several institutional investors have significantly increased their holdings in McKesson, with GAMMA Investing LLC expanding its stake by nearly 75,632.7% and now owning 2.39 million shares worth approximately $1.61 billion.
• McKesson recently declared a quarterly dividend of $0.82, up from $0.71, with a planned payment date of October 1st, which reflects a positive trend in dividend payouts.

Meiji Yasuda Asset Management Co Ltd. trimmed its stake in McKesson Corporation (NYSE:MCK - Free Report) by 4.8% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 7,785 shares of the company's stock after selling 389 shares during the period. Meiji Yasuda Asset Management Co Ltd.'s holdings in McKesson were worth $5,239,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Capital A Wealth Management LLC bought a new stake in McKesson during the 4th quarter worth approximately $26,000. Bank of Jackson Hole Trust boosted its stake in McKesson by 64.3% in the first quarter. Bank of Jackson Hole Trust now owns 46 shares of the company's stock valued at $29,000 after acquiring an additional 18 shares during the last quarter. CBIZ Investment Advisory Services LLC raised its position in shares of McKesson by 1,366.7% in the 1st quarter. CBIZ Investment Advisory Services LLC now owns 44 shares of the company's stock valued at $30,000 after acquiring an additional 41 shares during the period. Saudi Central Bank bought a new position in shares of McKesson during the first quarter worth $34,000. Finally, Pandora Wealth Inc. acquired a new stake in shares of McKesson during the first quarter worth about $40,000. 85.07% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In other news, CEO Brian S. Tyler sold 19,371 shares of the business's stock in a transaction dated Friday, July 11th. The stock was sold at an average price of $708.09, for a total value of $13,716,411.39. Following the transaction, the chief executive officer directly owned 27,872 shares of the company's stock, valued at $19,735,884.48. The trade was a 41.00% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the company's stock in a transaction dated Friday, August 8th. The shares were sold at an average price of $663.67, for a total transaction of $218,347.43. Following the transaction, the chief accounting officer owned 657 shares in the company, valued at $436,031.19. This represents a 33.37% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 43,560 shares of company stock worth $30,438,602 in the last 90 days. Corporate insiders own 0.08% of the company's stock.

Wall Street Analyst Weigh In

A number of equities research analysts recently issued reports on MCK shares. Evercore ISI lifted their target price on McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a research report on Wednesday, July 9th. Morgan Stanley reaffirmed an "overweight" rating and set a $810.00 target price (up previously from $770.00) on shares of McKesson in a report on Wednesday, July 16th. Wall Street Zen lowered McKesson from a "strong-buy" rating to a "buy" rating in a report on Sunday, July 13th. Cowen reissued a "buy" rating on shares of McKesson in a report on Thursday, August 7th. Finally, Wells Fargo & Company upped their price target on shares of McKesson from $766.00 to $772.00 and gave the company an "equal weight" rating in a research note on Wednesday, August 13th. One equities research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $725.10.

McKesson Trading Down 1.2%

MCK stock traded down $8.48 during mid-day trading on Friday, hitting $711.32. The stock had a trading volume of 522,385 shares, compared to its average volume of 704,488. The firm has a market capitalization of $88.48 billion, a P/E ratio of 28.36, a P/E/G ratio of 1.43 and a beta of 0.51. The firm has a fifty day simple moving average of $697.81 and a 200 day simple moving average of $694.47. 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 quarterly earnings data on Wednesday, August 6th. The company reported $8.26 EPS for the quarter, missing the consensus estimate of $8.33 by ($0.07). McKesson had a net margin of 0.84% and a negative return on equity of 196.66%. The company had revenue of $97.83 billion during the quarter, compared to the consensus estimate of $95.93 billion. During the same period in the previous year, the company earned $7.88 EPS. McKesson's revenue for the quarter was up 23.4% on a year-over-year basis. As a group, equities analysts expect that McKesson Corporation will post 32.77 earnings per share for the current fiscal year.

McKesson Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Tuesday, September 2nd will be issued a dividend of $0.82 per share. This represents a $3.28 annualized dividend and a yield of 0.5%. The ex-dividend date is Tuesday, September 2nd. This is a positive change from McKesson's previous quarterly dividend of $0.71. McKesson's dividend payout ratio (DPR) is 13.08%.

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.