MGO One Seven LLC Trims Stake in McKesson Corporation (NYSE:MCK)

Key Points

• MGO One Seven LLC reduced its stake in McKesson Corporation by 22.3%, holding 4,163 shares worth approximately $2.80 million as of the latest SEC filing.
• CEO Brian S. Tyler sold 19,371 shares for over $13.7 million, marking a significant 41% decrease in his position.
• Analysts have mixed ratings on McKesson, with target prices ranging from $690 to $805 and a current average rating of "Moderate Buy."

MGO One Seven LLC decreased its holdings in shares of McKesson Corporation (NYSE:MCK - Free Report) by 22.3% during the first quarter, according to the company in its most recent disclosure with the SEC. The fund owned 4,163 shares of the company's stock after selling 1,194 shares during the quarter. MGO One Seven LLC's holdings in McKesson were worth $2,802,000 at the end of the most recent reporting period.

A number of other hedge funds have also recently modified their holdings of MCK. Capital A Wealth Management LLC bought a new position in McKesson in the fourth quarter worth approximately $26,000. CBIZ Investment Advisory Services LLC grew its stake in McKesson by 1,366.7% in the first quarter. CBIZ Investment Advisory Services LLC now owns 44 shares of the company's stock worth $30,000 after purchasing an additional 41 shares in the last quarter. Cornerstone Planning Group LLC grew its stake in McKesson by 1,840.0% in the first quarter. Cornerstone Planning Group LLC now owns 97 shares of the company's stock worth $67,000 after purchasing an additional 92 shares in the last quarter. Johnson Financial Group Inc. bought a new position in McKesson in the fourth quarter worth approximately $76,000. Finally, Itau Unibanco Holding S.A. grew its stake in McKesson by 350.0% in the fourth quarter. Itau Unibanco Holding S.A. now owns 144 shares of the company's stock worth $82,000 after purchasing an additional 112 shares in the last quarter. Institutional investors own 85.07% of the company's stock.

McKesson Stock Up 0.7%

McKesson stock traded up $4.89 during midday 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 fifty-two week low of $464.42 and a fifty-two week high of $737.89. The company has a market cap of $87.38 billion, a P/E ratio of 27.04, a P/E/G ratio of 1.40 and a beta of 0.50. The business has a 50-day simple moving average of $716.92 and a 200-day simple moving average of $674.88.

McKesson (NYSE:MCK - Get Free Report) last posted its quarterly earnings results on Thursday, May 8th. The company reported $10.12 earnings per share for the quarter, beating analysts' consensus estimates of $9.83 by $0.29. McKesson had a negative return on equity of 201.12% and a net margin of 0.92%. The company had revenue of $90.82 billion for the quarter, compared to analysts' expectations of $94 billion. During the same period last year, the firm earned $6.18 earnings per share. McKesson's quarterly revenue was up 18.9% on a year-over-year basis. As a group, equities analysts forecast 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. The ex-dividend date of this dividend is Tuesday, September 2nd. This represents a $3.28 annualized dividend and a yield of 0.5%. This is a boost from McKesson's previous quarterly dividend of $0.71. McKesson's dividend payout ratio (DPR) is currently 10.99%.

Analyst Ratings Changes

MCK has been the subject of a number of analyst reports. Bank of America upped their target price on McKesson from $755.00 to $800.00 and gave the stock a "buy" rating in a report on Friday, May 9th. Wells Fargo & Company set a $766.00 target price on McKesson and gave the stock an "equal weight" rating in a report on Tuesday, June 3rd. Wall Street Zen lowered McKesson from a "strong-buy" rating to a "buy" rating in a report on Sunday, July 13th. Morgan Stanley restated 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. Finally, Evercore ISI upped their target price on McKesson from $760.00 to $800.00 and gave the stock an "outperform" rating in a report on Wednesday, July 9th. Three equities research analysts have rated the stock with a hold rating, eleven have issued a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, McKesson currently has a consensus rating of "Moderate Buy" and a consensus target price of $710.17.

Insider Activity

In other news, CFO Britt J. Vitalone sold 1,878 shares of the business's stock in a transaction that occurred on Wednesday, May 28th. The stock was sold at an average price of $717.91, for a total value of $1,348,234.98. Following the transaction, the chief financial officer owned 14,028 shares of the company's stock, valued at approximately $10,070,841.48. The trade was a 11.81% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Leann B. Smith sold 341 shares of the business's stock in a transaction that occurred on Wednesday, May 28th. The stock was sold at an average price of $717.91, for a total value of $244,807.31. Following the transaction, the executive vice president owned 2,800 shares in the company, valued at $2,010,148. The trade was a 10.86% decrease in their position. The disclosure for this sale can be found here. Insiders sold 52,488 shares of company stock worth $37,242,862 over the last quarter. 0.08% of the stock is owned by insiders.

McKesson Company 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.